Ukrainian Rapeseed Prices Fall on EU Market Glut

• Bearish: Ukrainian rapeseeds export prices are softening under seasonal pressure from a well-supplied EU market.
• Bearish: Lower global prices for rapeseed oil and crude oil are weighing on export values and limiting upside potential.
• Bearish: Domestic processors have slightly raised bids to secure supply, but weaker rapeseed oil prices in the EU cap further price gains.

Ukrainian Rapeseeds Prices Decline on EU Market Pressure

Ukrainian rapeseeds export prices have eased this week, pressured by a seasonally saturated EU market and weakness across the broader oil complex. With European buyers well-covered, export demand has softened, leading to a more cautious bidding environment at Ukrainian ports.

Although some domestic processors have marginally increased their bids in an effort to secure sufficient oilseed volumes, their ability to support prices is constrained. Declining rapeseed oil prices in the European Union are limiting crush margins and curbing the scope for any meaningful price appreciation on the domestic market.

Current Price Indications

Market Outlook and Analysis

Bearish. The current price action underscores the Ukrainian rapeseeds market’s tight correlation with its primary export destination in the EU. With European rapeseed supplies comfortable, downside pressure on Ukrainian offers is likely to persist in the near term.

Weakness in both rapeseed oil and crude oil markets removes a key source of external support, creating a challenging environment for sellers seeking higher prices. Limited domestic crush demand further restricts upside potential, suggesting that rallies are likely to be shallow and short-lived unless there is a notable shift in EU demand or a recovery in global oil markets.

Source: Market Data