Oilseed rape markets have improved again this week, buoyed by strong export activity from America.
US soyabean markets reached $387/t on Wednesday (25 November) – almost $10 up on the week and the highest level seen since July. This was aided by the delayed USA harvest, which was 94% complete by the end of last week, against a five-year average of 97%.
Increased fund activity and strong export demand were contributing to the bullish feel, with the USA selling almost 1.5m tonnes of soyabeans in the week ending 12 November – a 58% increase against the previous four-week average. China bought more than half of that tonnage, and was set to import 3.5m tonnes of soya in November against 2.5m tonnes in October, according to the Home-Grown Cereals Authority.
In the UK, prices echoed the stronger US and French markets, with the Farmers Weekly ex-farm average up by £5/t in the week to Wednesday (25 November), to almost £233/t for December.
However, the outlook may not remain positive for long, with British rapeseed imports well ahead of last year, and exports lagging behind. Prospects for South American soya crops are also improving, with Brazil forecast to plant a record area of almost 23m ha and recent rains in Argentina benefiting soya plantings.