reply Global cooking oil prices continue to rise, China's oil bottle stable

Global edible oil prices have continued their upward trend this year, driven by COVID-19, extreme weather and geopolitical factors, with some types of edible oil, including palm, soybean and sunflower oil, rising at record highs. China's edible oil is highly dependent on foreign markets, the domestic market and the international market have strong correlation, domestic edible oil prices continue to rise under pressure, "oil bottle" safety issue has become a hot spot.A number of experts told reporters that they should make full use of both international and domestic markets and resources to ensure stable supply of domestic edible oil and guard against imported inflation risks brought by rising global edible oil prices.Multiple factors are driving up pricesEdible oil prices in China rose 8.6 percent last year, much lower than the 65.8 percent increase in global edible oil prices, but higher than the 1.1 percent increase in domestic grain prices."The current rise in edible oil prices is closely related to changes in the global political and economic situation." National Development and Reform Commission price cost survey center director, researcher Huang Hanquan said. Due to the impact of COVID-19, drought in South America and conflict between Russia and Ukraine, palm production in Malaysia, soybean production in Brazil and canola production in Canada have decreased, resulting in tight global oil supply. In addition, Indonesia restricted palm oil export, Argentina restricted soybean oil export, and the russia-Ukraine conflict led to the limitation of sunflower oil export in the Black Sea region, further aggravating the global edible oil supply shortage. In addition, international capital speculation, high global shipping costs and other factors jointly promote the global edible oil prices continue to rise, further raising the import cost.It is worth noting that crude oil price and oil price correlation degree is higher. For example, palm oil, rapeseed oil, soybean oil, peanut oil, corn oil, cottonseed oil and other vegetable oils can replace petroleum, and palm oil is the main raw material of biodiesel. As crude oil prices soar, some European and American countries have put biodiesel plans on the agenda, and some companies use vegetable oil to process biofuels, contributing to the price rise of cooking oil.Shen Hongyuan, director of the research and forecast Department of Zhengzhou Grain Wholesale Market, believes that soybean oil, palm oil, rapeseed oil, sunflower oil and other kinds of oil are mutually substituting and influencing each other. If the price of one kind of oil and grease increases, the price of other oil and grease will increase. Recently, as the situation between Russia and Ukraine gradually develops towards peace talks, the price of crude oil has fallen, soybeans in the United States have begun to grow and the climate is good, and palm production in Malaysia has entered an increase cycle. The momentum of the sharp rise of global palm oil has weakened, and various edible oils have fallen again to varying degrees.Compared with the sharp fluctuations of global edible oil prices, domestic edible oil prices fluctuate less. Edible oil prices in China rose 8.6 percent last year, much lower than the 65.8 percent increase in global edible oil prices, but higher than the 1.1 percent increase in domestic grain prices.Huang hanquan believes that although some domestic edible oil prices have risen recently, the overall supply and demand situation is stable, and there is a possibility of a correction in edible oil prices. First, domestic consumption of edible oil is mainly soybean oil, rape oil, peanut oil, and the price rise of palm oil, sunflower oil and other products has little impact on the residential edible oil market. The second is expected to increase the sown area of soybean in the United States this year, market price expectations are limited. As the soybean harvest in South America continues to advance and the market supply increases, the international soybean price is likely to be adjusted. Third, this year's domestic expansion of soybean oil, domestic soybean oil supply is expected to increase; Fourth, with people's pursuit of healthy and nutritious food, the demand for edible oil is gradually declining.We will improve the comprehensive support capacity of oil materialsThe expansion of soybean oil is related to national food security and nutritional health of the people. Want to promote planting benefit, raise farmer to plant soya oil enthusiasm.This year, on the basis of stabilizing the three major grains of rice, wheat and corn, China will expand the planting of soybean oilseed, continue to promote the production of various specialty oilseed crops and woody oilseed, comprehensively improve the comprehensive support capacity of oilseed, and cope with the uncertainty of the international environment with the stability of domestic supply.Shen Hongyuan said that China's arable land resources are limited, expand soybean and oil, try to follow the principle of not competing for land with grain. We will speed up the restoration of soybean acreage in northeast China, vigorously promote strip planting of soybean and corn, and make full use of idle winter land, abandoned land, saline-alkali land, sand and wasteland to grow rape, peanut, sunflower, flaxseed and other herbaceous oils. At the same time, we will make full use of forest land in mountainous areas to develop wood oils such as camellia, walnut and olive, and turn the forest into an "oil depot".The low self-sufficiency rate of oil is the fundamental reason for the high external dependence of edible oil in China. Seed is the key to improve oil self - sufficiency rate. Although China is the world's largest oil producer, producing rapeseed oil, peanut oil, soybean oil, cottonseed oil, tea seed oil, sunflower seed oil, sesame oil, linseed oil and other oil crops, but China's soybean, rape, sunflower seed, camellia oil and other oil production is low, economic benefits are also low.Huang hanquan believes that we should strengthen the breeding of high-quality varieties and improve the supporting ability of improved varieties to increase yield. Strengthen seed industry to tackle key problems, focus on breaking through seed industry "neck" technology; We will speed up the selection and breeding of a number of breakthrough new varieties suitable for modern agricultural production, improve the commercial breeding system, and meet the needs of a diverse, multi-tiered and diversified market.The expansion of soybean oil is related to national food security and nutritional health of the people. Want to promote planting benefit, raise farmer to plant soya oil enthusiasm. According to the package of grain production support policies recently announced, this year the central government will provide subsidies to soybean producers and subsidize the combined planting of corn and soybean strips to support the compatible development of soybean and corn. We will support non-government services such as substituting grain and oil crops for farming and planting. We will support the establishment of a number of grain and oilseed industrial parks and industrial clusters, and promote the integrated development of the grain and oilseed industries, including production, processing, science and technology, and marketing."These support policies will help motivate farmers to plant soybean oil and improve the quality and efficiency of the soybean oil industry." Shen hongyuan said.