Higher palm oil supply drove May’s gain in edible oils stocks
Demand for soybean oil remained impressive in May, with 1.75 billion pounds removed from stocks for processing, up 6 percent YOY. About 1.22 billion pounds were removed for edible applications, up slightly from April and close May 2021’s volume. Use of soybean oil for inedible applications was more than 525.2 million pounds in May, up 23 percent YOY and the highest monthly disappearance since March 2021. Stocks of refined soybean oil increased from April thanks to continued strong production but were down from last May.
U.S. stocks of refined palm oil were 402.6 million pounds at the end of May, up 44 percent from a year ago, as palm oil use was up just 5 percent YOY. We don’t yet have data for May edible oils trade, but Jan-Apr 2022 palm oil imports were up 15 percent from 2021, and May imports likely posted a nice YOY gain.
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