Russia losing Kazakhstan’s market of sunflower oil

08.12.2016

A State Program for 2017-2021 agriculture development has been worked out in Kazakhstan, envisaging an accelerated pace of the agricultural sector’s development and enhancement of its role in the national economy in the coming five years.

In view of a comprehensive approach to its implementation, the Program is intended to resolve not only economic issues but also some social ones by 2021. First of all, it stipulates increasing gross agricultural production by 30%, workforce productivity by 50% and irrigated acreage by 40%. The above will enable reducing agricultural imports and, moreover, expanding exports of agri-products by 17%.

Occupying over 10% of total planted acreage, oilseeds are already now of significant importance in Kazakhstan’s crop production. A gradual expansion of oilseed plantings began in 2007 and they peaked in MY 2014/15 at a record size. Oilseed plantings are expected to increase by 3 Ml ha by 2021.

If Kazakhstan implements its agriculture policy plans as for decreasing of vegoils purchases successfully, major sunseed oil exporters, including Russia, will have to think of switching their shipments to other countries, Svetlana Kupreeva, oilseed analyst of UkrAgroConsult, notes.

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

 

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