Protests Over Import Restrictions
Bulgarian farmers are gearing up for nationwide protests in response to the parliament’s decision not to extend temporary restrictions on imports of Ukrainian agricultural products, particularly sunflower seeds. The protest, set to be peaceful and indefinite, aims to urge the parliament to reconsider its stance on lifting the ban. With support expected from around a million citizens, farmers hope to draw attention to the potential negative impact of resuming Ukrainian sunflower seed exports, especially as Ukraine anticipates a significant harvest amid declining global prices.
Market Prices and Offers
Currently, actual deal prices for sunflower seeds in Bulgaria stand at 390 USD/t DAP Bulgaria, with bid prices holding steady at the same level on average. Additionally, offers for new harvest Ukrainian sunflower seeds with delivery in October are available in the market.
Sunflower Seed Harvest Outlook
APK-Inform Agency’s updated assessment forecasts a 7% increase in Ukraine’s sunflower seed harvest to 13.4 million tonnes in 2023 compared to 2022. However, total domestic supply is expected to decrease by 16% due to reduced carry-over stocks, potentially leading to a decline in sunflower seed processing to 12.4 million tonnes (-11%) in the 2023/24 marketing year.
Export Prospects and Impact
Export of Ukrainian sunflower seeds in the upcoming season is also expected to decrease, contingent on the EU Commission’s decision regarding the extension of the ban on supplies to five EU countries after September 15. Nonetheless, increased activity from export-oriented companies suggests a likely resumption of Ukrainian oil exports to Bulgaria. This could intensify competition for raw materials domestically and potentially support prices, which have seen a significant decline during the recent harvesting campaign.
The standoff between Ukrainian sunflower seed exports and Bulgarian farmers underscores the complexities of agricultural trade dynamics. As stakeholders navigate these challenges, market stability and fair trade practices remain paramount for sustainable growth in the sunflower seed industry.
Source:ApkInform