Purchase prices for sunflower seeds in Ukraine fell by 5-7%

In the Ukrainian market, there is a projected decline in purchase prices for sunflower, caused by a seasonal increase in supplies and the completion of harvesting and the expected harvest.

Against the background of delayed harvesting and restraining sales by manufacturers at the beginning of the season, processors quickly increased purchase prices from the starting 15,000 UAH/ton to 20,000 UAH/ton with delivery to the plant. However, last week, against the background of a slight decrease in sunflower oil quotes, prices for sunflower with delivery to factories decreased to the level of 18300-19000 UAH/ton (695-725 / / ton) for 46-47% oil with a premium for the best oil content.

In Ukraine, as of October 28, 13.5 million tons of sunflower with a yield of 2.31 t/ha were threshed from 5.9 million hectares or 90% of the area. The best yield – 3.44 t/ha was recorded in Khmelnitsky region. It is expected that the harvest will amount to 15.5-16 million tons, which will significantly exceed last year's figure and provide processors with the necessary volumes of raw materials.

Sunflower oil prices fell last week from F 1,400-т 1,430/ton FOB to F 1,370-т 1,420/ton FOB under pressure from low demand, but palm oil prices remain high, which will keep soybean and sunflower oil prices at a high level in the near future.

Palm oil prices on the Malaysian stock exchange rose 2% to 5,026 ringgit/ton, or.1,212/ton, on Friday as demand for Malaysian palm oil increased due to higher export duties in Indonesia and Indonesia's possible ban on crude palm oil exports.

The Indonesian government raised the reference price for palm oil from жовтні 1,196.6/ton in October to. 1,283. 38/ton in November, as a result of which the export duty on raw palm oil will increase from 1 166 to. 200/ton, and on olein – from 8 83 to. 117/ton.

At the same time, the government of Pakistan, the world's fourth-largest importer of palm oil, reversed its decision to reduce import duties and taxes on palm oil, which will increase pressure on quotes. The USDA estimates that in my 2021/22, the country will increase palm oil imports by 11% to 3.6 million tons compared to the previous season.