Vegetable oil (Russian market)

2024

Sunflower oil production for the year increased by 11.7% to 8 million tons

In 2024, about 8 million tons of sunflower oil were produced in Russia. This is 11.7% more than in 2023, when 7.17 million tons of these products were produced. Such data are provided in the Rosstat report, which TAdviser got acquainted with at the end of February 2025.

According to estimates, in 2024 the volume of production of various plant unrefined oils and their fractions in the Russian Federation reached 10.41 million tons. Growth compared to the previous year was recorded at 6.9%. At the same time, butter output on an annualized basis decreased by 1.4%, being at the level of 331 thousand tons.

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Фото: Freepik

The analytical company Tebiz Group notes that the sunflower oil market in Russia is showing positive dynamics, which is due to both domestic demand and export supplies. The increase in consumption of these products is influenced by changes in consumer preferences, including a shift towards healthy eating. In addition, there is a tendency to improve product quality due to the introduction of modern processing and control technologies. Leading industry players include:

• LLC Cargill"";
• Aston JSC;
• LLC "MEZ South of Russia";
• JSC Firm Agricultural complex"" named after N. I. Tkachev;
• