Kazakhstan
- Rapeseed oil exports: Kazakhstan is a major exporter of rapeseed oil, with much of its production shipped to Russia, China and other countries.
- Government incentives: The Kazakh government is offering farmers and processors incentives to increase rapeseed production and processing, including subsidies, tax breaks and infrastructure investments.
- Favorable climate: Kazakhstan’s climate is well suited to rapeseed cultivation, with a long growing season and sufficient moisture.
- Increase in production: Kazakhstan’s rapeseed oil production has increased steadily over the years, driven by government support and investment in the industry.
- Diversification efforts: The Kazakh government is actively promoting the diversification of the economy, including the development of the rapeseed oil industry, to reduce dependence on oil exports.
Ukraine
- Largest producer in Eastern Europe: Ukraine is the largest producer of rapeseed oil in Eastern Europe, accounting for over 50% of the region’s production.
- Export-oriented industry: Ukraine’s rapeseed oil industry is heavily export-oriented, with a significant portion of its production being shipped to Russia, the EU and other countries.
- Competitive advantage: Ukraine’s rapeseed oil industry benefits from a competitive advantage due to its proximity to European markets, favorable climate and lower production costs compared to Western Europe.
- Government support: The Ukrainian government supports the rapeseed oil industry through subsidies, tax breaks and investments in infrastructure.
- Challenges: Ukraine’s rapeseed oil industry faces challenges such as logistical constraints, limited access to credit and competition from other oilseeds such as sunflower.
Eastern Europe
- Growing demand: Eastern Europe is experiencing growing demand for rapeseed oil, driven by increasing consumption of healthy foods and biofuels.
- Oilseed diversification: Eastern European countries are diversifying their oilseeds, with rapeseed becoming an increasingly important crop in countries such as Poland, Hungary and Romania.
- EU support: The European Union supports the rapeseed oil industry in Eastern Europe through the Common Agricultural Policy (CAP) and other initiatives.
- Competitive landscape: The rapeseed oil industry in Eastern Europe is highly competitive as there are many small and medium-sized enterprises (SMEs) operating in the region.
- Challenges: Eastern Europe’s rapeseed oil industry faces challenges such as limited access to credit, high production costs and competition from other oilseeds such as sunflower and soybeans.
Russia
Regions of rapeseed oil production in Russia
Rostov Oblast: Rostov Oblast, located in the Southern Federal District, is the largest producer of rapeseed oil in Russia, accounting for over 30% of the country’s total production. The fertile soil, the favorable climate and the well-developed infrastructure make the region an ideal location for growing rapeseed.
Krasnodar Territory: The Krasnodar Region is located in the North Caucasus Federal District and is another major rapeseed oil producing region in Russia. The region’s mild winters, long growing season and abundant water resources create a favorable environment for canola cultivation.
Stavropol region: The Stavropol Region is located in the North Caucasus Federal District and is known for its rich soil and favorable climate, which makes it suitable for rapeseed production. The region is home to several large rapeseed oil producers and exporters.
Voronezh Oblast: Voronezh Oblast is located in the Central Federal District and is a major rapeseed oil producing region in Russia. The region’s fertile soil, temperate climate and well-developed infrastructure support the cultivation and processing of rapeseed.
Lipetsk Oblast: Lipetsk Oblast is located in the Central Federal District and is another important rapeseed oil producing region in Russia. The fertile soil, favorable climate and proximity to important markets make the region an attractive location for rapeseed oil producers.
Tambov Oblast: Located in the Central Federal District, Tambov Oblast is a smaller but still significant rapeseed oil producing region in Russia. The region’s fertile soil, temperate climate and well-developed infrastructure support the cultivation and processing of rapeseed.
Saratov Oblast: Saratov Oblast is located in the Volga Federal District and is a smaller rapeseed oil producing region in Russia. The fertile soil, favorable climate and proximity to important markets make the region an attractive location for rapeseed oil producers.
Rapeseed oil production facilities in Russia
According to various sources, including the Russian Association of Oil and Fat Industry Enterprises (RUOFIE) and the Russian Ministry of Agriculture, there are about 30 to 40 rapeseed oil production facilities in Russia. These facilities are located in various regions including:
- Central Russia: 10-12 works
- Southern Federal District: 8-10 plants
- Volga Federal District: 6-8 works
- Siberian Federal District: 4-6 plants
- Far Eastern Federal District: 2-4 works
The technical equipment of Russian rapeseed oil production facilities varies depending on plant capacity, production technology and age. However, here are some common types of devices used in the industry:
Oilseed processing equipment
- Crusher: 10-20 units with capacities ranging from 100 to 1.000 tons per day
- Presses: 20-30 units with a capacity of 50 to 500 tons per day
- Extractors: 10-20 units with capacities from 100 to 1.000 tons per day
Oil refining equipment
- Refining lines: 15-25 units with capacities from 50 to 500 tons per day
- Bleaching lines: 10-20 units with capacities from 50 to 500 tons per day
- Deodorization lines: 10-20 units with capacities from 50 to 500 tons per day
Packaging and storage equipment
- Filling lines: 10-20 units with capacities of 1.000 to 10.000 liters per hour
- Storage tanks: 50-100 units with a capacity of 100 to 10.000 cubic meters
The total capacity of Russian rapeseed oil production facilities is about 2-3 million tons per year. Actual production volumes vary depending on factors such as crop yields, market demand and competition. In recent years, the average annual production volume has been around 1,5-2 million tons.
