August’s biodiesel exports are lined up at 126,000mt so far, with a huge boost in exports to the US, up 102% MoM, according to Argentina vessel lineup data. US demand for biodiesel is high at the moment, with blenders looking to gain from tax credits while commodity prices remain low. Arbitrage economics into the US before the blenders credit look extremely attractive.
The fall in Argentinian soybean exports was slighly less significant this week, dropping 9% WoW, and still up over 40% YoY. US soybean export sales dropped 447,307mt last week, driven by huge cancellations in China, according to the USDA.