Activity Olin falls due to the lack of raw materials
due to lack of raw materials for continuous processing enterprises are many Russian factories were forced to stop prematurely for the planned repair of the equipment. Most of them stopped the processing of sunflower seeds before the end of the current MG or temporarily shifted to the processing of winter rape.
As of July 1, the stocks of sunflower seed in Ukraine totaled 852,8 thousand tons, including domestic elevators were kept 441,2 thousand tons. Part of the plants for processing of sunflower are also stopped.
Domestic processors of canola could not compete with traders actively buying rapeseed by the introduction of a VAT refund upon export of the seeds. Therefore, the increase of the processing volumes of rapeseed are expected. The rapeseed crop is estimated at 1.2 million tons, of which 200 thousand tons of seeds will be processed olan enterprises, and 1 million tonnes will be exported by traders.
In the EU in recent years, the volume of rapeseed processing is also falling. In April-June 2016 total was revised 5.36 million tons of oil, which is 5% lower than the same period last year.
it is Expected that in the season 2016/17 MG imports to the EU rape will not exceed 3.3 million tone. Now possible volume of export of rape seeds in the new season of Ukraine in the EU is estimated at 850 thousand tons. As a result of falling domestic production, this figure will be the lowest for the last few seasons.