The key players in the Russian rapeseed oil production industry include:
- EFKO Group: One of the largest oilseed processing companies in Russia with a capacity of over 1 million tons per year.
- Rusagro Group: A leading agricultural holding company in Russia with a capacity of over 500.000 tons per year.
- Aston Group: A large oilseed processing company in Russia with a capacity of over 300.000 tons per year.
- Sodrugestvo Group: A large oilseed processing company in Russia with a capacity of over 200.000 tons per year.
Rapeseed oil varieties
Raw rapeseed oil: This is the most common type of rapeseed oil produced in Russia. It is obtained from rapeseed through a mechanical pressing process or solvent extraction. Crude rapeseed oil is used as a raw material for further refining and processing.
Refined rapeseed oil: Refined canola oil is made by refining raw canola oil to remove impurities and improve its color, flavor and texture. This type of oil is suitable for human consumption and is used in foods such as cooking oils, margarines and salad dressings.
Cold-pressed rapeseed oil: This type of oil is obtained through a cold-pressing process in which the oil is pressed from rapeseed without heat. Cold-pressed rapeseed oil is considered a premium product and is valued for its distinctive taste and nutritional benefits.
High erucic acid rapeseed oil (HEAR): HEAR oil is made from canola varieties that contain high levels of erucic acid, a long-chain fatty acid. This type of oil is used in industrial applications, such as the production of lubricants, plastics and cosmetics.
Low erucic acid rapeseed oil (LEAR): LEAR oil is made from rapeseed varieties that are low in erucic acid. This type of oil is suitable for human consumption and is used in foods such as cooking oils and margarines.
Organic rapeseed oil: Organic rapeseed oil is made from rapeseed grown without the use of synthetic pesticides, herbicides or fertilizers. This type of oil is certified by organizations such as the Russian Organic Union or the European Union Organic Certification Body.
Special rapeseed oil: Some Russian manufacturers offer special rapeseed oils with unique flavor profiles or nutritional characteristics. For example, some manufacturers offer rapeseed oil with a high content of omega-3 fatty acids or antioxidants.
Bottled rapeseed oil: Bottled canola oil is packaged in bottles or containers for retail sale. This type of oil is often refined and may be blended with other oils or additives to improve its flavor and texture.
Quality indicators and standards for rapeseed oil in Russia
Quality indicators
- Acid value: The acid value of rapeseed oil in Russia should not exceed 0,5 mg KOH/g.
- Peroxide value: The peroxide value of rapeseed oil in Russia should not exceed 10 mmol/kg.
- Moisture and volatile components: The moisture and volatile content of rapeseed oil in Russia should not exceed 0,2%.
- Impurities: The impurity content of rapeseed oil in Russia should not exceed 0,05%.
- Color: The color of rapeseed oil in Russia should be yellow or light yellow.
- Taste and smell: The taste and smell of rapeseed oil in Russia should be neutral, without foreign flavors or smells.
- Density: The density of rapeseed oil in Russia should be between 20 and 0,915 g/cm³ at 0,925°C.
- Viscosity: The viscosity of rapeseed oil in Russia should be between 39-45 mm²/s at 40°C.
- Iodine value: The iodine value of rapeseed oil in Russia should be between 100-120 g I₂/100g.
- Saponification value: The saponification value of rapeseed oil in Russia should be between 180-190 mg KOH/g.
Standards
GOST R 52465-2005: This standard establishes the requirements for rapeseed oil in Russia, including its quality indicators, packaging, labeling and storage.
GOST R 55574-2013: This standard establishes the requirements for refined rapeseed oil in Russia, including its quality indicators, packaging, labeling and storage.
SanPiN 2.3.2.1078-01: This standard establishes the sanitary and epidemiological requirements for rapeseed oil in Russia, including its production, storage and sale.
TR CU 021/2011: This technical regulation specifies the requirements for food products, including rapeseed oil, in the Eurasian Economic Union (EEU), which includes Russia.
Certification and labeling
GOST R certification: Rapeseed oil in Russia must be certified according to GOST R standards, which includes testing and inspection by a certified laboratory.
Labeling: Rapeseed oil must be labeled in Russia with information such as product name, net quantity, production date, shelf life and storage conditions.
Declaration of conformity: Rapeseed oil in Russia must be accompanied by a declaration of conformity, a document confirming the product’s conformity with Russian standards and regulations.
Share of the world market
In 2020, Russia produced around 1,3 million tons of rapeseed oil, which accounted for about 4,5% of the world’s total rapeseed oil production. Here is a rough breakdown of the global rapeseed oil market share by country:
- China: 35-40%
- India: 20-25%
- Canada: 10-15%
- Europe: 10-15%
- Russia: 4-5%
- Ukraine: 3-4%
- Australia: 2-3%
- Others: 10-15%
It is worth noting that rapeseed oil production in Russia has increased in recent years, due to state support of the agricultural sector and investments in oilseed processing infrastructure. However, the country still lags behind other major producers in terms of production volume and market share.
Russia’s rapeseed oil exports are mainly destined for European Union countries as well as Turkey, China and other Asian markets. The country’s main competitors in the global rapeseed oil market are Canada, Ukraine and the European Union.
Price dynamics for rapeseed oil in Russia
2017
- The average annual price of rapeseed oil in Russia was around 45.000-50.000 RUB/ton (around 670-750 USD/ton).
