Palm & Veg Report, June 2017
If you own or operate ships or suffer from acute acrophobia then please refrain from looking at the graphs on the pages overleaf as the steep drop this year could make your knees wobble and make your eyes rain. The tropical oil markets are experiencing a very similar trend to last year when freight rates quickly soften in the run up to summer as unprecedented competition for cargo persists. Palm oil exports from Malaysia and Indonesia were actually quite strong in May and had this not been the case then the markets would probably look an awful lot worse than it does now! The Sunflower and Soya bean oil markets from South America and the Black sea are broadly unchanged from a month ago and freight rates are currently flat lining on virtually every trade lane. Crude oil prices have not really budged despite the diplomatic turmoil in the Middle East and the recent extension of production cuts by all the major producers.