Ukrainian sunflower exports calmed the edible oil market

Published Mar 18, 2023

Tridge summary

Ukraine has seen a significant decrease in sunflower oil exports, from 612,000 tons in January 2022 to 347,000 tons in January 2023, due to infrastructure damage and blockade of ports involved in the export of sunflower oil, as reported by SovEcon agricultural consulting company. As a result, prices of sunflower oil and other cooking oils have surged, leading to global food inflation. However, Ukrainian farmers have been exporting raw sunflower seeds, which has allowed European edible oil producers to replace the oil and reduce market prices. An agreement has been made for the export of Ukrainian crops from three ports, with efforts to extend the agreement to other ports.

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

Original content

According to the data of the SovEcon agricultural consulting company, Ukraine exported 347,000 tons of sunflower oil in January, which is a significant drop compared to the 612,000 tons exported in January 2022, immediately before the war. After Russia, Ukraine is the world's second-largest producer of sunflowers, and the country's halt in exports sent prices of sunflower oil and other cooking oils soaring in the first days of the invasion. In recent months, Ukrainian farmers have been sending raw sunflower seeds to foreign buyers instead of oil. One of the reasons for this is that the Russians have damaged the energy infrastructure, and the other is that the Ukrainian ports involved in the export of sunflower oil are still essentially under blockade. According to SovEcon data, Ukraine exported 190,000 tons of sunflower seeds in January this year. In January 2022, the month before the invasion, the country exported barely 4,000 tons, and even in January 2021, only 12,000 tons of ...

Source: magyarmezogazdasag