- Prices were relatively stable throughout the year, with a slight increase in the second half of 2017 due to strong demand from the food industry.
2018
- The average annual price of rapeseed oil in Russia rose to about 55.000-60.000 RUB/ton (about 820-900 USD/ton).
- Prices rose sharply in the first half of 2018 due to a drought in Russia’s main rapeseed growing regions, leading to a decline in production and an increase in prices.
- In the second half of 2018, prices stabilized and even fell slightly due to an increase in imports from Ukraine and other countries.
2019
- The average annual price of rapeseed oil in Russia fell to about 45.000-50.000 RUB/ton (about 670-750 USD/ton).
- Prices were influenced by a good harvest in Russia and an increase in world production, resulting in a surplus of rapeseed oil on the market.
- In the second half of 2019, prices increased slightly due to a decrease in imports from Ukraine and other countries.
2020
- The average annual price of rapeseed oil in Russia rose to about 60.000-65.000 RUB/ton (about 900-970 USD/ton).
- Due to the COVID-19 pandemic, prices rose sharply in the first half of 2020, resulting in increased demand for food and a shortage of rapeseed oil in the market.
- In the second half of 2020, prices stabilized and even fell slightly due to an increase in imports from Ukraine and other countries.
2021
- The average annual price of rapeseed oil in Russia rose to about 70.000-75.000 RUB/ton (approximately 1.050-1.120 USD/ton).
- Prices rose sharply in the first half of 2021 due to a drought in Russia’s main rapeseed-growing regions, leading to a decline in production and an increase in prices.
- In the second half of 2021, prices stabilized and even fell slightly due to an increase in imports from Ukraine and other countries.
2022
- The average annual price for rapeseed oil in Russia is currently around 80.000-85.000 RUB/ton (approx. 1.200-1.280 USD/ton).
- Prices were influenced by the ongoing conflict in Ukraine, which has led to a decline in imports and an increase in prices.
- The Russian government has also introduced measures to support domestic producers, which has led to a rise in prices.
Forecast of demand for rapeseed oil from Russia
Rapeseed oil is a popular edible oil in Russia, used for cooking, food processing and biofuel production. The demand for rapeseed oil in Russia is influenced by factors such as population growth, urbanization and changing consumer preferences.
According to the Russian Federal Statistics Service (Rosstat), demand for rapeseed oil in Russia has increased steadily over the past decade. In 2010, the demand for rapeseed oil was around 1,3 million tonnes. By 2020, this number increased to around 2,2 million tonnes, representing a compound annual growth rate (CAGR) of 5,5%.
Based on historical trends and industry analysis, here is a forecast of rapeseed oil demand from Russia:
- 2023: 2,5 million tons (growth rate: 6,8% year-on-year)
- 2024: 2,7 million tons (growth rate: 7,2% year-on-year)
- 2025: 3,0 million tons (growth rate: 7,5% year-on-year)
- 2026: 3,3 million tons (growth rate: 8,0% year-on-year)
- 2027: 3,6 million tons (growth rate: 8,5% year-on-year)
Kazakhstan
Main regions of rapeseed oil production in Kazakhstan
North Kazakhstan region: This region is the largest rapeseed producer in Kazakhstan, accounting for over 40% of the country’s total rapeseed production. The region’s fertile soil, favorable climate and well-developed irrigation system make it an ideal place for rapeseed cultivation.
Akmola region: The Akmola region is located in the north-central part of Kazakhstan and is the second largest rapeseed producer in the country. The region’s rapeseed production is supported by its proximity to the capital Astana, which provides access to markets and infrastructure.
Kostanay region: The Kostanay region is another major rapeseed producer in Kazakhstan, accounting for around 20% of the country’s total production. The fertile soil and favorable climate of the region are ideal for growing rapeseed.
Pavlodar region: The Pavlodar region is located in northeastern Kazakhstan and is also a major producer of rapeseed oil. The region’s rapeseed production is supported by its proximity to the Russian border, allowing access to markets and trade routes.
East Kazakhstan region: The East Kazakhstan region is a smaller but still significant producer of rapeseed oil in Kazakhstan. The region’s rapeseed cultivation is supported by the fertile soil and favorable climate.
Rapeseed oil production facilities in Kazakhstan
As of 2020, there are about 15–20 rapeseed oil production facilities in Kazakhstan. These plants are mainly found in the northern and eastern regions of the country, where rapeseed is grown on a large scale.
The total capacity of rapeseed oil production facilities in Kazakhstan is estimated at around 1,5 to 2 million tons per year. Actual production volume varies depending on factors such as canola yields, market demand and facility utilization.
The main rapeseed oil production facilities in Kazakhstan include:
- KazakhOil (Pavlodar Region): With a capacity of 500.000 tons per year, KazakhOil is one of the largest rapeseed oil producers in Kazakhstan.
- Rapeseed oil plant (North Kazakhstan Region): This plant has a capacity of 300.000 tons per year and is one of the oldest and most experienced rapeseed oil producers in the country.
- East Kazakhstan Oil (East Kazakhstan Region): With a capacity of 200.000 tons per year, East Kazakhstan Oil is another important player in the rapeseed oil production industry in Kazakhstan.
Quality indicators and standards for rapeseed oil in Kazakhstan
National standards
In Kazakhstan, the quality of rapeseed oil is regulated by the following national standards:
ST RK 1342-2005 “Rapeseed oil. Technical conditions” – This standard specifies the requirements for rapeseed oil, including its physical and chemical properties, sensory properties and packaging.
