The shutdown of nearly one-third of oil extraction plants, power outages, and limited port operations due to constant shelling have reduced the supply of sunflower oil from Ukraine, ProAgro Group reports.

Over the past week, bid prices for sunflower oil delivered to ports increased by $30, reaching $1,270–1,280 per tonne. However, supply remains constrained as many processing plants are still idle.

The rise in oil prices has triggered a sharp increase in sunflower seed prices in Ukraine, significantly boosting raw material supply. Analysts expect that easing frost conditions will help restore plant operations and increase deliveries of sunflower seeds and oil at elevated price levels.

As reported earlier, russian strikes on oil-processing facilities threaten Ukraine not with a domestic oil shortage, but with the loss of export potential.

Source: GrainTrade