1. Weekly News 

Argentina

Argentina's 2024/25 Sunflower Boom Sets Records and Signals Strong Growth Potential

The 2024/25 sunflower campaign has set new records in Argentina, marking a pivotal year for the sector. Production reached an all-time high of 4.7 million metric tons (mmt), 30.6% higher than the previous season, largely driven by the crop's expansion into non-traditional regions such as the Pampas, Salado Basin, Córdoba, and San Luis. This expansion was supported by technological advancements and sunflowers' resilience to drought conditions.

Crushing activity also saw historic gains, with May-25 alone registering 466,378 metric tons (mt), the highest monthly volume in over a decade. Led by Buenos Aires and Santa Fe, total crushing from Jan-25 to May-25 reached 1.74 mmt, a 13-year high. Strong global demand, particularly from India, alongside favorable export tax policies, contributed to a robust start to the year.

Despite this performance, studies suggest a 34 to 40% yield gap remains, indicating considerable untapped potential. The season's success, fueled by shifts in planting behavior and environmental advantages, positions sunflower oil production for continued expansion in the years ahead.

Armenia

Armenia Bans Sunflower Oil Exports to Safeguard Food Security Due to Full Import Dependence

Armenia has imposed a temporary six-month ban on the export of sunflower oil and key grains such as wheat, barley, and corn to bolster national food security. Announced by the government, the measure aligns with Eurasian Economic Union (EAEU) regulations. Armenian authorities highlight the country's heavy reliance on imports, particularly from Russia, which supplies 100% of its sunflower oil consumption.

Moldova

Moldova Extends Sunflower Import Licensing as Market Pressures Weigh on Industry

Moldova has extended mandatory licensing for sunflower imports through the end of 2025 to stabilize its agricultural market amid regional oversupply and declining prices. First implemented in Oct-23, the policy continues to face mixed responses. While it aims to support local farmers, it has disrupted operations for key industry players. For example, Moldova’s largest vegetable oil producer, Floarea Soarelui, temporarily halted production in early 2024 due to licensing delays. Local sunflower crops show strong yield prospects, benefiting from favorable spring conditions, while some producers are withholding stock in anticipation of higher prices.

Russia

Russia Cuts Sunflower Oil Export Duty in Jul-25

In Jul-25, Russia will lower its export duty on sunflower oil to USD 60.37/mt (RUB 4,739/mt), down from USD 90.70/mt (RUB 7,120/mt), reflecting a slight decline in indicative prices. The duty on sunflower meal will also decrease modestly. Effective under the current export duty regime valid through Aug-26, these adjustments may enhance the competitiveness of Russian sunflower oil in global markets.

2. Weekly Pricing

Weekly Sunflower Oil Pricing Top Producers (USD/kg)

Yearly Change in Sunflower Oil Pricing Top Producers (W26 2024 to W26 2025) 

Russia

In W26, Russia's sunflower oil prices declined slightly by 0.88% week-on-week (WoW) to USD 1.12 per kilogram (kg) but remained 20.43% higher year-on-year (YoY), reflecting lingering supply constraints from earlier in the season. The recent easing in prices is attributed to improved supply conditions as sowing progress reached 91% with expanded acreage. However, prices continue to be supported by earlier weather-related disruptions and sustained export demand from Southeast Asia. Although the government halved export duties (USD 60.18/mt) in Apr-25, a concurrent rise in the reference price tempered the intended effect. The upcoming further reduction in export duties in Jul-25 may enhance international competitiveness and exert additional downward pressure on prices in the medium term.

Ukraine

In W26, Ukraine's sunflower oil prices rose by 0.89% WoW to USD 1.13/kg, reflecting a strong 20.21% YoY increase from USD 0.94/kg in 2024. This price uptick is supported by higher sunflower seed costs, at USD 555 to 565/mt as of W26, amid increased processing activity and a stronger United States dollar. However, this upward trend may be short-lived. Global factors such as falling biofuel demand, declining crude oil prices, and expanded exports from Russia and Argentina are increasing supply-side pressure. With Argentine sunflower oil exports reaching 532,000 mt in the first five months and Russian FOB prices surpassing Ukrainian offers, Ukraine's export competitiveness may weaken. As a result, despite recent gains, sunflower oil prices in Ukraine could face downward pressure in the near term.

Argentina

In W26, Argentina’s sunflower oil prices remained stable at USD 1.09/kg, showing no weekly change but rising 12.37% YoY due to increased supply following harvest. However, while demand remains subdued amid global economic uncertainties, overall availability is constrained by reduced processing capacity, partly due to delays from a major crusher shutdown. Elevated YoY prices reflect persistent structural challenges such as high logistics and input costs, and past weather disruptions. The 2024/25 sunflower campaign set production records at 4.7 mmt, supported by crop expansion into new regions and technological improvements. Historic crushing volumes and strong export demand, particularly from India, underpin a positive outlook, although a significant yield gap suggests further growth potential that could influence future price dynamics.

3. Actionable Recommendations

Invest in Yield Improvement and Technological Adoption

Encourage public and private sector collaboration to close the 34 to 40% yield gap in Argentina’s sunflower production by promoting advanced agronomic practices and drought-resilient technologies. Closing this gap can sustain production growth, enhance export volumes, and improve price stability in the medium term.

Strengthen Processing Capacity and Logistics Infrastructure

Address current processing bottlenecks in Argentina and other key producing regions by investing in crushing facilities and improving logistics networks. Enhancing processing throughput will ensure that record harvests translate into marketable sunflower oil volumes, preventing supply-side constraints and supporting export competitiveness.

Monitor and Adapt to Trade Policy and Export Duty Changes

Importers and exporters should closely track Russia's planned reduction in export duties and regional trade restrictions (e.g., Armenia’s export ban and Moldova’s import licensing). Strategic sourcing, diversification, and flexible supply contracts will help mitigate risks related to regulatory shifts and maintain supply continuity amid evolving market dynamics.

Sources: Tridge, Ukr AgroConsult, Grain Trade, Bichos de Campo, APK