Turkey decreasing its import dependence in the oilseed and vegoil market

25.10.2017

Turkey is a key player in the Black Sea market of sunseed and its products. In its pursuit to reduce the dependence not only on feedstock imports, but also on foreign sunmeal and sunoil, the country draws attention of both major Black Sea exporters (Russia and Ukraine) and minor ones (Bulgaria, Moldova and Romania).

In the conditions of excessive crushing capacities and growing domestic demand for sunseed products, an important task for Turkey is stepping up sunseed production.

It is obvious now that the new marketing year 2017/18 becomes the most successful for Turkish sunseed growers not only due to a planted acreage expansion to a record level, but also because of favorable weather that resulted in the highest yield and crop reached to 1.6 MMT.

Turkey, though remaining the world’s second largest sunseed importer, will reduce purchases of this commodity in foreign markets in MY 2017/18 by 18%. Also, the country will cut sunoil imports by 13%. At the same time, sunmeal purchases may increase by 4-5%.

The new 2017/18 season will show if this decline will be appreciable for Turkey’s key exporters, i.e. Russia and Ukraine. It is worth noting that the statistics of the first month of 2017/18 shows a drop in export flows of these commodity groups, reports UkrAgroConsult.

However, the above is going to be somewhat offset both for Russia and Ukraine by a sunseed crop shortfall with consequently decreased exportable stocks of this oilseed and its products in the new 2017/18 season.

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

 

UkrAgroConsult

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