Global soyameal prices could rise $30-$40 a tonne from current levels in October to December partly because of European Union curbs on imports of genetically modified organisms (GMOs), Oil World forecast on Tuesday. Imports of US soyabeans will be blocked in the EU until at least early December due to the zero-tolerance policy stopping soyabean shipments which contain minor traces of unauthorised GMOs such as corn, the Hamburg-based oilseeds analysts said.
This reduced EU soyameal output will occur at a time soyameal exports from major suppliers Argentina and Brazil are weak following poor soyabean harvests in early 2009. "There will be increasing competition between buyers in Europe, Asia and other importing countries for reduced supplies of soyameal," it said. "Therefore we expect higher soyameal prices in the next two to three months." US soyaoil futures and cash prices may rise in coming weeks as US soyaoil exports are expected to increase sharply, it said.
But reduced soyabean crushing will not have such a major impact on soyaoil prices due to sufficient alternative supplies of palm oil, sunflower oil and rapeseed oil, it said. "The upward potential of soyaoil prices will be limited during October-December 2009 due to sufficient supplies of other vegetable oils," it added.
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