“the Growth is related to the active production of sunflower oil and ban the export of sunflower seeds”, – the report says “Sovekon”.
From October to February, it produced 3.3 million tons of sunflower oil, which is 23% higher than last season over the same period. In March, the volume of sunflower oil production amounted to 581 thousand tons (plus of 15.6% compared to last year), which is an absolute monthly record, according to “Sovekon”. According to Rosstat, in September – March 2019/20 grain year produced almost 3,63 million tonnes of sunflower oil (plus 24,2% compared to the same period of the previous season). Oil production in the current season, according to “Sovekon” will be 6.0 to 6.2 million tons against last year’s record at 5.0 million tons, the Share of exports in production will exceed 50% versus 44% last season and 40% on average in recent seasons. “The ban of export of sunflower has led to the revival of demand for oil, primarily from Turkey”, – explained in the “Sovekon”.
Recall that the prohibition of exports of sunflower seeds from Russia outside the EAEU was established by decision of the EEC from 12 April to 30 June. The initiative came from Russian oil and fat Union, which hoped that the closures will stop its rapid export and stabilize the prices of sunflower seeds on the domestic market. According to the “Center of agrobaltika” (subordinated to the Ministry of agriculture) supply of seeds abroad since the beginning of the season amounted to 1.09 million tons (9.5 times more than the previous year).
However, the prices of sunflower and after the closure has continued to grow. According to the Ministry of agriculture, for March, the cost of sunflower seeds increased by 5.8% (to 20 049 RUR/t). Just a week from 16 to 23 April 2020 average sunflower prices increased by 2.1%, up to 20 673 RUB./t. According to the “Center Agrobaltika”, the cost of sunflower seeds in comparison with the figure for the corresponding period last year increased respectively by 9.8%.
“in order to prevent a sharp rise in prices associated including with a jump course, at the level of the EAEU, it was decided on the suspension of exports till the new season. Of course, rising prices are now, but this measure will allow to avoid significant fluctuations,” – said in mid-April, Deputy Minister of agriculture, Oksana LUT.
