Belarusian commodity exchange predicts further growth in export prices for rapeseed oil
The Belarusian Universal Commodity Exchange (BUCE) predicts further growth in export prices for rapeseed oil, BelTA learned from BUCE's spokesman Roman Yaniv.
Since the beginning of the year, prices for unrefined rapeseed oil exported via the Belarusian Universal Commodity Exchange have increased by an average of 28%. Thus Belarusian exporters earned more than €220,000 in additional revenue. According to stock analysts, the price growth trend will continue in the second quarter of this year.
"The favorable situation on foreign markets has had a positive impact on the dynamics of sales of oilseed products on the exchange platform. At the end of the last trading session on 20 April, the export stock price for first-class rapeseed oil was €1,054.5 per tonne on the DAP terms as against €822 per tonne in January on similar terms. Taking into account the high demand for Belarusian rapeseed oil in Europe, where production volumes have decreased markedly due to the COVID-19 pandemic, prices have not yet peaked and are expected to continue to grow in the second quarter,” the press service noted.
Competition on exchange platform also plays an important role in pricing. It has significantly increased in the last three months, BUCE noted.
"Earlier rapeseed oil buyers were mainly companies from Europe. Now we have new players – companies from China. Competing with the Europeans, they drive up export prices, which, in turn, has a stimulating effect on Belarusian producers. As a result, sellers of rapeseed oil have become the largest exporters of agricultural products on BUCE,” the press service noted.
Founded in 2004, the Belarusian Universal Commodity Exchange conducted its first trading session in June 2005. BUCE is one of the largest commodity exchanges in Eastern Europe. Its main function is to assist Belarusian enterprises with export and foreign companies with entering the Belarusian market. BUCE sells a wide range of metal, forestry, and agricultural products, industrial and consumer goods.