Exports of rapeseed from Ukraine to EU in the new season can complicate changes in the law

2020-06-17 12:50:38
Machine translation
Exports of rapeseed from Ukraine to EU in the new season can complicate changes in the law

Last year, the price of rapeseed in Ukraine has decreased by 5-10 $/MT because of weather conditions, the oil content of seeds was 41-42% in comparison with the conventional 43-44%. This year exports will be complicated by the presence of rapeseed chlorpirifos that is used during the growth as broad-spectrum insecticide action.

 

In February 2020, came into force changes in the European legislation, which banned the use of insecticides containing chlorpirifos and chlorpirifos-methyl, and the import into the EU products, the residual content of these substances which exceed 0.01 mg/kg. in fact, it will stop the import of agricultural products in the EU, the manufacture or storage which used such drugs.

 

It can block the supply of EU rapeseed from Ukraine, in the cultivation of which the farmers use these substances. Almost 90% of Ukrainian rapeseed exports to the EU, therefore the question of determining the availability chlorpirifos and chlorpirifos-methyl in the parties entering elevators or port terminals, will be very serious. Expensive analysis can be carried out only a few accredited laboratories, the legislation does not reglamentary the content of these substances in the rape, and the laboratory of grain elevators and terminals will not be able to inspect.

 

the head of the analytical Department of "UkrAgroConsult", Yulia Garkavenko, in 2020/21 mg of the rapeseed crop in Ukraine will be reduced to 3 million tons and exports – up to 2.5-2.6 million tons, but because of the content chlorpirifos problems may arise with the export of 1-1. 5 million tonnes of rapeseed in the EU. Europe is on the decline in own production is interested in the Ukrainian rapeseed, however, even in the case of blocking of exports to the EU Ukraine will be able to increase the internal processing with the subsequent export of rapeseed oil in China, which now buys 71% of total exports of these products.

 

Problems with exports of rapeseed will lead to the decline in export prices, making refiners are stepping up purchases of raw materials. However, the price level will depend on the harvest in Ukraine and in the EU.

 

the Purchase prices for rapeseed of the new harvest in Ukrainian ports for the week rose to 411-415 $/t or 12800-13100 UAH/t 15-20 $/t higher than the prices this time last year.

 

the rising price of rapeseed on Euronext Paris for 6 €/t in may and 5.5 €/t to 376,5 €/t or 424,11 $/t in the first half of June amid declining production forecasts in the EU support prices for rapeseed in Ukraine.

 

Experts MARS as a result of difficult conditions for crops in France, Romania and the Benelux countries was reduced in the June report, the forecast yield of winter oilseed rape in the EU from 2.95 to 2.9 t/ha compared to 3.08 t/ha in average of 5 years.

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