Romania. Sunseed crop and export prospects in MY 2018/19

19.06.2018

According to the latest report of European Commission, in 2018 sunseed production in EU countries will decrease in average by 6.5% y/y to 9.73 MMT. Lower production is expected due to decline in sunseed sowing area to 4233 Th ha, which is 3% lower than 5-year average for the EU.

Moreover, experts of European Commission envisage decrease in average sunseed yields at the background of summer heat and forecasted deficient precipitations in the key producers.

Lower crop is expected in such key domestic market suppliers as Hungary, France and Romania. Forecast is not picturesque for such importer as Spain. Growth in production is seen in Bulgaria and its recovery in Italy.

During the last month temperature regime exceeded the multiyear norms by 4-6°С. Severe and moderate soil drought persists in the Southern, South-Eastern parts.

Taking into account the preliminary data on sowing progress, Romanian sunseed crop in 2018 is to be lower last year and lower than 5-year average for the country.

Given the reduction of crop potential compared to last season, in the 2018/19 MY, Romanian sunseed exports may decrease, despite strong demand from importers. Noteworthy, Ukraine and Russia may receive record high crop in 2018, thus competition will intensity in the region.

Nevertheless, the estimate will be further adjusted depending on weather conditions, which may influence crop prospects in summer.

Full version of the article is available to subscribers for weekly market report “Black Sea Grain” and “Online market review” by UkrAgroConsult.

More detailed information on the latest trends in grain exports, supply and demand balances with breakdown by crop as well as crop conditions and progress in planting in the countries of Black Sea Region is available to subscribers for weekly market report "Black Sea Grain" by UkrAgroConsult.

 

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