Ukrainian sunflower oil export prices grow by almost 40% in 2 months - APK Inform

KYIV. April 28 (Interfax-Ukraine) - Bottled deodorized sunflower oil from Ukraine has appreciated by 33-39% in the past two months to USD2-2.25/liter under FCA (Free Carrier) Incoterms.

APK Inform published the dynamics of the commodity's price change in February 24 - April 28, 2022 on its website on Thursday.

"The commodity's appreciation was prompted by a decrease in the number of offers as a result of either a total cessation or considerable reduction of operations by processing units," the agency said in a statement.

Demand for sunflower oil from importers is believed to be rather high, which can be attributed, in particular, to the current blockade of Ukraine's seaports, it said.

The reorientation of exports toward railroad logistics and road haulage, which has been associated with the above factor, resulted in relevant infrastructure being overloaded, which in turn triggered additional costs and delays in bottled oil shipments to international markets and also contributed to the price hikes.

As reported earlier, total sunflower oil exports from Ukraine in 2020/2021 marketing year (September-August) were up 21% year on year, at 5.28 million tonnes.

In early March, the European vegetable oil and fat trade body FEDIOL warned that EU countries would ran into shortages of unrefined sunflower oil in four to six weeks (April 7-21), with the deficit being caused by an involuntary suspension of the commodity's exports from Ukraine.