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 2013
SummaryWorld oilcrop production could climb to an all-time high,supported by record soybean crops in South America.While large soybean crops point to a healthy expansion in world supplies of meals/cakes, global supplies of oils/fats should also rise thanks to a recovery in high oil yielding seed output and steady growth in palm oil. Moderate growth in world consumption of oils and meals is expected to continue. Global output of oilseed products should match world utilization for the second consecutive year, although a sizeable surplus is possible in the case ofmeals/cakes. As a result, further replenishments in worldstocks should be achievable, especially with regard to oilmeals. Based on current prospects, the stock-to-use ratio is projected to improve significantly from last season for meals, but to remain unchanged for oils/fats.The present 2013/14 outlook suggests there is scope for international meal prices to finally come down from their record high levels. Additional downward pressure on meal prices is likely to come from rising global supplies of feedgrains. As to the oils/fats market, adequate supplies and ample stocks are expected to keep prices stable at their current relatively low level. This season’s outlook relies heavily on the realization of bumper soybean harvests in South America. Any unexpected weather problem in the region would have a direct, strong impact on the global supply and demand situation. With traders closely monitoring weather developments in South America, prices in the oilseed complex are likely to remain volatile. While international trade in oils/fats is expected to keep expanding moderately, growth in meal transactions should rebound after last season’s slowdown. As meal prices become more a_ordable meal import demand should increase – although the abundance of feedgrains may temper such growth. Read full document


The Oilcrops Monthly Price and Policy Update (MPPU) is a new 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.


Oilcrops Market Network - Free subscription!
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See dedicated page: oilcrops market network.


OECD-FAO Agricultural Outlook: Oilseed Projections 2013-2022 
Highlights: (i) Assuming normal yields in all producing regions, world production of oilseeds should rebound in marketing years 2013 and 2014 resulting in a sharp reduction of international oilseeds and products prices. After this correction, prices are expected to increase slowly based on strong food and fuel demands of vegetable oil and a solid feed demand for protein meal. (ii) Relative profitability of oilseeds versus coarse grains is expected to favour the distribution of land toward oilseeds and lead to a 26% increase in world production when combined with yield gains. With 93% of global exports in 2022, the Americas should confirm their role as the oilseeds basket of the world. China is expected to further solidify its position as the leading oilseeds importer but its share of world oilseeds crush is expected to stabilise at 25% of world total. (iii) After a period of over-proportional growth in palm oil production, its share in total oilseed oil output is projected to stabilise at around one third of the total vegetable oil production. World vegetable oil production remains very concentrated in the coming decade as growth originates in the main producing regions. Demand for food remains strong based on income and population growths, fuel uses are supported by consumption mandates. (iv) Global protein meal output is projected to increase by 25% or 67 Mt. Two-thirds should come from four countries: Argentina, Brazil, China and the United States. Compared to the past decade, consumption growth of protein meal slows down significantly reflecting both slower absolute growth in global livestock production and slower growth in the relative use of protein meal in feed rations, signalling a less rapid structural transformation process in the livestock sector in the coming decade.
» Outlook chapter on oilseeds, oils and meals
See also:
»Outlook 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.