Ministry of Agriculture of the Russian Federation the oil and fat sector is attractive for investors

Published 2021년 7월 26일

Tridge summary

The Russian Ministry of Agriculture expects stable investment and production growth in the fat-and-oil industry, despite temporary setbacks like the decline in sunflower harvest due to weather conditions. The industry has seen significant growth, leading to increased processing capacities and export potential. Russia achieves self-sufficiency in vegetable oil and plans to maintain stable prices through tariff regulation and an increase in sunflower harvest. Exports of fat and oil products have surged by 38% year-on-year, reaching $3.69 billion as of July 18, and the country plans to implement a floating duty on sunflower oil exports from September 1 until August 2022.

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Original content

“The industry retains its investment attractiveness, the implementation of projects for the construction of processing plants, in particular, in the Kursk and Lipetsk regions, continues. Thus, the Ministry of Agriculture does not expect a decrease in investment activity in the sector and in production volumes in the future, ”the ministry said in a statement released on Sunday. As the Ministry of Agriculture emphasizes, it was the growth of investments in recent years that allowed the fat-and-oil industry to demonstrate a stable positive dynamics of development, increase processing capacities, and increase export potential. “It should be noted that in the first half of the 2020/2021 season. in the world market there was a significant increase in sunflower prices, which led to an increase in the export of this crop from Russia. Taking into account the decline in the harvest in 2020 due to unfavorable weather conditions, this led to a decrease in the production of finished products ...

Source: Food Retail Russia