Ukraine continues to strengthen its position in the global soybean market despite external risks and fluctuations.

This statement has been reported by the analytical department of the First Ukrainian Agricultural Cooperative (FUAC) created within the UAC.

As of the beginning of April, Ukraine has already exported almost 93,000 tons of soybean. In addition, active processing in the domestic market and high level of shipments allowed to unload the record harvest.

"As of April 1, Ukraine had about 2 million tons of soybeans, slightly more than last year, when it was about 1.7-1.8 million tons. However, due to high processing and exports, we are steadily reducing the stocks. In May-June, we can reach similar levels to last season. Thus, the market was able to absorb a record volume of soybean. This is a good signal for farmers and exporters," the company said.

The global soybean market shows some decline in importers' activity, partly due to the expectation of news about possible duties between the US and the EU. However, prices remain stable: at deep-water ports – USD 385-390 per ton. Processors in Ukraine have become more active, and the notional prices for soybeans are at 17,500-17,800 UAH/t. Demand for soybean oil from Europe also supports the market.

"European buyers have been actively contracting Ukrainian soybean oil in recent weeks. Demand from processors remains high, and thus the purchase prices for soybean are stable at an attractive level. This helps to maintain production margins. Ukrainian soybean continues to be competitive, even against the background of the decline in stock prices," the analysts said.

Global trends may play in favor of Ukraine. In the U.S., corn acreage is expected to decline by 5-6%, while soybean acreage may increase by a similar amount. South America - Brazil and Argentina - plans to maintain or even increase production volumes. However, the U.S. soybean are currently losing competitiveness amid the trade tensions between the U.S. and the EU.

"If the situation with the duties between the US and the EU escalates, it is likely that European demand will be redistributed in favor of the Ukrainian soybean. Europe is already increasing its purchases from Ukraine, and this trend may only intensify in the coming months. The global market is generally stable, with no preconditions for sharp collapses. Therefore, we can expect prices to remain stable and the potential expansion of the Ukrainian soybean on the European market," the FUAC predicted.