March 01st

Market Report

The markets remain in turmoil, with a new clear increase in prices at the beginning of this week, all products included. In the absence of possibilities of loading from Ukraine and the very clear reduction of possible flows on the entire Black Sea basin, buyers must turn to other origins.

Egypt has once again cancelled its tender, probably judging the prices to be too high, and it should be noted that the French offer was the cheapest at 429.22 usd/t delivered to Egypt, compared to 338.55 usd purchased during their last tender on February 17. The best offer came from Soufflet at a price of 389.92 usd/fob to which it was necessary to add 39.30 usd/t of freight to obtain the price of 429.22 usd/t in rendered.

Internationally, we also note the sale of 136,000 t of soybeans by the USA to China. Algeria is buying officially 50 000 t of durum wheat.

The rise in prices is also for the 2022 harvest, as it is difficult to see in the current context that Ukrainian farmers will be able to sow their spring crops, first and foremost corn. Remember that Ukraine plays a major role in international trade on this product. To date, Ukraine has exported 18.7 million tons of corn out of an expected total of more than 33 million tons by the end of the season.

The major impact is also on the oil market, particularly for sunflower, where Ukraine alone accounts for 50% of world market exports of this product.

In this context, rapeseed continues to grow in the wake of palm oil.

Oil is displayed this morning at 96.70 usd/barrel in New York. The dollar is around 1.1200 this morning against the euro while the ruble continues its fall.