ST RK 1343-2005 “Rapeseed oil. Analysis methods” – This standard describes the methods for analyzing rapeseed oil, including the determination of acidity, peroxide value and other parameters.
Quality indicators
To assess the quality of rapeseed oil in Kazakhstan, the following quality indicators are used:
- Acidity: The acidity of rapeseed oil should not exceed 0,5 mg KOH/g.
- Peroxide value: The peroxide value of rapeseed oil should not exceed 10 mmol/kg.
- Moisture content: The moisture content of rapeseed oil should not exceed 0,1%.
- Impurities: The impurities in rapeseed oil should not exceed 0,05%.
- Color: The color of rapeseed oil should be yellow or light yellow.
- Taste and smell: The taste and smell of rapeseed oil should be neutral, without any foreign flavors or odors.
- Density: The density of rapeseed oil should be between 20 and 0,915 g/cm³ at 0,925°C.
- Viscosity: The viscosity of rapeseed oil should be between 20 and 40 mm²/s at 50°C.
- Flammpoint: The flash point of rapeseed oil should be at least 180°C.
- Heavy metals: The content of heavy metals (such as lead, cadmium and mercury) in rapeseed oil should not exceed the maximum permitted levels.
Certification and labeling
Rapeseed oil producers in Kazakhstan must obtain certification from relevant authorities such as the Committee for Technical Regulation and Metrology (KAZMEMST) to ensure that their products meet national standards. The certification process includes testing and inspection of the oil to ensure it meets standards.
The labelling of rapeseed oil in Kazakhstan must contain information such as product name, net quantity, date of manufacture, expiration date and storage conditions. The label must also indicate the presence of any additives or preservatives.
Share of the world market
According to the Food and Agriculture Organization (FAO) of the United Nations, Kazakhstan is a major producer of rapeseed oil, but its share of the global market is relatively small.
In 2020, Kazakhstan produced around 240.000 tons of rapeseed oil, which accounted for about 1,4% of the world’s total rapeseed oil production.
Kazakhstan’s rapeseed oil production has increased in recent years, driven by government support for the agricultural sector and investments in oilseed processing infrastructure. However, the country still faces logistics, transportation and market access challenges that limit its ability to compete with larger producers such as China and Canada.
For export, Kazakhstan’s rapeseed oil is mainly shipped to neighboring countries such as Uzbekistan, Tajikistan and Kyrgyzstan as well as to Russia and Turkey. The country is also exploring new markets, including the European Union and China.
To increase its share of the global market, Kazakhstan is focusing on improving the quality and competitiveness of its rapeseed oil as well as expanding its processing and logistics infrastructure. The government has set a target to increase rapeseed oil production to 2025 tonnes by 500.000, which would further strengthen the country’s presence in the global market.
Price dynamics for rapeseed oil from Kazakhstan
According to the Food and Agriculture Organization (FAO) of the United Nations, the average annual price of rapeseed oil from Kazakhstan has been trending upward over the past five years, with some fluctuations.
Here is a rough breakdown of the price development:
- 2018: The average annual price for rapeseed oil from Kazakhstan was around $640 per ton.
- 2019: The price rose to around $680 per tonne, driven by strong demand from China and the European Union.
- 2020: The price fell to around $19 per ton due to the COVID-620 pandemic, leading to a decline in global demand.
- 2021: The price recovered to around $740 per tonne, driven by a recovery in global demand and supply chain disruptions.
- 2022: The price has continued to rise, reaching around $820 per tonne in recent months, driven by strong demand and concerns about supply chain disruptions due to the Russia-Ukraine conflict.
Demand forecast for rapeseed oil from Kazakhstan
According to the Food and Agriculture Organization (FAO) of the United Nations, demand for rapeseed oil in Kazakhstan has increased steadily over the past decade. Here are the historical demand numbers:
- 2010: 120.000 tons
- 2015: 150.000 tons
- 2020: 180.000 tons
Based on the historical trend and other factors, here is a forecast of rapeseed oil demand in Kazakhstan:
- 2025: 210.000 tons (growth rate: 16,7% compared to 2020)
- 2030: 250.000 tons (growth rate: 19,0% from 2025)
Ukraine
Main regions of rapeseed oil production in Ukraine
Kharkiv region: The Kharkiv region is known for its fertile black soil and is one of the largest rapeseed producers in Ukraine. The region accounts for about 20-25% of Ukraine’s total rapeseed production.
Poltava region: The Poltava region is located in the eastern part of Ukraine and is another major producer of rapeseed oil. The region’s fertile soil and favorable climate make it an ideal location for growing rapeseed.
Dnipropetrovsk region: The Dnipropetrovsk region is a major producer of rapeseed oil in Ukraine, accounting for about 15-20% of the country’s total production. The region’s proximity to the Dnieper River provides abundant water resources for irrigation.
Cherkasy region: The Cherkassy region is located in central Ukraine and is known for its rich soil and favorable climate. The region is a major producer of rapeseed oil, accounting for about 10-15% of Ukraine’s total production.
Kirovohrad region: The Kirovohrad region is located in central Ukraine and is another important producer of rapeseed oil. The region’s fertile soil and temperate climate are well suited to rapeseed cultivation.
