10% export duty on rapeseed and soybeans reduces domestic prices in Ukraine

On July 16, the Verkhovna Rada adopted draft law No. 13157, which provides for the introduction of a 10% duty on the export of rapeseed and soybeans from August 1, 2025. The draft law received the support of 245 deputies. The document also includes an amendment to create a fund to support agricultural producers to mitigate the impact of the duty.

Who is exempt from duty:

• Agricultural producers who independently export their own products;
• Agricultural cooperatives that export the products of their members.

This creates unequal conditions between producers and traders: if a farmer sells for export directly, no duty is charged, but under hryvnia contracts, traders reduce prices by approximately 10% , including the duty in the purchase price.

How is the market reacting:

• Prices in hryvnia decreased:
  • Rapeseed — up to 23,900–24,500 UAH/t ;
  • Soybean (GMO) — up to 18,000–18,200 UAH/t .
• In currency, prices remained unchanged:
  • Rapeseed — $535–540/t ;
  • Soybean — $383–388/t .

Analysts believe that the tariff will not stop exports, but will only transfer them into currency contracts. The main negative will be for small farmers who cannot export independently.

International reaction:

• Rapeseed futures in Paris , after rising 2.3% before the vote, fell 1% to €471.75/t (≈$548/t) .
• November and February contracts are more expensive by €8–13/t, signaling an expected price increase in the second half of the season.
• In Canada, improving weather is helping planting — November canola futures fell 2.2% to CAD 676/t (≈$493/t) .

For Ukrainian farmers, there are traditionally two most profitable periods for selling rapeseed: at the start of the season and in September-October. It is during these months that there is active demand from the EU, as European processors are actively building up stocks before the start of the canola harvest in Canada and Australia. These time windows provide an opportunity to sell rapeseed at relatively high prices before large volumes of North American and Australian products enter the market, which traditionally increases competition and puts pressure on quotes.

Tags: Ukraine, prices, soybean, rapeseed