US soybean oil futures fall for 4th week

Market: Agriculture, Biofuels
29/10/26

US soybean oil (SBO) futures declined by 0.6pc in the week ended 28 October, the fourth consecutive weekly decline.

The December SBO contract on the Chicago Board of Trade closed Wednesday at 65.56¢/lb, down from 65.97¢/lb a week earlier. The contract lost 1.15¢/lb yesterday to set another seven-month low.

US benchmark WTI crude futures in the week ended 28 October added 5.8pc to settle at $102.78/bl as the market anticipates upcoming military escalation in the Middle East.

D4 RIN credits gained 14.125¢/RIN over the week to close at 189.125¢/RIN, on 28 October.

Soybean futures fell 1.7pc during the week, settling at $12.25/bushel on 28 October as market participants monitor the exchange rate between the US dollar and Brazilian real following the conclusion of the Brazilian presidential election.

US soybean crush margins declined by 4.7pc on the week to reach $2.352/bu on Wednesday as soybean meal futures shifted 3.6pc lower.

US soybean harvesting reached 79pc in the US Department of Agriculture's latest crop progress report, 15 percentage points above last week's level and two percentage points above the prior five-year average.

By Thompson Corpus

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30/10/26

Singapore backs nutrient efficiency for food resilience

Singapore, 30 October (Argus) — Singapore is stepping up investment in nutrient efficiency and resource-recycling technologies as part of efforts to strengthen food resilience and support more sustainable agricultural production across southeast Asia. The government has invested more than S$300mn ($234mn) in agri-food research and development since 2019 and this week committed a further S$138mn under its Research, Innovation and Enterprise (RIE) 2030 programme, including a newly dedicated food-resilience pillar, Singapore Food Agency deputy chief executive Leong Der Yao said at the Singapore Shizuoka Agri-Food Forum (SSAFF) 2026. Singapore's Urban Solutions and Sustainability Innovation and Enterprise Office (USSIEO) also launched a S$40mn translation fund in February to accelerate commercial deployment of publicly funded technologies, including solutions applicable to agriculture and aquaculture. The forum also showcased innovative ways to develop and increase the adoption of biostimulants and other speciality fertilizers to achieve higher nutrient efficiency. The emphasis on nutrient recovery, water recycling and precision farming reflects growing interest in technologies that can support fertilizer-use efficiency while reducing environmental losses. With limited agricultural land, Singapore is increasingly pursuing regional partnerships that combine technology, training and standards development with production capacity in neighbouring countries. Projects under discussion include agricultural and aquaculture initiatives in Brunei, Bangladesh and other southeast Asian markets. Industry participants said the model could support wider adoption of precision irrigation, nutrient-management systems and circular agriculture practices, potentially lifting demand for higher-efficiency and specialty fertilizer products. Examples highlighted at the forum included a pineapple project in Malaysia's Sarawak state that converts agricultural waste into biochar, bioenergy, fibre and carbon credits, and proposals to integrate aquaculture with mangrove conservation in Brunei. These initiatives underscore Singapore's strategy of exporting agri-food technology and production models regionally rather than scaling domestic output alone. For fertilizer markets, the trend points to growing regional interest in nutrient-efficiency solutions, recycled nutrient streams and specialty products designed to maximise yields while limiting nutrient losses. By Huijun Yao Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

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USDA previews US-Mexico ethanol agreement

28/10/26

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28/10/26

USDA previews US-Mexico ethanol agreement

Houston, 28 October (Argus) — The US Department of Agriculture (USDA) is in the final stages of talks with Mexico to boost ethanol exports, US agriculture secretary Brooke Rollins said on 26 October in Cedar Rapids, Iowa. Rollins declined to share details on what she described as a significant commitment from Mexico to increase its US ethanol purchases, but said the two sides had reached an initial agreement in concept after working with Mexico president Claudia Sheinbaum's administration. "As Mexico continues to integrate more ethanol into its energy mix, we saw that as a massive opportunity for our biofuels, ethanol and certainly… our corn farmers from the Midwest," Rollins said. Rollins estimated that a completed trade deal would deliver $1.5bn for the US ethanol industry and could increase ethanol exports by 32pc. Mexico began evaluating whether to incorporate ethanol as an oxygenate for its gasoline supply earlier this year after talks with US officials, but has not released details of a formal proposal. Mexico allows gasoline to have an ethanol content of up to 5.8pc in most of the country, but prohibits ethanol in Mexico City, Guadalajara and Monterrey, which instead require additive MTBE as an oxygenate under the Nom-016 rules to reduce tailpipe emissions. Mexico produces limited volumes of ethanol and relies primarily on imports to meet existing demand. The US exported less than 670,000 bl of ethanol suitable for fuel use to Mexico last year. The USDA rolled out the American Biofuel Trade Outlook in September , outlining four policy pillars aimed at increasing biofuel export markets, primarily for US ethanol. The plan includes addressing barriers to implementing gasoline fuel blends with up to 10pc ethanol in other countries, along with other priorities. Additionally the US and Mexico are also still in ongoing separate bilateral negotiations ahead of the USMCA free trade agreement review, after the collapse of US-Canada talks in August. President Donald Trump's administration has indicated that one of its priorities of any deal is to reduce the US' nearly $156bn trade deficit with Mexico toward zero. By Denise Cathey Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

