Soybean Oil
- CME soybean oil futures were modestly higher through Wednesday, compared to Wednesday of the prior week
- According to the USDA’s Prospective Plantings report released on March 31, planted soybean acres in 2026 are estimated to be 84.7 million, up from 81.215 million last year, and total soybean stocks as of March 1 are estimated to be 2.105 billion bushels, up from 1.911 billion last year at this time
- According to Successful Farming, the Environmental Protection Agency (EPA) on March 27 finalized historic Renewable Fuel Standard (RFS) volume obligations for the 2026 and 2027 compliance years
- Energy prices remain elevated, lending underlying support to the soybean oil market due to increased biofuel margins, according to analysts
- The Brazilian soybean harvest is approaching 80% complete, with most private analysts still calling for near-record production
Canola
- The Intercontinental Exchange spot canola seed futures were slightly higher this week, and continue to look to the soybean complex for direction, according to analysts
- Traders continue to closely monitor Canadian canola planting intentions, as input costs such as fertilizer and fuel continue to soar, according to analysts
- Canola oil basis offers remained firm through Q3 this week, as the U.S. biofuel program will support imports, as reported by cash dealers
Palm Oil
- Palm oil prices on the Kuala Lumpur Commodity Exchange moved solidly higher this week, as export business continues to increase, according to analysts
- Palm oil’s discount to soybean oil in the global cash markets has narrowed significantly over the past month. Freight and Insurance costs for palm oil shipments are up significantly, according to analysts
- According to Reuters, Indonesia’s President said that the country will go ahead this year with its B50 palm oil-based biodiesel program, up from B40 currently, after having initially shelved the idea back in January
Mayo & Margarine
- The CME soybean oil market and palm oil prices on the Kuala Lumpur Commodity Exchange were higher this week, while the USDA butter market was slightly lower