Processors lower sunflower prices in anticipation of a further drop in oil prices

2021-12-22 12:05:03
Machine translation
Processors lower sunflower prices in anticipation of a further drop in oil prices

This week, purchase prices for sunflower seeds in Ukraine and Russia continued to fall under the pressure of falling prices for vegetable oils, even despite the lack of offers from producers.


In Ukraine, prices for sunflower seeds with an oil content of 48-50% from Monday fell by 200-500 UAH/ton to 18500-19500 UAH/ton (597-628 $/ton without VAT) with delivery to the plant. Processors have already purchased the necessary stocks of raw materials for the next month, and expect increased sales in the new year. However, then sunflower prices will be formed in accordance with the cost of sunflower oil.


In Russia, according to the SovEcon agency, the average price of sunflower this week decreased by 900 rubles/ton to 35,850 rubles/ton (4 485/ton excluding VAT). Last week, processors lowered prices by 1-2 thousand rubles/ton, and some by 3 thousand rubles/ton in anticipation of a further reduction in oil prices.


Supply prices, according to experts, also decreased, but only slightly, as manufacturers restrain sales, hoping for increased purchases by manufacturers in the new year against the background of low stocks.


Prices for sunflower oil last week fell by 8 80-100/ton to F 1280-1295 / ton FOB under the pressure of a sharp drop in prices for palm and soybean oil.


February palm oil futures on the Malaysian stock exchange fell 11.5% last week, but yesterday rose 2% to 4,384 ringgits/ton or0 1,042/ton.


January soybean oil futures on the Chicago Stock Exchange rose slightly yesterday, rising 2.5% from Monday to понеділка 1,197/ton, which is 3.8% higher than the previous week's level.


Quotes support speculative growth in soybean prices, as traders actively buy futures ahead of the long weekend, fearing a possible decline in forecasts for a record soybean harvest in Argentina and southern Brazil due to a lack of precipitation.


Experts expect a further decline in purchase prices for sunflower amid uncertainty in the sunflower oil market, especially given the tightening of quarantine restrictions in Europe and Asia.

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