Ukraine increased sunflower oil production in 9 times for the period of export duties on sunflower seed - Ukroliyaprom

Source

APK-Inform

43413

During the period of export duties on sunflower seed in Ukraine (1999-2016), sunflower oil production volumes increased in 9 times (from 510 thsd tonnes, to 4.6 mln tonnes per year). The exports of sunflower oil increased in 20.9 times (from 206 thsd tonnes, to 4.3 mln tonnes), informed the comments of the association Ukroliyaprom to the draft law #1837 dd. January 26, 2015 “On amendments to the Law of Ukraine "On the rates of export duties on the certain types of seeds of oilseed crops" (concerning provision of the competitiveness of sunflower seed producers). The draft law provides cancellation of the current export duties on sunflower seed.

According to Ukroliyaprom data, in case of cancellation of the export duties on sunflower seed, its export volumes from Ukraine would reach 3 mln tonnes. Therefore, in terms of the harvest of sunflower seed in 2016 at 12 mln tonnes, domestic oilseed processing enterprises would crush nearly 9 mln tonnes of the harvest, while the current processing facilities total 16.5-17 mln tonnes per year, explained the comments.

Also, possible cancellation of the export duties on sunflower seed would reduce the production volumes of sunflower oil by 20-30, and as a consequence, significantly decrease revenues to the state budget by 4.3 bln UAH. In addition, the exports of sunflower seed at the level of 3 mln tonnes at the price of 400 USD/t would cause direct budget losses from non-payment of the export duties at 120 mln USD, or 3 bln UAH, added Ukroliyaprom.

As a reminder, since January 1, 2016, the export duties for sunflower seed supplying to the EU will gradually decrease to "0%" for 10 years.

Advertising

Enter