Sunflower prices in Ukraine are rising, but farmers expect a level of 28,000 UAH to stimulate sales

Published Feb 18, 2025

Tridge summary

The Ukrainian sunflower market is currently facing a standoff between farmers seeking high prices and processors dealing with low demand and slim margins. Despite a recent uptick in export prices for sunflower oil and meal, factors such as competition from soybean meal and potential reductions in palm oil exports could limit further price increases. As a result, some plants may cease production, which could decrease purchase prices for sunflower. Meanwhile, the war in Ukraine could potentially drive oil prices down by 3-5%, impacting biofuels and production raw materials. Additionally, increased sunflower sowing areas in Europe, Ukraine, Kazakhstan, and the Russian Federation could lead to a surge in sunflower oil production, putting downward pressure on prices.

Disclaimer: The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

In the sunflower market in Ukraine, the confrontation continues between farmers expecting maximum prices and processors suffering from low demand for oil and low processing margins, unstable work and fluctuations in prices for raw materials and finished products. Last week, in the Black Sea ports of Ukraine, export prices for sunflower oil increased by $10-20/t to $1080-1100/t, and for sunflower meal - by $10-12/t to $220-225/t, which allowed to increase the purchase prices for sunflower. Prices for meal were supported by the increase in prices for feed grains in ports to $220/t, but they are limited by increased competition from soybean meal, the prices for which on the world market continue to fall. Sunflower oil prices were supported by the growth of palm oil futures on the Bursa exchange in Malaysia, which rose by 4% in two weeks to 4,542 ringgit/t or $1,022/t amid declining inventories. However, further growth will be limited by a reduction in palm oil exports in ...

Source: Graintrade