Sunseed prices in Ukraine are falling despite high exports of sunflower oil

Refined Sunflower Oil

Published Mar 6, 2024

Tridge summary

In the first half of the 2023/24 marketing year, Ukraine saw an 18.5% increase in sunflower oil exports, reaching 3.2 million tonnes. This was despite a 10% decrease in oil supply to the EU, as exports to Turkey and India saw a significant rise. The increase in exports is attributed to the competitive pricing of Ukrainian oil compared to soybean or palm oil. However, the purchase price of sunseed in Ukraine has dropped due to a slight decrease in oil prices and a significant drop in sunflower meal prices. The global market is expected to see an increase in soybean oil supply, which could further pressure prices.

Disclaimer: The above summary was generated by a state-of-the-art LLM model and is intended for informational purposes only. It is recommended that readers refer to the original article for more context.

Original content

In the first half of 2023/24 MY, Ukraine increased the exports of sunflower oil by 18.5%, from 2.7 mln tonnes to 3.2 mln tonnes, compared to the same period of the previous season. In particular, in February, the country exported 603 thsd tonnes of the oil, down 1% compared to January 2024, but up 50% compared to February 2023. According to Share UA Potential, in comparison with January, the oil supply from Ukraine to the EU decreased by 10% to 364.1 thsd tonnes due to the accumulation of significant oil stocks in Europe. At the same time, exports to Turkey increased by 15% to 81.6 thsd tonnes, and to India – 54 times from 0.7 to 38.1 thsd tonnes. While in 2022 Ukraine exported 4.3 mln tons of sunflower oil worth $5.5 bln, in 2023 it exported 5.7 mln tons worth $5 bln. According to market analysts, Bunge has significantly increased its oil exports this season, but Kernel remains the largest producer and exporter of sunflower oil in Ukraine. High export rates are driven by low ...

Source: UkrAgroConsult