Argus Murmurings: Higher oil prices support crush margins

Organic soybean imports in May 2025 were estimated at 33,900 MT, more than four times the same month in the prior year. Turkey supplied the largest volume at 25,800 MT, followed by Ukraine with 4,800 MT. Canada exported an estimated 2,800 MT to the U.S. and Paraguay sent 600 MT.  

The Argus AgriMarkets Organic and non-GMO service weekly delivered spot price for feed-grade organic soybeans delivered to the U.S. Corn Belt for the week ended June 20, 2025, was $21.88/bushel, up $0.23 from a month prior and $2.38 from a year prior.  

Higher organic soybean oil prices from increased biofuel mandates are supporting domestic crush margins. The U.S. Environmental Protection Agency’s announced 2025 renewable fuels targets increased the requirements for biodiesel use and prioritized fuels made from domestically produced feedstocks, raising conventional soybean oil prices. Higher conventional soybean oil prices also supported prices for organic soybean oil, as organic soybean oil is sold into the conventional market, or as non-GMO soybean oil at a premium to conventional prices. This increase in soybean oil prices will help support margins as organic soybean prices rise. 

Competition among U.S. crushers for increasingly tight supplies of organic soybeans will limit crushing volumes, market contacts said, as traders struggled to find significant stocks of unsold old crop organic soybeans. The arrival of imported organic soybeans from the Black Sea and Argentina this summer will help ease supplies. Until then, crushers are expected to face increased prices for old crop organic soybeans, limiting crush margin gains. 

Energy and commodity price reporting agency Argus acquired Mercaris, the leading provider of organic and non-GMO agricultural commodities in the US, in June 2023. The company is an SSGA member and a monthly contributor to the SSGA E-newsletter.