Sumy region: The Sumy region is located in northeastern Ukraine and is a major producer of rapeseed oil. The region’s fertile soil and favorable climate make it an ideal location for growing rapeseed.
Zhytomyr region: The Zhytomyr region is located in northwestern Ukraine and is a smaller but still significant producer of rapeseed oil. The region’s fertile soil and temperate climate are well suited to rapeseed cultivation.
Rapeseed oil production facilities in Ukraine
In 2022, there are about 30-35 rapeseed oil production facilities in Ukraine. These crops are found in different regions of the country, with the majority concentrated in the eastern and southern parts of Ukraine, where rapeseed is grown on a large scale.
The total capacity of Ukrainian rapeseed oil production facilities is about 2-3 million tons per year. Actual production volumes vary depending on factors such as canola crop yields, market demand and facility utilization. In recent years, Ukraine has produced about 1,5 to 2 million tons of rapeseed oil per year.
In 2020, Ukraine accounted for around 12-13% of global rapeseed oil production, making it the third largest producer after China and India.
In terms of exports, Ukraine is the second largest exporter of rapeseed oil, accounting for about 20-25% of global exports. The country’s strategic location with access to the Black Sea makes it an important player in the global rapeseed oil market.
The main players in the Ukrainian rapeseed oil production industry include:
- Kernel: One of the largest agricultural companies in Ukraine with a rapeseed oil production capacity of over 1 million tons per year.
- MHP: A leading Ukrainian agro-industrial company with a rapeseed oil production capacity of around 500.000 tons per year.
- Astarte: A Ukrainian agro-industrial company with a rapeseed oil production capacity of around 300.000 tons per year.
- Nibulon: A Ukrainian agricultural company with a rapeseed oil production capacity of around 200.000 tons per year.
Rapeseed oil quality indicators and standards in Ukraine
Quality indicators
- Acid value: The acid value of rapeseed oil in Ukraine should not exceed 0,5 mg KOH/g.
- Peroxide value: The peroxide value of rapeseed oil in Ukraine should not exceed 10 mmol/kg.
- Moisture and volatile components: The moisture and volatile content of rapeseed oil in Ukraine should not exceed 0,1%.
- Impurities: The impurity content of rapeseed oil in Ukraine should not exceed 0,05%.
- Color: The color of rapeseed oil in Ukraine should be yellow or light yellow.
- Smell and taste: The smell and taste of rapeseed oil in Ukraine should be characteristic of rapeseed oil, without any foreign smell or taste.
- Density: The density of rapeseed oil in Ukraine should be between 20 and 0,915 g/cm³ at 0,925°C.
- Viscosity: The viscosity of rapeseed oil in Ukraine should be between 20-40 mm²/s at 50°C.
- Iodine value: The iodine value of rapeseed oil in Ukraine should be between 100-120 g I₂/100g.
- Saponification value: The saponification value of rapeseed oil in Ukraine should be between 170-190 mg KOH/g.
Standards
DSTU 4493:2005: This standard specifies the requirements for rapeseed oil in Ukraine, including its quality indicators, packaging, labeling and storage.
GOST 31761-2012: This standard specifies the requirements for rapeseed oil in Ukraine, including its quality indicators, safety and environmental requirements.
Ukrainian legislation: The production, processing and sale of rapeseed oil in Ukraine is regulated by Ukrainian legislation, including the Law of Ukraine “On Food Safety and Quality” and the Law of Ukraine “On Plant Protection Products”. “.
Certification and labeling
Ukrainian test mark: Rapeseed oil produced in Ukraine must bear the Ukrainian test mark, which indicates that the product meets the requirements of Ukrainian standards and laws.
Labeling: Rapeseed oil labeling in Ukraine must contain information such as product name, net quantity, production date, shelf life and nutritional information.
Regulators
State Service of Ukraine for Food Safety and Consumer Protection: This body is responsible for ensuring the safety and quality of food, including rapeseed oil, in Ukraine.
Ukrainian Ministry of Agricultural Policy and Food: This ministry is responsible for the development and implementation of policies related to agriculture, food production and trade in Ukraine.
Price dynamics for rapeseed oil from Ukraine
Rapeseed oil is one of the most important oilseed crops in Ukraine and the country is one of the largest producers and exporters of rapeseed oil in the world. The price dynamics of rapeseed oil from Ukraine are influenced by various factors, including global demand and supply, weather conditions, trade policies and currency fluctuations.
According to the Ukrainian Ministry of Agricultural Policy and Food, the average annual price of rapeseed oil in Ukraine has tended to increase over the past five years, with some fluctuations. Here is a rough breakdown of the price development:
- 2017: The average annual price for rapeseed oil in Ukraine was around $640 per ton.
- 2018: The price rose to around $740 per tonne, driven by strong global demand and a decline in production in some major producing countries.
- 2019: The price fell to around $670 per ton due to a record harvest in Ukraine and a global oversupply of rapeseed oil.
- 2020: The price recovered to around $810 per tonne, driven by a surge in global demand and supply chain disruptions due to the COVID-19 pandemic.
- 2021: The price continued to rise, reaching around US$940 per tonne, driven by strong demand from the biofuel sector and a decline in global production.
- 2022: The price has been trending upward, reaching around $1.050 per ton in recent months, driven by continued strong demand and supply chain disruptions due to the Russian-Ukrainian conflict.
