Grains: News, Market Analysis, Yields, and Prices of Wheat, Barley, and Corn, Wheat Demand and Supply Dynamics: Trend Analysis, Sunflower (Helianthus Cultus) in Russia: Key Oilseed Crop and Oil Production - Fork Cast

Prices for palm oil have dropped due to low exports from Malaysia and competition with soybean oil. Exports to India have decreased, which has led to a decline in demand. However, prices are still higher than those for soybean oil. Some traders are taking profits ahead of the holidays.

More than half of the sunflower crop in the Altai Territory has been tested, with 58.3% of the seeds being of grades 1 and 2, and 41.2% of grade 3. In the Krasnoshchekovsky and Kurinsky districts, more than half are of the highest quality.

In 2024, the export of sunflower from the region exceeded 168,000 tons, with the main importer being Kazakhstan. 33.7 thousand tons of kernels were shipped to China and Belarus.

Grain exports decreased by 23.2% to 2.5 million tons. The growth in shipments in the first half of December was replaced by a decline. Wheat prices are strengthening in Europe and Russia.

Domestic grain prices are fluctuating, while farmers are hopeful for growth. Exports to Egypt and Bangladesh have increased, with no deliveries to Saudi Arabia. Export quotas for grain in 2025 will be limited.

By the end of October 2024, Russia has increased its export of sunflower oil to India to 1.8 million tons, which is twice as much as the previous year. India has become the main importer, acquiring 43% of the total volume, followed by Turkey at 15% and China at 13%.

In the current season, India plans to import 3.4 million tons of sunflower oil, while Russia is strengthening its position in the market.

At the "Pig Farming-2024" conference, the general director of the Institute for Agricultural Market Conjunction discussed plans to increase processing of oilseeds that require additional planting areas. The crop yields are differently evaluated: sunflower will decrease, while rapeseed and soybean will reach record levels. Prices for meal are decreasing, raising questions about the quality of soybean. Russian producers of rapeseed meal will face changes in market channels due to the export ban to the EU.

The National Commodity Exchange has launched a test calculation of new exchange indices for sunflower seeds, rapeseed, and margarine. The indices display prices per 1 ton of the product. The calculations are based on NTB auction prices including VAT. Market interest in the new indices is planned to be evaluated.

Production of soybeans in the EU has decreased due to poor weather conditions. The European Commission has reduced the forecast to 2.8 million tons, which is 10,000 tons less than the previous year. In Romania, the harvest has decreased by 44%, reaching 171,000 tons. Hungary has increased production by 50%, but yields remain below average. Italian companies have reduced soybean imports by 5%. Sunflower crop in the Balkans is also expected to be low due to bad weather.

In Kazakhstan, the harvesting of oilseeds, including sunflower, has been successfully completed. The gross yield has increased by 46% compared to the previous year, however, the prices for seeds are rising due to their shortage. This leads to a decrease in the profitability of oil plants, but will allow farmers to increase revenue in the next season.

The Russian government has established a tariff quota for the export of sunflower seeds from the Zabaikalsky Krai: 9300 tons until August 31, 2025. The regulation comes into effect in 7 days.

In the Krasnoyarsk region, three rapeseed processing plants are planned to be built by 2029. The total project capacity will be 450,000 tons. There will be no changes in the sown areas. By 2024, a plant with a capacity of 72,000 tons was launched, and plants will also be launched in Achinsk and Uyar districts.

Food prices on the world market have been unstable this year, which has led to a decrease in exports. However, the volume of physical shipments has increased by 10%. Meat, dairy, and processed products were successfully exported. Russia aims to double agricultural exports by 2030.

At the conference, the importance of developing biopesticides and biofertilizers in agriculture was discussed. Putin is launching the National Project "Bioeconomy" to achieve technological leadership and enter world markets.

Russia is preparing to increase the production of biofertilizers and biopesticides to enhance competitiveness and food security.