Purchase prices for sunflower in Ukraine continue to rise

Sunflower harvesting continues in Ukraine, and as of September 12, 2.975 million tons were threshed from 1.5 million hectares or 30% of the area with a yield of 1.98 tons/ha, which is still inferior to last year's figure.
During the week, demand prices for sunflowers with an oil content of 50% increased by another UAH 500/t to UAH 20,500-21,500/t with delivery to the factory, as farmers hold back sales against the background of rising prices and collect late crops.
Demand prices for sunflower oil and meal in ports during the week remained at the level of $910-930/t and $190-195/t, respectively, so processors buy sunflower, reducing the processing margin.
According to Economics, for the week the average price of sunflower oil with delivery to buyers increased by 6% to $995/t following the results of the latest tender in Egypt, where GASC purchased sunflower oil at a price of $1,045.5/t C&F, which is 27.5 $/t exceeds the purchase price at the August 7 tender.
Palm and sunflower oil prices remain under pressure from lower soybean oil prices.
December soybean oil futures on the Chicago Stock Exchange during the week fell 1.8% to a multi-year low of $857/t (last month's level) reached in August. But today's August soybean processing report could support prices.
FAS USDA experts reduced the forecast of the sunflower harvest in Ukraine in 2024/25 MR by 1 to 12.5 million tons (15.5 million tons last year), which will be 21% less than the average 5-year indicator due to a decrease in yield and sowing area.
In the September report of the USDA, the forecast of the world production of vegetable oils in 2024/25 FY was left at 227.1 million tons (224.55 million tons in 2023/24 FY, 218.33 million tons in 2022/23 FY and 208.62 million tons in 2021/22 MR), since the decrease in sunflower oil production by 0.76 to 19.82 (22.15) million tons will be compensated by the increase in palm oil production by 0.6 to 80.43 (79.48) million tons.
The forecast for the production of rapeseed oil was increased by 0.13 to 34.31 (34.27) million tons, despite the decrease in the rapeseed harvest by 1.27 million tons.
Russian sunflower oil offers for October delivery rose $5/t to $930/t FOB amid rising domestic sunflower prices.