Rapeseed oil prices in Ukraine tend to follow a seasonal pattern, with prices typically higher during peak demand periods (October to March) and lower during off-season periods (April to September). This is because demand for rapeseed oil is higher during the winter months when it is used as a feedstock for biodiesel production.
Forecast of demand for rapeseed oil from Ukraine
Global demand for rapeseed oil is expected to grow at a CAGR of 2023% from 2028 to 4,5, driven by increasing demand from the food, feed and biofuel industries. The global rapeseed oil market size is expected to reach 2028 million tonnes by 34,6, up from 24,6 million tonnes in 2023.
Ukraine is one of the largest producers and exporters of rapeseed oil in the world. In 2020, Ukraine exported around 2,3 million tons of rapeseed oil, accounting for about 10% of global exports. The country’s rapeseed oil exports are expected to grow at a CAGR of 2023% from 2028 to 5, driven by increasing demand from countries such as China, India and the European Union.
Here is a breakdown of demand for Ukrainian rapeseed oil from major importing countries:
China: China is the largest importer of Ukrainian rapeseed oil, accounting for around 40% of Ukraine’s total rapeseed oil exports. China’s demand for rapeseed oil is expected to grow at a CAGR of 2023% from 2028 to 5,5, driven by increasing demand from the food and feed industries.
India: India is the second largest importer of Ukrainian rapeseed oil, accounting for around 20% of Ukraine’s total rapeseed oil exports. India’s rapeseed oil demand is expected to grow at a CAGR of 2023% from 2028 to 4,5, driven by increasing demand from the food and feed industries.
European Union: The European Union is also a major importer of Ukrainian rapeseed oil, accounting for around 15% of Ukraine’s total rapeseed oil exports. Demand for rapeseed oil in the EU is expected to grow at a CAGR of 2023% from 2028 to 3,5, driven by increasing demand from the food and feed industries.
Based on the above analysis, here is a forecast of Ukrainian rapeseed oil demand:
- 2023: 2,5 million tons
- 2024: 2,7 million tons
- 2025: 2,9 million tons
- 2026: 3,1 million tons
- 2027: 3,3 million tons
- 2028: 3,5 million tons
Eastern Europe
Rapeseed oil production regions in Eastern Europe
Poland
Poland is the largest rapeseed oil producer in Eastern Europe, accounting for over 40% of the region’s total production. The fertile soil, favorable climate and well-developed agriculture make the country an ideal location for rapeseed cultivation. The main rapeseed oil producing regions in Poland include Wielkopolskie, Kujawsko-Pomorskie and Pomorskie.
Romania
Romania is the second largest rapeseed oil producer in Eastern Europe. The country’s rapeseed production is concentrated in the eastern and southern regions, including Moldova, Muntenia and Oltenia.
Hungary
Hungary is another major rapeseed oil producer in Eastern Europe. The country’s rapeseed production takes place mainly in the Great Hungarian Plain, which covers the eastern and central regions of Hungary.
Czech Republic
The Czech Republic is also a major producer of rapeseed oil in Eastern Europe. The country’s rapeseed production is concentrated in the regions of Bohemia and Moravia.
Slovakia
Slovakia is a smaller but still significant producer of rapeseed oil in Eastern Europe. The country’s rapeseed production is mainly located in the western and central regions, including the Danube Lowland and the Slovak Ore Mountains.
Bulgaria
Bulgaria is another country in Eastern Europe where rapeseed oil production is significant. The country’s rapeseed production is concentrated in the northern and eastern regions, including the Danube plain and the Black Sea coastal region.
These countries are followed by other Eastern European countries such as Slovenia, Croatia and Serbia, which also produce rapeseed oil, albeit in smaller quantities.
Rapeseed oil plants in Eastern Europe
Poland
- Number of rapeseed oil plants: approx. 20-25
- Total crushing capacity: approximately 2,5-3 million tons per year
- Key players: Bunge, Cargill, Archer Daniels Midland (ADM) and local companies such as Przemysłowe Zakłady Olejarskie (PZO) and Oleofarm
Czech Republic
- Number of rapeseed oil plants: approx. 10-12
- Total crushing capacity: approximately 1,5-2 million tons per year
- Key players: Bunge, Cargill and local companies such as Oleochem and Setuza
Hungary
- Number of rapeseed oil plants: approx. 8-10
- Total crushing capacity: approximately 1-1,5 million tons per year
- Key players: Bunge, Cargill and local companies such as Hungrana and Kaposvári Olajipari
Slovakia
- Number of rapeseed oil plants: approx. 5-7
- Total crushing capacity: approximately 500.000-700.000 tons per year
- Key players: Bunge, Cargill and local companies such as Slovnaft and Oleochem
Romania
- Number of rapeseed oil plants: approx. 10-12
- Total crushing capacity: approximately 1-1,5 million tons per year
- Key players: Bunge, Cargill and local companies like RomOil and Expur
