The combination of Russia and Ukraine accounted for 28 percent of global wheat exports last year. RaboResearch Global Grain and Oilseed Strategist Stephen Nicholson says Russia and Ukraine use most of their wheat domestically or it is shipped out. “If you look at the other exporters in the world, there’s not enough stocks to make up that loss so that is a real concern.” Ukraine is also a huge producer of sunflower oil. That creates issues with the vegetable oil supply. “We’ve seen vegetable oils around the world very tight because of the demand for the renewable diesel and the biofuel biodiesel industry so that’s going to put a lot more pressure on palm oil, but palm oil has had its issues in production.”
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