A constellation of factors including droughts, thin US inventories, technical buying, biofuel policies and congested Latin American ports continue to push up the cost of feed crops and palm oil. With Russia's president announcing it had no immediate plans for its troops to go beyond Crimea and invade the rest of Ukraine, one would have expected feed crop prices to fall, but in this case, they did not.
How Russians and rapeseed, biofuel policiesand drought are shaking feed crop markets all the way to the equator. The old Chinese saying that prices go up when the army marches was proven true over the last few days. Russia's invasion of Ukraine, the world's fourth largest corn exporter and a major European supplier of rapeseed, caused feed crops to jump by 4% to 6% in less than two trading days.