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China's beef quotas reshape Australian trade

28/10/26

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28/10/26

China's beef quotas reshape Australian trade

Dalby, 28 October (Argus) — China's new beef import quotas are forcing Australian exporters to redirect record volumes into smaller alternative markets, with lower prices attracting new buyers, Australian traders told Argus . The three-year quota system, introduced by China in January, prompted Australia to front-load beef shipments to China before its 205,000t tariff-free allocation was filled on 20 June. A 55pc tariff now applies to shipments above the quota until it resets on 1 January. China took around 37,800t less Australian beef than a year earlier in January-September, with shipments falling by 18pc to around 169,700t. Despite this, total Australian beef exports rose by 7pc over the same period, from around 1.127mn t to a record 1.21mn t, as exporters redirected supply into other markets and expanded their share of established destinations such as the US. Shipments to the US increased by 51,519t, or 16pc, to around 380,000t. Exports to South Korea rose by 41,547t, or 25pc, to around 206,700t, more than offsetting the decline in shipments to China and pushing South Korea ahead of Japan as Australia's second-largest beef export destination in January-September. The shift became more pronounced after China's safeguard tariff took effect in June. Australian shipments to China fell by 68pc on the year in July-September, dropping by around 50,800t to 24,248t from 75,079t a year earlier, leaving exporters to find buyers for displaced supplies. Smaller markets absorbed some of the excess. Australian beef exports to Taiwan increased by 39pc from July-September 2025, while shipments to Thailand rose by 20pc, Malaysia by 15pc and Canada by 13pc. Combined exports to the four markets increased by 21pc, from around 36,000t to 43,500t. But redirecting the large volumes traditionally sold into China at comparable prices proved difficult, traders said. Uncertainty over when the quota would be filled contributed to Australian fattier beef trim prices falling from mid-April as Chinese buying slowed sharply. Australian 65pc chemical lean (65cl) frozen boxed beef trim fell by A$1.44/kg from 10 April to 7 August, when Chinese buying resumed for shipments scheduled to arrive after the quota reset. Buying interest from southeast and east Asian importers increased around the quota trigger as lower prices made Australian fattier trim more attractive. Large-volume Australian 65cl trades to Taiwan and the Philippines were reported at A$6.10/kg as buyers took advantage of the lower market. Fattier trim prices subsequently strengthened as Chinese buying returned from August. By late October, however, trades of Australian HGP-free fattier trim to China had again become limited, with many importers staying out of the market while assessing the large volumes expected to arrive early next year. Some market participants are concerned that the simultaneous arrival of substantial Australian and South American beef volumes following the tariff-rate quota reset could create logistical bottlenecks in China early next year. By Alys Marshall Australian beef export pricing (A$/kg) Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

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Canada proposes bonus CFR credits for domestic fuels

27/10/26

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27/10/26

Canada proposes bonus CFR credits for domestic fuels

Calgary, 27 October (Argus) — Canada is proposing to award bonus Clean Fuel Regulations (CFR) credits for domestic low-carbon fuels as part of a package of program amendments. The goal of the amendments is to close the "competitiveness gap" for Canadian producers, Environment and Climate Change Canada (ECCC) said. Producers of co-processed fuels, renewable diesel (RD), biodiesel, aviation fuel, renewable natural gas (RNG), hydrogen and renewable propane could earn additional credits. The multiplier ranges from 1.3-1.8, depending on the fuel type, with domestically produced sustainable aviation fuel (SAF) earning 1.8 credits, RD 1.5, biodiesel 1.4 and ethanol 1.3. The agency estimates the multipliers will add 2mn credits to the market 2026, increasing to 2.8mn by 2030 and 2035. Overall, the bonus will add 26.9mn credits to the CFR market from 2026-2035, according to ECCC. Fuel made in Newfoundland and Labrador would qualify in full, while for producers elsewhere in Canada the bonus would depend on the share of North American feedstock used. The bonus would apply to credits created in compliance periods ending after 1 January 2026. The amendments are due to be published in the Canada Gazette, Part I, on 30 October, followed by a 75-day public consultation. The CFR requires yearly reductions of road fuel carbon intensity. Suppliers must offset deficits produced by higher-carbon fuels exceeding the annual limits with credits generated from the distribution to the market of approved, lower-carbon alternatives. The agency is also proposing new requirements for certain gas-related credits and adding closer scrutiny of credit trades. The current regulations cap the use of gaseous credits at 10pc of a company's overall carbon-intensity (CI) obligations. The proposal would require half of the share to come from the domestic production of biogas, renewable natural gas, renewable propane, or hydrogen. The remaining credits could come from imported gaseous fuels. Obligated parties could meet a larger share of their obligation by contributing to registered emission-reduction funding programs under the proposal. The limit would rise to 15pc of the CI-reduction requirement, from 10pc. Under proposed reporting changes, any credit transfers priced at zero or below fair market value would require a detailed explanation, and parties would have to keep proof of the price. Reporting errors above a defined threshold would have to be corrected within 60 days. New administrative penalties would reinforce these provisions. ECCC says the CFR credit market is now worth more than C$3bn ($2.13bn). Ottawa also highlighted its Biofuels Production Incentive, worth up to C$372mn in performance-based support and open for applications until December 2027. By Adam Battistessa Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

