Volga Baikal AGRO NEWS Update on the Sunflower & Sunflower Oil Prices !!!

Volga Baikal AGRO NEWS Update on the Sunflower & Sunflower Oil Prices !!!

Sunflower and sunflower oil prices: there are no prerequisites for lowering prices for sunflower and sunflower oil in the next few months, experts say. The reason for this is the high world prices for soy and its processed products, as well as for palm oil. However, large stocks of sunflower from Russian agricultural enterprises may still have a negative impact on prices. Now sunflower prices are about $100/ton lower than last year at the same time.

In his opinion, restrictions on the export of sunflower and oil in Russia have already led to the fact that the prices of sunflower seeds in our country in dollars now amount to $ 540 /ton, while in Ukraine – over $ 700 / ton, although export prices for vegetable oil are about the same.

Domestic sunflower prices, excluding exchange rate fluctuations, are declining if we compare this year with the previous one. The average price of sunflower oil on the foreign market in January 2022 amounted to $1.36 thousand/ton, which is 9% higher than in January last year. At the same time, the effect of the export duty on sunflower oil provides lower prices in the domestic market, where, on the contrary, it has fallen in price by 5%.

In the coming months, sunflower and oil prices, on the one hand, will be affected by an overabundance of oilseeds in the domestic market, on the other – a possible unfavorable situation with soybeans and palm oil on the world market. And it is still difficult to say how these two opposite factors will affect prices.

According to OilWorld (Germany) analysts, by the end of the season, the supply of processed products in terms of sunflower on the world market will grow from 34 million tons to 41.2 million tons (over 21%), which will further accelerate the fall in prices.

On January 1, sunflower stocks in agricultural enterprises were at a record level. Now the FOB Black Sea prices for Russian sunflower oil are $1.4 thousand/t. The duty has had a strong impact on the export of sunflower oil. Despite the high harvest and good sunflower stocks, oil production this season is inferior to the pace of last year. Similarly, exports lag behind: on January 23, it amounted to 899 thousand tons against 1.2 million in the previous season.

Over the past two months (December — January), the volume of sunflower oil exports has managed to increase after sagging in the first months of the season, and today they have increased by 20% compared to the same period last season.

Source: Agroinvestor.ru

Volga Baikal AGRO News Update ......

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