Free of charge

Sunflower seed kernels: Price situation worse than feared

October 28, 2016 at 7:48 AM , Der AUDITOR
Play report as audio

SOFIA. Market participants are stunned. Eastern Europe is realising its worst nightmares.

The price shock is no longer just a threat, but bitter reality.

Market participants in Eastern Europe can only shake their heads in dismay, because prices are climbing and climbing. Bakery-type sunflower seed kernels currently already cost 640 EUR/mt FCA. The reason for this is a simply unbelievable interaction of incredibly many factors.

The price boosters
The harvest turned out significantly worse than alleged still in summer. Apparently, the extreme drought in July and August has left its marks. The Eastern European oil mills are an additional factor, insofar as that they increased their production because the worldwide demand for sunflower seed oil is high. Thus, raw sunflower seed prices have already increased to 350 EUR/mt CPT Varna. The primary problem, however, is the absence of exporters from India, and China. Their own crops cannot even cover the local demand, so they have to effect additional purchases in origins such as the Ukraine, and Bulgaria.

Fears are surpassed
Several traders see their fears confirmed. Rumours of continuing low prices for this year revealed themselves as pure speculation. Prices were understated at the beginning of the season. Over time, stocks will decrease, and prices will rise further. The increasing raw sunflower seed prices have also driven up prices for bakery-type produce already, with the price level at 645-650 EUR/mt FCA.

sunflower seed kernels, Eastern Europe

type

EUR/kg

bakery, DDP Germany

0.720

raw seeds, CPT Varna

0.350

oil seeds, Budapest Stock Exchange

0.329

 

Attached Files

File icon
sunflower kernels, hulled, bakery, 99.95%, 1.1 - 0.5
File icon
sunflower seeds, unhulled, black, 0.509 - 0

View related articles

Go to the News Overview
Grains
Apr 25, 2025
BRUSSELS. Rain has improved conditions for wheat. Ukraine’s corn exports have slumped by 20%. US soybeans are holding up surprisingly well. With the euro hitting a three-and-a-half-year high against the US dollar rapeseed quotations have tumbled.
Oilseeds
Apr 24, 2025
OTTAWA/ASTANA. Russia is once again banning flaxseed imports from Kazakhstan. Traders report delays in deliveries from the origin. Canadian farmers could expand their sowing this year.
Oilseeds
Apr 24, 2025
OLOMOUC. Although the official cultivation forecast is still pending, it can currently be assumed that sowing in the Czech Republic will be higher than last year. However, the low rainfall in recent months could reduce yields.
Oilseeds
Apr 23, 2025
SOFIA/BUENOS AIRES. Larger acreages and higher yields are ensuring good crop results in Argentina. In Ukraine, sowing is progressing much more slowly than last year.