Sunflower Processing in the EU Falls to a Nine-Year Low: Impact on Ukrainian Exports
The European Union has significantly reduced the overall volume of oilseed processing, particularly sunflower, which may impact exports from Ukraine.
This is reported by AgroReview
Decline in Sunflower Processing in EU Countries
Despite increased demand for soybeans and rapeseed, the EU recorded a nine-year low in sunflower processing for the 2024/25 marketing year. From July to September, the total volume of soybean, rapeseed, and sunflower processing fell to 11.85 million tons, which is 2% less compared to the same period last year.
In particular, while soybean and rapeseed processing showed slight increases to 3.5 million tons and 6.62 million tons respectively, these positive trends were offset by a sharp decline in the sunflower sector. Sunflower processing from July to September decreased to 1.74 million tons compared to 2.02 million tons during the same period last year. Experts cite depleted stocks from the previous season and delays in harvesting this year’s crop as the main reasons.
“For the 2024/25 marketing year, sunflower processing volume decreased to 7.47 million tons compared to 9.32 million tons in the previous season. This is the lowest figure in the last nine years. The most significant declines occurred in key agricultural countries: Bulgaria, Romania, France, Hungary, and the Netherlands.”
Market Dynamics of Soybeans and Rapeseed in the EU
Amid the sunflower shortage, soybeans have significantly strengthened their position in the European market. For the 2024/25 marketing year, the volume of soybean processing in the EU increased by 7% to 15.5 million tons. A true breakthrough occurred in the production of soybean meal, which rose to 22.2 million tons from 18.4 million tons in the previous season. This allows soybean meal to more actively displace rapeseed and sunflower meals among feed proteins in the European market.
The rapeseed segment, on the contrary, demonstrated a decline. In the 2024/25 marketing year, the volume of rapeseed processing amounted to 25.12 million tons, which is lower than last year’s figure of 25.98 million tons.
Overall, the sharp decline in the production of sunflower oil and meal in EU countries may create additional opportunities for Ukrainian exporters, although competition from soybeans and rapeseed remains high.