INTERNATIONAL MARKET

• Sunflower is one of the main oleaginous crops in the world. The average world production has been stable during the past five years. It has been estimated in 25 million tons for the 2004/2005 campaign. Russia, Ukraine and Argentina are the greatest producers.
• Sunflower is mainly used for oil elaboration. A production of 8.8 million tons is estimated for the 2004/2005 campaign. Sunflower oil is the fourth most important production worldwide after soy, palm and colza oils.
• Argentina, Russia and Ukraine are also the main producers of sunflower oil.
• Sunflower oil world trade has been stable in the last five campaigns. However, Argentina is still holding a leading position.
• The volume traded in 2003 reached 3.4 million tons for US$ 1,583 million. Argentina (30%), Ukraine (27%) and The Netherlands (10%) are the main exporters. On the other hand, The Netherlands (11%), Argelia (8%) and Germany (6%) are the main buyers.
• The world production of sunflower pellets is also important, as it is the principal grinding subproduct. Argentina is the first exporter, and the European Union the greatest importing block.

NATIONAL PRODUCTION AND CONSUMPTION

• During the 90’s, the volume of sunflower oil produced showed a growing tendency. However, towards the end of such decade, an important decrease was recorded in oils prices, affected by the world over-offer and by the application of protectionist policies by several countries. This scenario, together with the producers’ tendency towards soy crops, of higher income-yield capacity, resulted in a minor sunflower production and industrialization.
• During the 2004/2005 campaign, the cultivated area reached 1.9 million hectares while the production would total 3.5 million tons. The main producing provinces are Buenos Aires, Córdoba and La Pampa.

• Although part of the sunflower seed production is used in confectionery, most of it is used in oil elaboration. Article 528 of the Argentine Food Code defines sunflower oil as such obtained from seeds of different varieties of Helianthus annuus L.
• The industrializad volume in 2004 reached 2.8 million tons obtaining 1.2 million tons of oil and the same volume of pellets.
• During the first three months of 2005, the grinding was 17% higher than such of the same period during the previous year. 1 million tons were industrialized to obtain 420,000 tons of oil and 400,000 of pellets.
• In Argentina, sunflower oil is the second oil in importance after soy’s due to its volume of production and food consumption within the internal market.
• In 2004 the internal consumption reached 326 thousand tons, with a per capita consumption of 8.8 kg/inh./year. Until 2000, the consumption of sunflower oil had shown a sustained rise, but showing a decline in the following years.

EXPORTS

• The oleaginous complex is a sector with an exporting structure which supplies over 80 countries. Sunflower exports include oil – raw and refined – pellets and seeds, to a lesser extent.
• The sunflower oil market is affected by numerous restrictions such as quotas and high rates imposed by importing countries. Despite this complex scenario, the Argentine production reaches an important number of countries.
• During 2004, the volume of exported oil reached 920 thousand tons, for nearly US$ 560 million. 11% of the volume was exported refined and packed, and the main destinations were The Netherlands (26%), Egypt (12%) and South Africa (11%).
• During January-March 2005, the external sales of sunflower oil increased 44% in volume and 37% in value. They totaled 341,000 tons for US$ 205 million.

• The volume of exported pellets during 2004 reached 930 thousand tons for US$ 75 million. The Netherlands (54%), the United Kingdom (13%) and Italy (7%) were the main demanders.
• As it likewise occurred with the other vegetable oils, sunflower oil quotation showed a changing tendency in the past years. A strong fall occurred in 2000 due to an over-offer of substitute oils such as colza and palm. In the following campaigns, the growth rate of oils production went down and this, together with a sustained consumption pace, propelled a new rebound in the general level of prices.
• The main exporting firms of sunflower oil were Cargill, Oleaginosa Moreno, Nidera, Vicentín, Molinos Río de la Plata and Oleaginosa Oeste. The six firms represent over 90% of the total volume exported.
• The most important shipping ports are Necochea and Bahia Blanca, in the province of Buenos Aires followed by San Lorenzo/San Martín, in Santa Fe. .

THE COMPANIES

• In our country, the provinces of Santa Fe and Buenos Aires concentrate the greatest number of oil plants. Presently, there are 47 working plants which mainly process sunflower among other oleaginous seeds. However, sunflower grinding is mainly performed in the Province of Buenos Aires, the principal producer of this seed.

BIBLIOGRAPHY

Oil World, ISTA – INDEC – CIARA - J.J.Hinrichsen – Universidad Nacional de Quilmes, Area Tecnología de Alimentos - Dirección Nacional de Mercados, SAGPyA - A & G, Publicación de ASAGA

ASSOCIATIONS

Cámara de la Industria Aceitera de la República Argentina - http://www.ciara.com.ar - ciaracec@ciaracec.com.ar