Trade and markets
 

Oilcrops

 

Price indices for oilcrops and derived products
The indices are derived from a trade-weighted average of a selection of representative internationally traded products. Please note that in November 2013 some modifications have been introduced to the way the indices are calculated ; for details and to access the series of indices along with commentary on latest price developments click here.

Oilcrops, oils and meals market assessment - November 2018
Summary : As the 2018/19 season gradually unfolds, preliminary forecasts of ample crops across the oilseed complex point to a comfortable world supply and demand situation for oilseeds and their by-products. After stagnating in 2017/18, global oilseed production is forecast to climb to a new record this season, led by an anticipated rebound in soybean and, to a lesser extent, sunflower seed, which would more than compensate for reductions in other oilcrops. Soybean production is expected to increase vigorously, mostly driven by a recovery of production in Argentina and further yield improvements in the United States, as well as by area expansions in Brazil, China and India. Among the other main oilcrops, global palm oil production is forecast to continue growing at a moderate rate, whereas global rapeseed production could contract, impaired by unfavourable weather conditions in the EU and Australia.In 2018/19, growth in world meals/cakes utilization is forecast to slow down, tied to subdued feed demand in China, whereas growth in oils/fats consumption will most likely be supported by continuing economic growth in major consuming regions and sustained demand from the biodiesel sector. Based on FAO’s current buoyant production forecasts, the output of oilcrop products is anticipated to exceed global consumption of oils and meals in 2018/19. As a result, world inventories at the close of the seasons are forecast to rise, particularly in the soybean complex, with major exporters’ stock-todisappearance ratios possibly reaching historical highs. International trade in vegetable oils in 2018/19 is expected to recover from last season’s passive performance. Trade in oilseeds and oilmeals is also forecast to expand, but at a slower pace, mainly reflecting uncertainties about the US-China trade relations and related slowdowns in import demand. These uncertainties, together with currently positive global production outlooks, have kept international soybean prices under strong downward pressure in recent months. International prices of oils and meals also remained on a falling trend. In the coming months, factors affecting soybean crop prospects in South America and palm oil production in Southeast Asia will play a key role in determining price movements in the oilseed complex. Developments regarding the US-China trade relations will also be critical. ...read more
(link to full document)


The Oilcrops Monthly Price and Policy Update (MPPU) is an information product provided by the oilseeds desk of the Trade and Markets Division. As a complement to our bi-annual market reports, this brief note follows two purposes: first, to review the development of international prices for oilseeds, oils and meals as reflected by FAO’s specific price indices and second, to spot recent policy and market events - selected from a variety of sources - that are deemed important for the global oilseed economy. The brief shall be issued in the second week of each month, for a total of 10 issues per year. The note, which will be available in English only, will be posted on this web page as well as sent to subscribers of the Oilcrops Market Network.


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Oilcrops complex - Policy changes and industry measures – Annual compendium The compendium offers an overview of salient government policies and related private sector measures concerning global and national markets for oilcrops and derived products. Its purpose is to facilitate the work of policy makers, market experts, analysts and other interested stakeholders by providing a short, concise overview of policy developments relevant to the sector. Detailed news items are presented in tabular form – in English only –, preceded by a brief discussion of the key policy trends observed in the year under review. download

OECD-FAO Agricultural Outlook: Oilseed Projections 2018-2027
Highlights: Global oilseeds production is expected to expand at around 1.5% p.a., well below the growth rates of the last decade. Brazil and the United States will be the largest soybean producers, with similar volumes. Protein meal use will grow more slowly due to slower growth in livestock production and as the protein meal share in Chinese feed rations has reached a plateau. Demand for vegetable oil is expected to grow more slowly due to slower growth in per capita food use in developing countries and the projected stagnation in demand as feedstock for biodiesel. Vegetable oil exports will continue to be dominated by Indonesia and Malaysia, while soybean, other oilseeds and protein meal exports are dominated by the Americas. Prices are projected to increase slightly in nominal terms over the outlook period, with slight declines in real terms.. ... read more
» Full chapter on oilseeds, oils and meals
See also:
» Chapter on biofuels (ethanol, biodiesel)

Oilcrops

Oil crops include both annual (usually called oilseeds) and perennial plants whose seeds, fruits or nuts are either consumed directly as food or crushed to obtain oil (used by the food, oleochemical, biofuel and other industries) as well as protein-rich meal (used as feed in the livestock sector).

Some of the crops included are also fibre crops in that both the seeds and the fibres are harvested from the same plant. Such crops include coconuts, kapok fruit, cotton, linseed and hempseed.