Prices for vegetable oils remain very high due to the lack of supplies from Ukraine and Russia

On the 14th day of the war in Ukraine, Russian troops were able to enter only Kherson, and then because the Ukrainian armed forces retreated to equipped positions and defend Nikolaev, as well as prevent the landing of troops in Odessa. Odessa and Nikolaev are the most important port cities in Ukraine, so Russia will try in every possible way to capture them in order to isolate the Ukrainian economy.

Tough resistance from the army and the entire civil society of Ukraine, with the support of Western partners, stopped the aggressor’s offensive, and powerful sanctions against Russia will soon lead to a sharp drop in the standard of living of Russians and a decrease in the morale of the occupiers.

The blocking of ports disrupted the supply of sunflower oil from Ukraine, while Russia, which is the world’s second exporter of oil, is also unable to ship products due to sanctions.

In Argentina, which is the fourth producer of sunflower oil after Ukraine, Russia and the EU, prices rose to F 2000/ton FOB.

Following the rapid rise in oil prices to 1 130/barrel, vegetable oil prices also rose sharply. April palm oil futures on the Malaysian stock exchange jumped 7.5% from February 24 to March 8 to 6,416 ringgit/t or 1 1,535/t, and on March 3 they even reached 6,808 ringgit/t or.1,630/t.

May soybean oil futures on the Chicago Stock Exchange rose 7.8% to.1,670/ton in two weeks amid a lack of supplies of sunflower oil and a sharp rise in the price of palm oil.

The weather in Argentina and Brazil contributes to the development of soybean and corn crops, and markets hope that within a month Russia will be forced to stop the war due to the dissatisfaction of its own citizens with the collapse of the economy and even a possible default, which will allow Ukraine to resume exports.