2022/23 Argentine sunflower seed production expected to hit record high

Argentina’s position in the global sunflower seeds and manufactured products market is expected to strengthen in 2022/23, according to Pablo Adreni, head of Pablo Adreni Argentina.

Adreni expects Argentina’s sunflower seed production to reach 4.65 million tons in 2022/23, well above the previous year’s 3.42 million tons and the highest level in more than a decade, as the area sown will increase to 2.2 million hectares from the previous year’s 1.67 million hectares.

The outlook for domestic sunflower seed processing is also improving due to increased production. 2022/23 sunflower seed crushing in Argentina could reach a record 4.25 million tons, up 22.3% year-on-year. Sunflower oil production could increase to a record 1.8 million tons, and exports could exceed 1 million tons. Sunflower meal production could increase to 1.7 million tons, up 22.3% year-on-year, and exports could reach 1.3 million tons, up 27% year-on-year. 153,300 tons of sunflower oil were exported from Argentina in May, almost double the amount in April and the highest single-month record on record, well above the 110,000 tons in May 2021 and 98,000 tons in May 2020.

Adreni believes sunflower oil and other vegetable oil prices have peaked. With an expected increase in Argentine sunflower oil production, the price of sunflower oil for January 2023 delivery could fall to about $1,500/mt (FOB at the port), compared with about $2,400/mt (FOB) in February this year.

Source: BoE Guru


Post time: Jul-20-2022