Sunflower Seed Prices Rose by Up to +$5/t Over the Week
Over the past week, purchasing prices for sunflower seeds in Ukraine have increased — the spot index for delivery within 30 days rose by $3/t (including VAT), reaching around $677/t (including VAT) for 8/3/48 quality, CPT Odesa.
According to analysts from Spike Brokers, the final gross harvest of sunflower seeds is expected to reach approximately 10.5 million tons. However, the situation remains quite mixed: despite what seems to be a solid production volume, the highly developed processing industry is already facing a certain raw material deficit.
Meanwhile, sunflower oil prices continue to strengthen, with the spot premium — driven by limited supply — already extending to November deliveries. In particular, prices for October–November delivery toward the ports have risen to $1,255–1,260/t.
At the same time, Ukrainian oilseed processing plants are trying to restrain the growth of purchase prices to protect their processing margins.
Key Takeaways
- Demand for sunflower seeds remains strong due to favorable conditions in the vegetable oil market.
- Despite a seemingly large harvest, the supply base for processing is tightening, likely due to logistical, infrastructural, or quality factors.
- Processors are showing caution in purchasing, which serves as a signal for farmers: take advantage of the current price rise, but stay alert to the risk of restrained demand from the processing sector.