High levels of global soybean stocks and especially in the South American countries are major factor influencing the price. Stocks are at high levels in the US as well, where it is expected that at the end of August they will reach a ten year high.

China's import activity may decline in the coming months against the backdrop of large stocks in Chinese ports and ships awaiting unloading. In 2017. the soybean crop in China will be 14.5 - 15.3 million tonnes and as a result soybean import to the country is not expected to increase.

The soybean price decline will also be caused by the low demand for soybean meal in the world, and hence reduced need for soybean processing.

Another important factor is the expected growth in palm oil production in the second half of the year.