Turkish market participants expect that the government will raise import duties on both sunflower seeds and sunflower oil from June 1 to 27% and 36% respectively. This is reported by sources interviewed by the AgriCensus agency.
“These are just market expectations. No confirmation has been officially announced yet.” said one of the sources in Turkey. With this situation, there may be a slowdown in imports.
According to USDA analysts, Türkiye’s gross sunflower harvest this season is projected to rise to 1.9 million tons (+8.6% for the year), one of the highest for the country in 10 years.
At the same time, this situation will have a serious impact on the Ukrainian market of sunflower oil. “This means that Türkiye will buy only if the price of the product is competitive. On the other hand, Ukraine cannot afford to lose its key buyer and therefore will be forced to reduce the price of the product,” Anilkumar Bagani, head of research at Sunvin Group, suggests.
At the same time, the presence of Russian sunflower oil on the market and the willingness of domestic exporters to significantly adjust their prices downwards will also put additional pressure on Ukrainian sunflower oil prices.