Sunflower oil mayonnaise producers switch to rapeseed oil

In the coming months, forwards for rapeseed oil are significantly cheaper than sunflower oil. So food producers can buy rapeseed oil $150-120/t cheaper than sunflower oil.

This was stated by Serhiy Repetsky, a partner at Sunstone Brokers (Switzerland), during an online meeting of the High Oleic Club 2025.

“Mayonnaise producers have begun to actively switch to non-GM rapeseed oil, and sunflower oil has begun to lose its share of consumption in the industrial sector. A processor can buy rapeseed oil 6 months in advance and have significant savings on this component of production,” explains Serhiy Repetsky.

According to him, Trump’s tariff wars have brought the greatest chaos and turbulence to the vegetable oil market. First of all, due to the introduction of tariffs on Canadian products, in particular rapeseed and all products processed from it, export flows of oilseeds have begun to change significantly.

“Traditional buyers of Canadian rapeseed and processed products were China and the USA, but after these countries imposed tariffs, Canadian products went to the European market. Canadian rapeseed is ideally suited for biodiesel production, so it began to displace European rapeseed and rapeseed oil from the energy sector. Approximately 2.5 million tons of Canadian rapeseed have already been imported to the EU, and this flow continues,” notes Serhiy Repetsky.

He adds that rapeseed from Canada is significantly cheaper, it comes with a discount of $40-50/ton to European. This significantly affected the redistribution of oilseed flows and demand in the industrial sector of oil consumption, since a fairly large spread between rapeseed and sunflower oil was formed.

Tags: rapeseed oil, sunflower oil