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Sunflower seeds: Prices drop to a season low

June 9, 2017 at 12:16 PM , Der AUDITOR
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SOFIA. Alternating rain and sunshine provide optimal prerequisites for the development of the Bulgarian crop. The central part of the country in particular will benefit from the rainfall in the next few days and the plants are thriving (see image 1).

The prices for black in shells, 96% purity, are subject to increasing pressure and dropped to 312 EUR/mt CPT Varna this week. The overall oilseed market is also rather weak these days. 

Sunflower seeds, Eastern Europe

Type

EUR/kg

Bakery, DDP Germany

0.710

Black, in-shell, CPT Varna

0.312

Too positive?

The Bulgarian Ministry of Agriculture reckons that this year's acreage will be about 9% bigger than in 2016. Last year, 1.84 million mt were harvested. Surpluses from 2015 and imports were also available. Deducting domestic consumption and export volumes, about 1.05 million mt of Bulgarian sunflower seeds are still available for the last few months of 2016/17. However, traders think that this value is overestimated and are assuming that the volume will be considerably smaller. Nonetheless, because of the weak demand, shortages are not to be expected. 

 

Sunflower seeds, Bulgaria

Value

mt

Surplus 2015

340,000

Crop 2016

1,837,677

Import

154,615

Total availability

2,332,292

Domestic consumption

1,002,828

Export

281,404

Remaining stocks

1,048,060

Source: Ministry of Agriculture


Price drops are possible

The offers for bakery seeds remain stable and suppliers are mainly busy with fulfilling ongoing contracts. In the warm summer months, proper storage of the sunflower seeds is particularly important, otherwise insect infestation and rancid seeds can rapidly become a problem. Bakery sunflower seeds for prompt delivery are still trading on a level of 630 EUR/mt FCA Bulgaria; the prices for 2017 have dropped back down to 600-605 EUR/mt FCA.

 

Attached Files

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SBK Hristiyan Petrovic 2
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Sunflower kernels bakery price chart
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Sunflower seeds black price chart

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