Soybean Oil
- CME spot soybean oil futures were lower through Wednesday of this week, compared to Wednesday of the prior week
- In its weekly Crop Conditions report, the USDA rated the soybean crop 58% good-to-excellent, compared to 58% last week and 61% a year ago, and reported that the soybean harvest is 12% complete, compared to 6% last week and 8% a year ago
- Spot soybean oil futures share of product value fell below 48% for the first time since February this week
- According to the Economic Times, India's soybean oil imports are likely to surge to a record high in the 2025/26 marketing year as rallies in rival palm and sunflower oils make soybean oil more competitive for price-sensitive Indian buyers
- A sharp break in energy prices over the last week helped to provide headwinds for the vegetable oil markets
- According to DTN Progressive Farmer, CHS Inc. plans to expand its current soybean crush capacity by 60% with the planned construction of a $700 million, 80-million-bushel processing plant in Evansville, Wisconsin
Canola Oil
- The Intercontinental Exchange November canola seed futures were slightly lower this week
- Farmers have encountered some early canola harvest issues in Canada as wet weather slowed progress, according to analysts
- Statistics Canada estimates 2026–27 canola production at 22.1 million tons vs. 22.2 million last year.
- Canola oil basis offers remained steady this week as the U.S. biofuel program and solid food demand continue to support the market, as reported by cash dealers
Palm Oil
- Palm oil prices on the Kuala Lumpur Commodity Exchange were modestly lower through Wednesday of this week
- According to Business Recorder, cargo surveyors estimated that exports of Malaysian palm oil products for September 1-20 fell between 12.8% and 24.7% from a month earlier
- Traders continue to monitor the development of a very strong El Niño weather pattern. Strong El Niños have a history of reducing palm production in Malaysia and Indonesia, according to analysts
Mayo & Margarine
- The CME soybean oil market and palm oil prices on the Kuala Lumpur Commodity Exchange were lower this week, while the USDA butter market was steady to weak
The data contained in the Farmer’s Report is provided for informational purposes only, is not tailored to your specific purchasing needs, and is not intended as a substitute for any other publicly-available market data or information. The Farmer’s Report is compiled from the last-received market data provided by the United States Department of Agriculture (USDA) and/or other market sources, and is subject to change without notice. Nothing herein is the opinion of US Foods®. US Foods neither assumes any legal liability nor makes any warranty or guaranty, either express or implied, regarding the completeness, accuracy or usefulness of this information.