EU Oilseed Imports Surge Amid Shifting Supplier Dynamics

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The Dominance of Ukrainian Oilseeds in EU Market

In the 2022/23 marketing year, Ukraine emerged as the leading supplier of sunflower seeds, rapeseed, sunflower meal, sunflower, and soybean oil to the European Union. This significant import increase, up 68% from the previous season to 9.8 million tons, reshaped the EU’s import landscape for oilseeds. The share of Ukrainian sunflower in the total EU sunflower imports rose from 12.7% to 85.5%, while the share of Ukrainian rapeseed increased from 37.8% to 45.5%. Despite these gains, imports of Ukrainian rapeseed oil and meal saw a slight decrease.

The influx of low-cost raw materials from Ukraine proved highly advantageous for European processors, enabling them to lower food prices and reduce food inflation in the EU from 9% to 6.5%. However, the ongoing conflict between Ukraine and Russia may pose future challenges to the stability of these supply chains.

Changing Import Patterns for Oilseeds in the EU

In the 2022/23 marketing year, EU countries increased oilseed imports by 13% to 18.926 million tons compared to the previous season. Meanwhile, meal imports decreased by 1% to 15.926 million tons, and oil imports fell by 19% to 5.5 million tons. The import patterns for oilseeds in the EU experienced notable shifts:

  1. Soybean imports dropped by 13% to 10.06 million tons. The share of supplies from the USA increased from 33.7% to 45.5% (4.68 million tons), while supplies from Brazil declined from 52.1% to 32.7% (3.36 million tons). Ukrainian soybean imports grew from 3.2% to 11.4% (1.178 million tons).
  2. Rapeseed imports rose by 46% to 6.536 million tons. Deliveries from Australia increased from 43.9% to 45.1% (2.948 million tons), and Ukraine’s share grew from 36.5% to 45.1% (2.948 million tons). Canadian imports, however, fell from 13.2% to 3.5% (0.23 million tons).
  3. Sunflower imports surged by 306% to 2.095 million tons. Ukrainian supplies increased from 15.5% to 84.4% (1.79 million tons), while Moldovan imports dropped from 59.5% to 8.3% (0.175 million tons).

These shifts in oilseed import patterns highlight the evolving dynamics of the EU’s oilseed market, with Ukraine’s increasingly prominent role as a major supplier. However, the ongoing geopolitical instability in the region raises concerns about the long-term sustainability of these supply chains.

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