On Thursday, it was announced that Indonesia is lifting it’s ban on edible oils. The country, which is the world’s biggest shipper of edible oils, put a ban in place on April 28th, in a move to protect domestic supplies. The lift of the export ban should bring some relief to the global market as we have watched global supplies of multiple crops come into question since the war between Russia and Ukraine started.
Indonesian President Joko Widodo said in an online briefing on Thursday that he decided to lift the ban after seeing improvements to the local supply, prices and after considering the effect on the 17 million workers in the industry.
The ban was anticipated by many in the trade to be short lived and it appears the market is taking the news in stride today as soybean oil is only down slightly while soybeans and soymeal are shooting higher as of midday on Thursday.