EU rapeseed production forecast raised on favourable crop conditions.

Mumbai, 2 May (Commoditiescontrol):Strategie Grains, a consultancy, has increased its projection for 2023 European Union rapeseed production to 20.0 million tonnes, up from 19.5 million tonnes estimated a month earlier. The upward revision is attributed to favourable crop conditions in most parts of Europe, where regular rain has boosted soil moisture after a dry winter, with the exception of Spain. The new forecast also surpasses the estimated 2022 output of 19.4 million tonnes. In contrast, Strategie Grains lowered its outlook for the 2023 EU sunflower seed crop by 100,000 tonnes to 11.2 million. This was due to the expected reduction in production from drought-hit Spain, although good conditions in other regions would still result in the output of two million tonnes higher than the curbed volume seen in 2022 due to drought across Europe. Strategie Grains warns that the increased outlook for rapeseed production could create additional supply pressure at the end of the current season, which may lead to a further fall in prices on Euronext futures. However, the decline may slow down if Ukraine's rapeseed imports are banned by some Eastern EU countries, which is currently under discussion following an influx of grain this season. (By Commoditiescontrol Bureau: +91-9820130172)