Sunflower meal market is booming

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According OIL WORLD (Germany), at the time, as production, trade and consumption of soybean meal to be downward trend in 2015/16 MY, sunflower meal market is booming, which is explained by the relatively lower prices.

It is predicted that the world production of sunflower oil will increase by 0.3 million tons compared to last year - to 7.3 million tons in 2016, mainly due to growth in production in Ukraine and Russia.

It should be noted that the supply of sunflower meal in the EU countries did not decline as previously expected, the second half of 2015/16 MY, due to the expected increase in shipments from Argentina. This will help compensate for the failure of European producers meal. World exports are expected to exceed last year's volume of 0.5 million tons in April-September 2016, primarily due to the stagnation of domestic demand in Ukraine, the largest supplier of sunflower oil on the world market. World consumption of sunflower meal and probably will increase in the second half of 2015/16 MY, offsetting the negative trend, recorded during the first 6 months of the season.

Add that to the company "ProAgro", since the beginning of 2015/16 MY Ukraine produced 1 954 thousand tons of sunflower meal/cake (2 081.8 thousand tons in the first six months of 2014/15 MY). However, the volume of exported goods during this period amounted to 2 033.9 thousand tons, increased slightly compared to the same period of the previous season (1 960.9 thousand tons). This factor, coupled with the projected increase in sunflower production in Ukraine in 2016, makes the expectations for increasing the supply of meal on world markets this season is quite justified.