Sunseed prices in Ukraine rose to $744/t
The world vegetable oil market has resumed recovery after a previous correction during the week. At the same time, buyer activity remains uneven. This was reported by analysts at Spike Brokers.
Meanwhile, in Ukraine, sunflower seed prices continue to outpace the dynamics of processed products. Over the week, the cost increased by $9/t to $744/t CPT.
“Thus, even with oil prices growing, the ratio between raw materials and products is not improving, which maintains pressure on processing,” the brokers noted.
They specified that in April, the export structure began to shift towards oil (332 thousand tons), with Turkey, Spain and Italy as the key destinations. At the same time, the meal segment (258 thousand tons) remains critically dependent on China (149 thousand tons), which increases sensitivity to changes in demand from one market.
At the same time, despite the recovery of the oil segment, the domestic market operates in an unbalanced processing economy, where raw materials are becoming more expensive faster than the final product.
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