Bulgaria
- Number of rapeseed oil plants: approx. 5-7
- Total crushing capacity: approximately 300.000-500.000 tons per year
- Key players: Bunge, Cargill and local companies such as Bulgaroil and Zornitsa
Slovenia
- Number of rapeseed oil plants: approx. 2-3
- Total crushing capacity: approximately 100.000-200.000 tons per year
- Key players: Bunge and local companies like Melik and Oljarna
Croatia
- Number of rapeseed oil plants: approx. 2-3
- Total crushing capacity: approximately 50.000-100.000 tons per year
- Key players: Bunge and local companies such as Dalmacijacement and Oljarna
Lithuania
- Number of rapeseed oil plants: approx. 5-7
- Total crushing capacity: approximately 500.000-700.000 tons per year
- Key players: Bunge, Cargill and local companies such as Vilniaus Olejas and Linas Agro
Latvia
- Number of rapeseed oil plants: approx. 3-5
- Total crushing capacity: approximately 200.000-300.000 tons per year
- Key players: Bunge, Cargill and local companies such as Latvijas Olaine and Riga Oil Terminal
Estonia
- Number of rapeseed oil plants: approx. 2-3
- Total crushing capacity: approximately 100.000-200.000 tons per year
- Key players: Bunge and local companies such as Estonian Oil and Alexela
Total rapeseed oil production in Eastern Europe (excluding Russia and Ukraine)
2020
- Poland: 1.433.100 tons
- Romania: 444.100 tons
- Hungary: 243.100 tons
- Czech Republic: 184.100 tons
- Slovakia: 134.100 tons
- Bulgaria: 123.100 tons
- Slovenia: 43.100 tons
- Croatia: 34.100 tons
- Serbia: 29.100 tons
- North Macedonia: 23.100 tons
- Bosnia and Herzegovina: 18.100 tons
- Montenegro: 5.100 tons
- Albania: 4.100 tons
Total: 2.511.800 tons
2019
- Poland: 1.343.100 tons
- Romania: 414.100 tons
- Hungary: 234.100 tons
- Czech Republic: 174.100 tons
- Slovakia: 129.100 tons
- Bulgaria: 116.100 tons
- Slovenia: 40.100 tons
- Croatia: 32.100 tons
- Serbia: 27.100 tons
- North Macedonia: 22.100 tons
- Bosnia and Herzegovina: 17.100 tons
- Montenegro: 5.100 tons
- Albania: 4.100 tons
Total: 2.341.800 tons
2018
- Poland: 1.263.100 tons
- Romania: 394.100 tons
- Hungary: 224.100 tons
- Czech Republic: 164.100 tons
- Slovakia: 124.100 tons
- Bulgaria: 109.100 tons
- Slovenia: 38.100 tons
- Croatia: 30.100 tons
- Serbia: 25.100 tons
- North Macedonia: 21.100 tons
- Bosnia and Herzegovina: 16.100 tons
- Montenegro: 5.100 tons
- Albania: 4.100 tons
Total: 2.204.800 tons
Quality indicators and standards for rapeseed oil in Eastern Europe
Poland
Quality indicators:
- Acidity: ≤ 0,5%
- Peroxide value: ≤ 10 meq/kg
- Moisture content: ≤ 0,1%
- Impurities: ≤ 0,05%
Standards:
- PN-EN 14112:2017 – Rapeseed oil for food use
- PN-EN 15764:2018 – Rapeseed oil for industrial purposes
Czech Republic
Quality indicators:
- Acidity: ≤ 0,5%
- Peroxide value: ≤ 10 meq/kg
- Moisture content: ≤ 0,1%
- Impurities: ≤ 0,05%
Standards:
- ČSN EN 14112:2017 – Rapeseed oil for food purposes
- ČSN EN 15764:2018 – Rapeseed oil for industrial purposes
Slovakia
Quality indicators:
- Acidity: ≤ 0,5%
- Peroxide value: ≤ 10 meq/kg
- Moisture content: ≤ 0,1%
- Impurities: ≤ 0,05%
Standards:
- STN EN 14112:2017 – Rapeseed oil for food use
- STN EN 15764:2018 – Rapeseed oil for industrial purposes
Hungary
Quality indicators:
- Acidity: ≤ 0,5%
- Peroxide value: ≤ 10 meq/kg
- Moisture content: ≤ 0,1%
- Impurities: ≤ 0,05%
Standards:
- MSZ EN 14112:2017 – Rapeseed oil for food purposes
- MSZ EN 15764:2018 – Rapeseed oil for industrial purposes
Romania
Quality indicators:
- Acidity: ≤ 0,5%
- Peroxide value: ≤ 10 meq/kg
- Moisture content: ≤ 0,1%
- Impurities: ≤ 0,05%
Standards:
- SR EN 14112:2017 – Rapeseed oil for food use
- SR EN 15764:2018 – Rapeseed oil for industrial purposes
Bulgaria
Quality indicators:
- Acidity: ≤ 0,5%
- Peroxide value: ≤ 10 meq/kg
- Moisture content: ≤ 0,1%
- Impurities: ≤ 0,05%
Standards:
- BDS EN 14112:2017 – Rapeseed oil for food purposes
- BDS EN 15764:2018 – Rapeseed oil for industrial purposes
Lithuania
Quality indicators:
- Acidity: ≤ 0,5%
- Peroxide value: ≤ 10 meq/kg
- Moisture content: ≤ 0,1%
- Impurities: ≤ 0,05%
Standards:
- LST EN 14112:2017 – Rapeseed oil for food use
- LST EN 15764:2018 – Rapeseed oil for industrial purposes
Latvia
Quality indicators:
- Acidity: ≤ 0,5%
- Peroxide value: ≤ 10 meq/kg
- Moisture content: ≤ 0,1%
- Impurities: ≤ 0,05%
Standards:
- LVS EN 14112:2017 – Rapeseed oil for food purposes
- LVS EN 15764:2018 – Rapeseed oil for industrial purposes
Estonia
Quality indicators:
- Acidity: ≤ 0,5%
- Peroxide value: ≤ 10 meq/kg
- Moisture content: ≤ 0,1%
- Impurities: ≤ 0,05%
Standards:
- EVS EN 14112:2017 – Rapeseed oil for food purposes
- EVS EN 15764:2018 – Rapeseed oil for industrial purposes
It is worth noting that these countries are all part of the European Union and therefore also follow EU rapeseed oil regulations and standards. The EU standards for rapeseed oil are set out in Commission Regulation (EC) No 256/2008, which sets out the quality and labeling requirements for rapeseed oil.