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Ethanol gaining favour as European bunker fuel

27/10/26

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27/10/26

Ethanol gaining favour as European bunker fuel

London, 27 October (Argus) — Ethanol is gaining traction as a bunker fuel for methanol-fuelled vessels seeking to meet EU regulatory requirements, because ethanol-methanol blends can offer a lower-cost alternative to pure biomethanol. Ethanol can be used in methanol-fuelled engines with little or no modification. This has attracted interest from shipowners, because ethanol is cheaper than biomethanol and can be used in blends to reduce overall fuel cost. Companies including WinGD, Everllence and Wartsila have conducted successful tests using biomethanol and ethanol blends, as well as 100pc ethanol. In May, Rotterdam port completed its first ethanol-methanol blend bunkering operation. Barcelona port had its first 100pc-ethanol bunkering in July, carried out by Danish shipowner Maersk, which has undertaken its first 100pc ethanol voyage in the first quarter of the year. There are 161 methanol-fuelled ships operating, according to Norwegian classification agency DNV, which began including ethanol-fuelled vessels in its tracking in the first half of this year. The number of methanol-fuelled vessels is set to reach 448 by 2030, DNV said.Ethanol is cheaper and has a higher volumetric energy content than biomethanol. In September, average 75pc greenhouse gas (GHG) crop-based saving ethanol fob Amsterdam-Rotterdam-Antwerp (ARA) range was at an average €995/t, or €37/GJ. This is compared with more than €896/t or €56/GJ for biomethanol in the same period. The average value of conventional methanol was just over €434/t or €27/GJ in September. Ethanol's volumetric energy content is 26.6 GJ/t (21 GJ/m³), compared with methanol and biomethanol at 16 GJ/t (12.6 GJ/m³). The economics are further improved by the duty treatment of marine fuel. Ethanol imported to the EU for use as bunker fuel pays no duties, while material supplied for the European road-fuel market faces standard duties of €192/m³ for undenatured ethanol and €92/m³ for denatured ethanol, unless preferential trade arrangements apply. Blending ethanol with biomethanol can lower overall cost and increase energy density. Biomethanol provides the greenhouse gas (GHG) reduction required for FuelEU compliance, which first generation ethanol — produced from sugar, wheat or corn — cannot. FuelEU requires a 2pc reduction, rising to 6pc in 2030. Ethanol can also act as a substitute for marine gasoil (MGO) in emission control areas (ECAs) because of its low sulphur content. Blending trials involving biomethanol and very-low sulphur fuel oil (VLSFO) or marine gasoil (MGO) had faced technical challenges, specifically related to the flash point of the final product, participants said. Demand for marine ethanol could rise further in the coming years. In the Netherlands, a key bunkering market, waste-based ethanol and biomethanol made from feedstocks categorised under Annex IX Part A of the EU renewable energy directive would be eligible to generate Dutch marine ZRE tickets. This could incentivise marine fuel suppliers to keep marine waste-based ethanol and biomethanol prices competitive with non-ZRE eligible fuels, in order to generate enough ZREs to meet their annual obligations, and avoid securing expensive ZREs from over-compliant peers. It could also offer an alternative route to ZRE generation beyond advanced Fame biodiesel, the most common ZRE-eligible fuel currently bunkered in the Netherlands. Argus assessed ZREs at 21.75c/kgCO2e on Monday, 26 October. For one tonne of waste-based ethanol with 90pc GHG savings, this would roughly generate ZRE tickets worth $556/t. By Natália Coelho, Toby Shay, Madeleine Jenkins and Hussein Al-Khalisy Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

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