Platts updates roll date for Latam Soybean Oil, launches forward assessment for FOB Paranagua

Platts, part of S&P Global Commodity Insights, has updated the monthly roll date for its Brazil and Argentina Soybean Oil daily price assessments, and has launched a new second-month price assessment for the Brazilian FOB Paranagua soybean oil market.

The launch, effective May 16, 2023, follows proposal and decision notes, published Feb. 17 and April 5, respectively and available here and here.

Following the update, Platts will roll the assessed front-month loading in both Argentina and Brazil on the first business day after the 20th day of each month. The assessments impacted are:

• SYOAB00 Soybean Oil Argentina FOB Up River
• SYOBB00 Soybean Oil Brazil FOB Paranagua

This update aligns assessments to better reflect the minimum 10-day vessel nomination guidelines as stated in the relevant international trade contracts FOSFA 51 for Argentina and ANEC 81 for Brazil.

In addition, Platts has launched a new second-month price assessment for the Brazilian FOB Paranagua soybean oil ($/mt) market published under the symbol SYOBA02, with the basis assessment in points/lb published under the symbol SYOBB02.

The new assessment will be used in the Platts Brazil Soybean Crush Spread FOB Paranagua (ABSCA00), a calculated price based on Platts assessed values for soybean FOB Paranagua (SYBBD00), soybean oil Brazil FOB Paranagua (SYOBB00) and soybean meal Brazil FOB Paranagua (SYMBA00).

The new second-month soybean oil price assessment results in the same loading month for soybean, soybean meal and soybean oil being used in the Platts Crush Spread FOB Paranagua calculation.

For example, from June 16-20, the Brazilian soybean and soybean meal front-month assessments would reflect loadings for August dates, while the front-month assessment for soybean oil would still represent July loading. Therefore, the crush spread calculation would consider between June 16-20 the second-month FOB Paranagua soybean oil price assessment, which would reflect August loading. After the 20th of the month, the calculated Soybean Crush Spread FOB Paranagua would then use the front-month FOB Paranagua soybean oil assessment, as that market will have rolled to also represent August shipments.

The second-month forward FOB Paranagua soybean oil price will also give further market transparency to Brazil's biodiesel industry and fuel distributors.

The new price assessments alongside their respective monthly averages involved in this launch can be found in the following pages on Platts Agriculture Alert:

• PAA 0808 Platts Latin America Vegetable Oil Assessments.
• PAA0800 Platts Latin America Oilseeds Daily Assessments.
• PAA 3800 Platts Global Soybean Crush Assessments.
• PAA 0809 Platts Latin America Vegetable Oil Monthly Averages.
• PAA 0801 Platts Latin America Oilseeds Monthly Averages.

Please send any further feedback, questions or comments on this decision to americas_ags@spglobal.com, copying pricegroup@spglobal.com.

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