Due to the competition of Ukrainian and Russian exporters, sunflower oil has become cheaper than other oils

Competition between Ukraine and Russia on the sunflower oil market has led to a decrease in the price of this product. Prices for it on the world market are lower than for palm and soy oils. This situation enabled India to buy a record amount of sunflower oil for delivery in July — 500,000 tons.

This was told by two leading Indian buyers and a customs official.

“A few weeks ago, crude sunflower oil was available in India at $940 per tonne, including cost, insurance and freight (CIF), for delivery in June, while soybean and palm oil were offered at around $1,015 and $950 per tonne, respectively, according to dealers,” the message reads.

According to one of the buyers, Ukraine, Russia and Argentina competed aggressively in the market and offered sunflower oil at a lower price than other oils. The buyer even reduced the volume of purchases of other oils in favor of sunflower.

According to a market participant, the Indian industry will need some time to process the purchased volumes, so next month’s purchases will be lower. Last marketing year, India, on average, bought 250,000 tons of sunflower oil per month. The previous record volume of sunflower oil imports by India was recorded in January 2023, the volume was 461,458 tons.

Tags: Market, Ukraine, Russia, sunflower oil, price, India