Fish oil shortage could boost demand for linseed oil
Global demand for linseed oil could increase in the coming months as the aquaculture sector expands and fish oil supplies remain tight, driving prices significantly higher. According to analysts, rising prices for traditional feed ingredients are making linseed oil an increasingly attractive alternative for feed manufacturers.
At the same time, major producing countries faced an oversupply of linseed in the 2025/26 season, leading to higher exports and lower prices. In late June, linseed prices in the EU fell by about 5% to €640/t, compared with €815/t a year earlier. Linseed oil is now becoming increasingly price-competitive, particularly as the cost of alternative feed ingredients continues to rise.
Analysts believe that the combination of lower linseed oil prices and a shortage of fish oil could reshape global trade flows. Stronger demand from the aquaculture sector is expected to support the linseed oil market, increase crushing activity, and improve processing margins.
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