The sharp increase in sunflower prices due to deteriorating crop forecasts in Russia has caused concern among producers and processors.

Prices for sunflower seeds in Russia are rising due to low yields and increased demand. Manufacturers note small seeds with less oil content, which also affects prices. Experts do not expect a sharp increase in prices in the future.

The Ministry of Agriculture and the American agricultural department confirm the yield forecasts. Sunflower harvesting in southern Russia has begun, and prices are expected to stabilize.

19 October 2024

According to the Central Bank report "Regional Economy" for October, sunflower prices from producers have risen due to deteriorating crop forecasts in central and southern regions of Russia, as well as increased demand from processors. Experts predict that the oilseed harvest will be 4-6% lower than last year's level, but higher than the average of the last five years. Sunflower collection is expected to be significantly lower than last year.

According to the report, farmers note a decrease in the yield and quality of sunflowers: the seeds are too small and contain less oil, especially in regions that faced frost and drought - the Central and Southern Russia, as noted by analysts from the Central Bank. In connection with this, sunflower producers are raising prices, as they have increased demand from processors.

According to analysts from the agency of Lilia Varygina, the company "OleoScope" does not expect further sharp price increases for sunflower. She notes that the sharp rise in oil prices due to reduced yields in the South caused a temporary price hike, which could lead to speculation in a growing market. The cost of sunflower should stabilize according to real demand, and the situation in the foreign market helps to set the oil price at just over $1,000 per ton FOB. Varygina also adds that the current market conditions have exhausted the price growth reserves, and storage losses due to deferred revenue will not be justified.

Varygina notes that the final cost will be influenced by raw material and harvest levels. The Ministry of Agriculture of Russia and the American agricultural department maintain their forecasts for sunflower harvest. Analyst Varygina also notes that according to "OleoScope" forecasts, sunflower production this year will be around 15.4 million tons excluding new territories. Sunflower harvesting is currently underway in the South of the country, in regions most affected by prolonged drought, therefore yield indicators are currently significantly lower than last year's, while there is no shortage of raw materials.

More news on agricultural industry - in our Telegram channel. Subscribe!

Using a special form, you can send us news, which will then be included in the news section of the site and in the digest.

Articles sent 214

Submit your article

Source: Forkagro.com

All information on the site is for personal use only

The sharp increase in sunflower prices due to deteriorating crop forecasts in Russia has caused concern among producers and processors.

Tariffs for grain transportation are stable, pending new navigation closures and changes in duties.

Scientists have developed a spray coating that increases crop productivity and saves energy in greenhouses.

Chita poultry farm has increased egg production threefold thanks to the financial support from the regional government.

Research: How birch trees adapt to changing climatic conditions to effectively carry out photosynthesis.

Bulgaria is facing a catastrophic corn harvest due to the hot summer: exports and production may decrease.

Farmers in the USA are switching to cheaper generic pesticides, weakening the position of agrochemical companies.

The Russian veterinary market is increasing its production volume against the backdrop of import substitution policies, with a projected doubling by 2030.

The Federal Scientific Center for Agroecology and the Ministry of Ecology of Azerbaijan have signed an important memorandum of understanding.