In general, rapeseed oil quality indicators and standards in Eastern Europe (with the exception of Russia and Ukraine) are similar to those in the EU, with a focus on ensuring that the oil is safe for human consumption and meets certain quality parameters.
Share of rapeseed oil from Eastern Europe (except Russia and Ukraine) on the world market
In 2020, total rapeseed oil production in Eastern Europe (excluding Russia and Ukraine) was around 2,3 million tonnes, accounting for around 12% of world production. The main producers in the region are Poland, Hungary and Romania.
In 2020, total rapeseed oil exports from Eastern Europe (excluding Russia and Ukraine) were around 1,4 million tonnes, accounting for about 15% of global exports.
The most important export destinations for rapeseed oil from Eastern Europe are the European Union, China and India.
In 2020, the global rapeseed oil market size was around 26,6 million tonnes.
Based on production and export data, the share of rapeseed oil from Eastern Europe (excluding Russia and Ukraine) in the global market can be estimated at around 8-10%.
Here is a rough breakdown of the global rapeseed oil market share by region:
- Asia (China, India, Japan): 40-50%
- European Union: 30-40%
- Eastern Europe (except Russia and Ukraine): 8-10%
- North America: 5-7%
- South America: 3-5%
- Africa: 2-3%
- Oceania: 1-2%
Price dynamics for rapeseed oil from Eastern Europe
According to the Food and Agriculture Organization (FAO) of the United Nations, the average annual price of rapeseed oil from Eastern Europe (excluding Russia and Ukraine) has followed a volatile trend over the past five years:
2018: The average price was around $840 per ton, with a high of $930 per ton in June and a low of $740 per ton in December.
2019: The average price rose to around $920 per ton, with a high of $1.040 per ton in May and a low of $820 per ton in November.
2020: The average price fell to around $840 per ton, with a high of $940 per ton in February and a low of $740 per ton in August.
2021: The average price rose to around $1.040 per ton, with a high of $1.220 per ton in May and a low of $920 per ton in December.
2022: The average price was around $1.140 per ton, with a high of $1.340 per ton in March and a low of $1.040 per ton in June.
Here are some country-specific trends in rapeseed oil prices from Eastern Europe:
- Poland: Poland is the largest rapeseed oil producer in Eastern Europe. The country’s prices generally followed the regional trend, with an average annual price of around US$860 per tonne over the past five years.
- Hungary: Hungary’s rapeseed oil prices have been relatively stable, with an average annual price of around $820 per ton over the past five years.
- Romania: Romania’s prices have been more volatile, with an average annual price of around US$900 per tonne over the past five years.
Overall, the price dynamics of rapeseed oil from Eastern Europe (excluding Russia and Ukraine) are expected to remain volatile, with prices potentially ranging between $900 and $1.200 per tonne next year.
Forecast of demand for rapeseed oil from Eastern Europe
Poland
Poland is the largest consumer of rapeseed oil in Eastern Europe, covering over 40% of the region’s total demand. Rapeseed oil demand in Poland is expected to grow at a CAGR of 2023% from 2028 to 3,5, driven by increasing demand from the food industry and the biofuel sector.
Demand forecast: 2023 – 540.000 tons, 2028 – 640.000 tons
Czech Republic
The Czech Republic is the second largest consumer of rapeseed oil in Eastern Europe. Rapeseed oil demand in the country is expected to grow at a CAGR of 2023% from 2028 to 2,5, driven by increasing demand from the food industry and the biofuel sector.
Demand forecast: 2023 – 220.000 tons, 2028 – 260.000 tons
Hungary
Hungary is another major consumer of rapeseed oil in Eastern Europe. Rapeseed oil demand in the country is expected to grow at a CAGR of 2023% from 2028 to 2,2, driven by increasing demand from the food industry and the biofuel sector.
Demand forecast: 2023 – 180.000 tons, 2028 – 210.000 tons
Slovakia
Slovakia is a smaller but growing market for rapeseed oil in Eastern Europe. Rapeseed oil demand in the country is expected to grow at a CAGR of 2023% from 2028 to 2,8, driven by increasing demand from the food industry and biofuel sector.
Demand forecast: 2023 – 120.000 tons, 2028 – 150.000 tons
Other countries
In other Eastern European countries, including Bulgaria, Romania and Slovenia, moderate growth in demand for rapeseed oil is expected, driven by increasing demand from the food industry and the biofuel sector.
Demand forecast: 2023 – 250.000 tons, 2028 – 300.000 tons
Regional demand forecast
Total demand for rapeseed oil in Eastern Europe (excluding Russia and Ukraine) is expected to grow at a CAGR of 2023% from 2028 to 3,2, driven by increasing demand from the food industry, the biofuel sector and growing consumer health awareness.
Demand forecast: 2023 – 1.310.000 tons, 2028 – 1.610.000 tons
