Market report up until February 2017
All percentage changes in this report refer to month-on-month price changes and are
provided by Mintec.
|Currency against Sterling
Sugar prices fell on London ICE (-6%) and ICE US (-5%), over growing confidence that
global production will exceed consumption in the 2017/18 season. Tea prices fell in
India (-3%), Kenya (-2%) and Sri Lanka (-1%). Cocoa bean prices fell on both London ICE
(-8%) and ICE US (-7%), due to expectations that the global market will experience a
supply surplus in the current 2016/17 season. Cocoa butter (-14%), and powder (-6%)
prices also fell in the UK. EU molasses remained stable (0%).
Oils and Fats
Soyabean oil prices rose in Rotterdam (+4%) and Argentina (+1%), however fell on CBOT
US (-3%). Rapeseed oil prices rose in Canada (+8%) and Rotterdam (+5%), as concerns over
tight global supplies pushed prices higher. Palm oil prices rose in Malaysia (+5%),
Rotterdam (+5%) and Indonesia (+3%). Palm kernel oil prices also rose in Rotterdam
(+14%), Malaysia (+10%) and Indonesia (+7%), climbing to five year highs as production is
expected to remain tight until the second half of the current season. Coconut oil prices
rose in Rotterdam (+6%) and the Philippines (+1%). Subdued by this seasonís record
production, sunflower oil prices only rose slightly in NW Europe (+1%) and Ukraine (+1%),
while remaining stable in Argentina (0%) and Russia (0%). Extra virgin olive oil prices rose
in Spain (+4%), but remained stable in Italy (0%). Lampante oil prices rose in Spain (+4%)
and linseed oil prices increased in Argentina (+1%).
Maize prices fell on CBOT US (-3%), in Argentina (-2%) and in Brazil (-2%), however
remained stable on Euronext Paris (0%). Milling wheat prices fell on CBOT US (-5%), ASX
Australia (-2%) and Euronext Paris (-1%), due to an upward revision in 2016/17
production forecast. However, milling wheat prices increased in Germany (+3%) and the
UK (+1%). Feed wheat prices rose in the UK (+2%), remained stable in Hungary (0%) and
fell on ICE Europe (-2%). Durum wheat prices fell in France (-6%), Italy (-6%) and on ICE
Canada (-3%), however remained stable in the US (0%). Barley feed prices fell on ASX
Australia (-8%), remained stable on ICE Canada (0%), but rose in France (+3%) and
Germany (+3%). Basmati rice prices rose in India (+2%), due to adverse weather
conditions, but fell in Pakistan (-1%).
(-2%). Peanut prices rose in Argentina (+3%), Brazil (+2%) and the US (+2%), due to high
demand from crushers in China and a fall in supplies from the US. Cashew prices fell in
Vietnam (-9%), while pine nut prices fell in China (-6%). For dried fruit, sultana prices fell
in the EU (-4%), however remained stable in Turkey (0%), and increased in China (+1%). In
Turkey, dried apricot prices fell (-6%), while raisin prices also fell (-1%). For spices, black
pepper prices rose in Indonesia (+12%), Malaysia (+7%) and Vietnam (+3%) however,
remained stable in India (0%). White pepper prices also rose in Indonesia (+11%) and
Vietnam (+2%), however fell in the EU (-2%) and Malaysia (-2%).
Milk & Dairy
Butter prices rose in the EU (+2%), as milk fat supplies remain low. Butter prices rose in
Poland (+12%) and France (+4%), remained stable in Belgium (0%) and Germany (0%), but
fell in the UK (-2%). In addition, butter prices rose in the US (+7%) and New Zealand (+2%).
Prices for cheese in the EU rose for Emmental (+8%), Edam (+6%), Italian Parmesan (+4%)
and Gouda (+1%), however remained stable for UK Cheddar (0%). Elsewhere, US cheese
prices fell for mozzarella (-8%) and cheddar (-4%). SMP prices fell in the EU (-1%), due to
volumes being released from the private intervention scheme. SMP prices rose in the US
(+8%), but fell in New Zealand (-2%). WMP prices rose in the EU (+5%), with prices up in
the Netherlands (+10%), Belgium (+9%), France (+4%) and Germany (+4%). Shell egg prices
rose in the EU (+6%), caused by a fall in egg layer numbers as a result of bird flu outbreaks.
EU shell egg prices rose in France (+10%), the Netherlands (+10%), Germany (+8%), the UK
(+5%) and Italy (+3%). Prices for processing eggs in the EU rose for egg white liquids
(+17%), egg whole powder (+4%), egg yolk liquids (+3%) and egg yolk powder (+2%).
Brent crude oil prices in ICE London (+12%) and light sweet crude oil prices in NYMEX US
(+11%) rose, due to OPEC and non-OPEC producers agreed to cut production for the first
time since 2001. The new deal will cut production by 1.2m barrels a day (bbl/d) for the
first six months of 2017. Diesel prices rose in the US (+11%) and the EU (+10%), due to a
fall in stocks. Petrol prices rose in the US (+14%) and the EU (+10%) on the back of rising
crude oil prices. Gas oil prices rose on ICE EU (+10%). Natural gas prices rose in NYMEX
US (+5%), due to higher demand with the onset of colder weather. However, natural gas
prices fell for Bacton terminal NBP (-5%) and on ICE London (-5%) with the return to
service of the Rough storage site. Coal prices rose in the US (+7%), but fell in the EU (-3%).