Soybean prices increased by 1% to $17 per bushel with increased tensions across Russia-Ukraine, breaking records set in 2012.
Soybeans had traded as low as $11.78 per bushel in November.
With fertilisers supplied by Russia being removed from trade last week, the cost of growing wheat, corn and soybean all will see a rise.
Ukraine is a large supplier of corn and sunflower oil to the world. With the ongoing crisis, production and supply to the world is at risk. With halts on the supply, pressure on other vegetables and grains increase.
The soybean accounts for more than 50% of world’s vegetable oil production. Soybeans are yet to be found in the wild. Therefore, soy produce are byproducts of genetically engineered soya beans which supplies 60% of the global soya output.
Argentinian government suspended exports of soybean meal and oil and raise the export tax on both by-products, which are taxed at 31% to 33%, just as soybeans pay.