Will Ukrainian sunoil withstand competition?
The bumper sunseed crop Ukrainian growers managed to harvest in 2016 – 14 MMT (UkrAgroConsult’s estimate) – predictably matters in the 2016/17 season. Justifying expectations of analysts and market participants, both sunseed crushing and sunoil exports show a record pace. So, sunoil production by large and medium-sized crushers in the five months of 2016/17 is estimated at 2.5 MMT and this product’s exports exceed 2.2 MMT. In addition, sunseed itself is actively shipped to foreign markets.
Meanwhile, crushers face no feedstock deficit, it is no problem to bring sunoil production to the stated level. However the realization of Ukraine’s export potential in the sunoil market will in many respects depend on future world prices for competing vegoils, UkrAgroConsult notes.