# Food and fuel sectors in soybean oil bidding war | 2021-06-23  | Food Business News

> Soybean oil futures fell sharply from all-time highs set two weeks earlier but remain more than double year-ago levels. Cash soybean oil basis is at record strength as food and renewable diesel buyers compete for limited supply. A study by Advanced Economic Solutions projects renewable diesel output to double to about 1.1 billion gallons in 2021.

- Date: 2021-06-23 · published 2021-06-23T12:00:00.000Z
- Category: policy · region US · magnitude medium
- Page: https://feedsoft.ai/events/46441-food-and-fuel-sectors-in-soybean-oil-bidding-war-2021-06-23-food-business-news
- Commodities: [Soybean Oil](https://feedsoft.ai/c/SBO.md)

## Why it matters

Tight soybean oil supply from the food-versus-fuel competition is likely to keep vegetable oil prices elevated for 12 to 24 months. Higher oil prices also reduce the oil share of crush economics, which can pressure soybean meal values.

## Read by commodity

- SBO: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SBO | 2025-04-22 | [US soybean oil market set to soar \| Food Business News](https://feedsoft.ai/events/25205-us-soybean-oil-market-set-to-soar-food-business-news.md) | +2.6% | +0.9% |
| SBO | 2025-07-15 | [Biofuels industry driving soybean oil demand - Brownfield Ag News](https://feedsoft.ai/events/15107-biofuels-industry-driving-soybean-oil-demand-brownfield-ag-news.md) | +2.4% | +0.2% |
| SBO | 2021-10-13 | [Bakers: Not a good time to raise biodiesel RVOs \| 2021-10-13  \| Food Business News](https://feedsoft.ai/events/44392-bakers-not-a-good-time-to-raise-biodiesel-rvos-2021-10-13-food-business-news.md) | +4.4% | -0.5% |
| SBO | 2018-03-21 | [Ban on palm oil to profit rapeseed and soy - Food & Agribusiness](https://feedsoft.ai/events/66096-ban-on-palm-oil-to-profit-rapeseed-and-soy-food-and-agribusiness.md) | -0.5% | -1.0% |
| SBO | 2021-10-12 | [Oil becoming new driver for soybean industry](https://feedsoft.ai/events/44619-oil-becoming-new-driver-for-soybean-industry.md) | +2.9% | -1.9% |

## Sources

- foodbusinessnews.net: https://www.foodbusinessnews.net/articles/18944-food-and-fuel-sectors-in-soybean-oil-bidding-war

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.