Higher oilseed consumption in 2015
The current EU forecasts for rapeseed crush margins may be high enough to support the continued demand during the latter half of the season. EU rapeseed consumption is at 24.9Mt in 2014-2015 which is a marginally higher rate that in 2013-2014. The International Grains Council (IGC) credits this increase to the sufficient amount of domestic supplies, along with favorable processing margins. Strategie Grains’ data suggests record levels for the EU crush margins in 2014-2015. Global trade for oilseeds is predicted to surpass last year’s estimates as global consumption also increases. It is expected that demand will continue with its steady strength in the EU.
Monsanto Earnings Beat Estimates, Helped by New Soybean
Monsanto Co. (MON), the biggest seed company, outdid their expectations for the first-quarter fiscal earnings and revenue. These earnings are a result of sales of a new soybean genetically modified to withstand pests in South America. St Louis based Monsanto expressed their exceeding estimates, beating the 35-cent average of 20 analysts experts. Revenue exceeded the $2.8 billion average estimate by reaching $2.87 billion, from a prior $3.14 billion. Monsanto predicts it new “Inacta soybeans” to quadruple in the current fiscal year exceeding previous targets of up to 12 million acres. “Intacta was obviously a big benefit in soybeans because they exceeded expectations there,” Chris Shaw, a New York-based analyst at Monness Crespi Hardt & Co., who has a hold rating on the shares, said today by phone. Bloomberg
Biofuels Mandates Around the World: 2015
The Digest today analyzed the state of biofuel mandates in 64 countries to release its annual review of biofuel mandates and targets around the world. The majority of the mandates come from the EU-27, where the Renewable Energy Directive (RED) identified with 10-percent renewable content by 2020, but has recently been reduced to a range of 5-7.5. Thirteen countries have mandates or targets or are currently under consideration. These countries include 12 in Asia-Pacific, 11 in Africa and the Indian Ocean and 2 from non-EU countries in Europe. Outside of the EU, US, China, and Brazil are the major mandates that will drive global demand. Biofuels Digest
ICE canola climbs along with soybeans
Canola futures, according to the ICE Canada trading platform, were stronger on Thursday midday. Analysts believe this increase was due to technical-based buying by speculators. The gains were also supported by the soy oil increases seen in Chicago, along with the influences of the Malaysian palm oil and European rapeseed futures. Brokers say that farmers are selling only small amounts of canola during highs, as elevators have widened basis levels in response to strengths seen recently in the futures. Canadian Cattleman
Colorado Corn’s 2014 awards focus on Farm Bill program
Those who participated in the implementation of a new federal crop-insurance tool for 2015 were recently awarded by Colorado Corn. Colorado Corn’s Annual Awards Luncheon on December 10, 2014 in Loveland included this recognition. Others were honored for contributing to Colorado Corn, as well as the Ag industry overall. Many producers were thrilled at the announcement of the new Actual Production History (APH) provision availability in 2015 because the provision’s original introduction was planned for 2016. The recognitions included: U.S. Sen. Mark Udall, Colorado Corn Growers Association Public Policy Action Team Co-Chairs Dave Cure and Rick Palkowitsh, Jeff Harrison with Combest, Sell & Associates, John Stulp, Gov. John Hickenlooper’s special policy adviser on water, and Brian Allmer and BARN Media.
Crude palm oil remain higher on rising spot demand
Futures trade crude palm oil prices rose by 0.37 percent, reaching Rs 465.50 per 10 kg in future trade today marking increases for the fourth day in a row. Analysts believe the gains were supported by tight stock positions in the physical market on restricted supplies from producing belts. Analysts also stated that outside of the rising spot market demand, tight supplies from producing regions were the main cause of the heightened crude palm oil prices at futures trade.
Argentina Sold $24 Billion of Soybeans in 2014
Farmers in Argentina exported $365 million in grains and oilseeds during the last two days of 2014, totaling $24.1 billion last year. These exports supported the nation’s central bank helping to boost reserves, which had decreased to a seven-year low in October. Previous records for 2011 are set at $25.1 billion. “The sizable 2014 harvest, as much as the measures taken by the government during the first half of 2014, were critical to stabilize the economy,” Sebastian Vargas, an economist at Barclays Plc, said by telephone from New York. AgWeb
High oleic soybeans: Coming to fields near you
The United Soybean Board is introducing a new soy check-off funded website — SoyInnovation.com — to help soybean growers to explore the profit potential of high oleic soybeans. High oleic soybean production is not expected in Wisconsin for several more years, but these soybeans still hold much potential for future and expanded marketing options. “High oleic soybeans are top-performing varieties packed with innovation your end-use customers want,” according to the United Soybean Board. “The oil that high oleic soybeans produce has a different composition than commodity soybean oil and helps meet some customers’ needs.” Commodity beans continue to supply current markets, but high oleic soybeans high-heat stability production will contribute to additional uses in food and industry. Agri-View