The most traded futures contract for rapeseed delivery is now at 563 euros per tonne, the highest level since February 2023. Corn prices in Europe have also risen to their highest levels in more than three years.
The main explanation is Russian attacks on ports in Ukraine, a world-leading supplier of both rapeseed and corn. At the same time, unusually warm weather in Canada has created uncertainty about the harvest there.
The hostilities in the Middle East - which push up the price of oil - are also having an impact. This is because demand for rapeseed and corn as biofuels increases when the price of fossil oil rises.
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