The Ukrainian government is considering the possibility of limiting the export of sunflower seeds and introducing licenses for the sunflower oil export.
This has been affirmed in a government decree, Refinitiv reports.
Deputy Minister of Economic Development Taras Vysotsky stated on April 14 that the government did not see the need to ban the export of sunflower oil in the 2020/21 season (September-August), while the issue of limiting the export of sunflower was under consideration. According to him, a decision can be made in the near future, but not this week.
Market operators stated the government could introduce a zero quota on sunflower oil export from May 2021. According to them, at least 200,000 tons of sunflower oil may remain in the country as part of measures to respond to rising food prices.
Context. Neighboring Russia has already introduced an export duty on sunflower seeds of 30%, but not less than 165 euros per ton from January 9 to June 30 this year. The Russian Federation has also approved the introduction of a floating duty on the sunflower oil export for the period from September 1, 2021 to August 31, 2022.
Reference. The Ukrainian government announced that the export of sunflower oil in the 2020/21 season (September-August) could amount to about 5.52 million tons out of 5.92 million tons produced this season.