Commodity & Trade Updates

The sharp fall in Nigerian market prices is squeezing traders who held long positions earlier in the year expecting carry-over Q2-Q3 price strength.

Industry sources attribute the decline primarily to ample inventories in Indian ports and warehouses, which hold over 1.2 million tonnes of edible oils, reducing the urgency for fresh imports.

South Africa’s Minister of Agriculture John Steenhuisen welcomed the lifting of the ban, saying that the move marked a return to sound economic principles in the Southern African region.

The operations followed extensive inspections and sampling campaigns across markets and sales points, with 577 samples tested this year alone.

Despite this progress, the output remains insufficient to meet the country’s burgeoning domestic demand for palm oil, underscoring a persistent supply-demand imbalance.