A Change in EU Agricultural Trade Patterns

The European Union (EU) is increasing its imports of oilseeds. And on same time cutting back on grain exports during the 2024/25 marketing year. Data from the European Commission reveals that this adjustment reflects a clear response to shifts in supply availability and trade priorities.

Growth in Oilseed Imports Across Key Categories

The EU has expanded its imports of vital oilseeds like rapeseed, soybeans, and sunflower seeds:

• Rapeseed imports grew by 3% to 2.6 million tonnes, with 1.8 million tonnes sourced from Ukraine, followed by 474,000 tonnes from Australia and 113,000 tonnes from Canada.
• Soybean imports increased by 11% to 5.6 million tonnes, primarily from Brazil (2.4 million tonnes), the USA (2.3 million tonnes), and Ukraine (570,000 tonnes).
• Sunflower seed imports rose by 20% to 295,000 tonnes, supplied mainly by Moldova (180,000 tonnes), Serbia (44,000 tonnes), and Ukraine (24,000 tonnes).
• Corn imports reached 8.8 million tonnes, up 11%, with Ukraine contributing 4.7 million tonnes, Brazil 1.6 million tonnes, and the USA 1.3 million tonnes.

Decline in Sunflower Oil Imports

While oilseed imports have risen, the EU reduced its sunflower oil imports by 14% to 897,000 tonnes, with 840,000 tonnes coming from Ukraine. This shift suggests a possible focus on increasing domestic processing capacity for sunflower seeds.

Reduced Grain Exports Highlight Market Challenges

The EU’s grain exports have dropped sharply this year:

• Wheat exports fell to 10.2 million tonnes, a 29% decline. Major destinations included Nigeria (1.7 million tonnes), Morocco (999,000 tonnes), and Egypt (691,000 tonnes).
• Barley exports dropped by 35% to 2 million tonnes, with Saudi Arabia importing 502,000 tonnes, China 306,000 tonnes, and Algeria 262,000 tonnes.

Factors Behind These Adjustments

The rise in EU oilseed imports stems from growing demand for processing and limited regional supply. Ukraine remains a vital source for rapeseed and sunflower seeds, even as it faces logistical and geopolitical challenges. Soybean imports have also grown, with Brazil and the USA supplying the majority.

On the other hand, the drop in grain exports reflects tough competition from countries like Ukraine and Brazil. These exporters have gained a price advantage. Making it harder for EU grains to compete in markets like North Africa and the Middle East.

Moving Forward in Agricultural Trade

The EU's agricultural trade priorities are clearly evolving. By focusing on increasing oilseed imports and addressing challenges in grain exports, the EU is adapting to market realities. Ensuring competitiveness in the global market will require careful management of crop yields, pricing strategies, and trade relationships.





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