Sunflower oil has fallen in price in Russia

The expectation of a higher harvest in the largest exporting countries of sunflower oil, Russia and Ukraine, in recent weeks has led to a “landslide” fall in prices on the world market, said the director of the analytical center “Sovekon” Andrey Sizov. According to him, the prices for sunflower oil on the domestic market, under the pressure of export quotations, also began to decline, but not as fast as in the world.

Export prices were actively declining in the first half of June due to weak demand for Black Sea oil from importers (Turkey, China and India), expectations of a record sunflower harvest and a decline in world prices for soybean and palm oil. A few months ago, world prices for sunflower oil reached $ 1.7 thousand per ton, now they are about $ 1.1 thousand, Mr. Sizov told RBC.

Under pressure from export quotations, prices on the domestic market began to decline. At the end of May, sunflower cost about 53.1 thousand, and by the end of June – about 40.9 rubles. per ton. Crude sunflower oil from producers fell sharply from the end of May to the end of June – from 118 thousand to 100 thousand rubles. per ton. From 5 to 11 July, domestic prices for sunflower fell to 37.8 thousand rubles. per ton without VAT, for sunflower oil – up to 91.6 thousand rubles. per ton.

According to Sovekon’s estimates, sunflower harvest may become a record this year and reach 15.9 million tons. The previous record was in 2019 – 15.4 million tons. In 2020, only 13.3 million tons were harvested.

In mid-December 2020, in order to curb the rise in prices for sunflower oil, the Ministry of Agriculture, the Ministry of Industry and Trade, the Federal Antimonopoly Service, suppliers and retailers signed a price fixing agreement. The agreements fixed the maximum wholesale and retail prices for sunflower oil – 95 and 110 rubles. The agreement was valid until April 1, but later it was extended until October 1. Further, the Ministry of Agriculture does not plan to extend it.

More details about the plans of the department – in the material of “Kommersant” “Sugar will not be found.”

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