Kazakhstan increased production of unrefined sunflower oil in 2021/22 MY

More than 278 thousand tons of unrefined sunflower oil were produced in Kazakhstan in the 2021/22 marketing year, according to official data for the Republic of Kazakhstan. Compared to the 2020/21 season, product output increased by almost 1.5 times.

Chairman of the Board of the National Association of Oilseed Processors (BNAOP) Yadykar Ibragimov attributes such dynamics to the introduction of quantitative restrictions on the export of sunflower seeds during the season and the emergence of new seed processing capacities in the country.

“The increase in the production of domestic sunflower oil made it possible to stabilize prices in the domestic market and increase the export of this product, and the launch of new enterprises provided the local population with stable jobs,” the expert said.

According to the head of the BNAOP, prices for sunflower seeds have also grown in the country over the season: if at the start of 2021/22 MY, the crop was sold at 186-202 tenge per 1 kg (22.28-24.2 rubles), then in April-May this year The price varied in the range of 280–290 tenge (33.54–34.74 rubles).

At the same time, Ibragimov noted that oil prices remained quite volatile due to the tense geopolitical situation.

“After February 24, prices for sunflower oil on the world market increased by 59%, and from March to June they remained at the level of $2,000/ton FOB Argentina, which was primarily due to the inability to ship sunflower oil from Ukraine, which is a top exporter . of this type of product, due to the blocking of ports, – commented the head of BNAOP. “At the same time, the same sharp jumps in the sale prices of refined oil were not observed in our Kazakhstani market, thanks to the measures taken to limit the export of raw materials. The trend of a slight increase in prices for refined sunflower oil throughout the season is associated with an increase in prices for sunflower seeds, since the share of seeds in the cost structure of finished products is more than 80%. As a result of the increase in the load of domestic oilseed plants, as well as the possibility of selling processed products for export at more attractive prices, it was possible to avoid sharp fluctuations in sunflower oil prices on the domestic market.”

Tags: Kazakhstan, sunflower oil