Weekly Product Updates

W48 Sunflower Update: Ukraine Faces 20% Drop In Sunflower Oil Exports, Contrasting Russia’s 37% YoY Surge

Sunflower Seed
Russia
Market & Price Trends
Refined Sunflower Oil
Ukraine
Published Dec 8, 2023
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Ukrainian Sunflower Demand Prices Reach Highest Levels Since Sept-23

At the end of Nov-23, demand prices for sunflowers in Ukraine have reached their highest levels since Sept-23. Maximum demand prices, ranging from USD 367.54 to USD 383.88 per metric ton (mt) ex-mill, were observed in the southern and central regions. Processors are interested in paying more for large oil volumes, high oil content, and high-oleic sunflowers. Meanwhile, the minimum demand prices, starting from U337.60/mt ex-mill, were reported in the eastern and northern parts of the country. Several factors contribute to this increase, including high demand from processing enterprises, rising prices and shipment rates in the export market for sunflower oil, and farmers gradually increasing supply while curbing sales of raw materials.

Ukraine Records a 20.5% Decrease in Sunflower Oil Exports in 2023/24 MY

In the 2023/24 marketing year (MY), Ukraine exported 764.4 thousand mt of sunflower oil, reflecting a 20.5% decrease compared to the same period in the previous season. The export revenue from sunflower oil amounted to USD 609.8 million, marking a significant decline of 44.2% year-on-year (YoY). In Oct-23 alone, Ukraine exported 407 thousand mt of sunflower oil, experiencing a 10.5% YoY decrease, with revenue reaching USD 317 million, reflecting a 36.8% YoY decrease. The average price of vegetable oil was USD 780.1/mt. Meanwhile, from Jan-23 to Oct-23, Ukraine exported 4.5 million metric tons (mmt) of sunflower oil, marking a 33% YoY. The revenue generated from these exports amounted to USD 4.04 billion, reflecting a 9.4% decrease YoY. The average price per ton of sunflower oil during this period was USD 897.8/mt.

Russia's Sunflower Oil Exports Surge by 37% YoY from Jan-23 to Oct-23

From Jan-23 to Oct-23, Russia's sunflower oil exports increased by 37% YoY to 3.60 mmt, constituting more than 65% of the total vegetable oil exports. The main buyers were India (731 thousand mt) and China (726 thousand mt).

Orenburg Region, Russia, Completed 91% of Sunflower Harvest

As of November 27, sunflower harvesting for grain in the Orenburg region, Russia, has reached 91% of the harvested area, covering 1.23 million hectares (ha). A total of 1.29 mmt of sunflower seeds have been threshed, with an average yield of 1.27 mt/ha. The highest yields were in the Kurmanaevsky district (1.91 mt/ha), Abdulinsky urban district (1.81 mt/ha), Asekeevsky (1.78 mt/ha), Grachevsky and Matveevsky districts (1.65 mt/ha each), Kvarkensky district, and Sol-Iletsk urban district (15.9 c/ha). Six districts, including Akbulaksky, Asekeevsky, Grachevsky, Ileksky, Kurmanaevsky, and Severny, have completed sunflower harvesting, while others are at 95-98% completion.

Sunflower to Sustain Profitability in Russian Oilseed Market in 2024

In 2024, rapeseed, soybeans, and sunflower are expected to maintain their leading positions in terms of profitability among oilseeds in Russia. Demand for these crops will continue to grow, driven by processing enterprises exporting products to global markets. The top three crops rapeseed, soybeans, and sunflower are anticipated to be in high demand, with the export of vegetable oils accounting for 30% of all exports. Russian products are expected to be sought after on the world market, contributing to the overall profitability of oilseed crops.

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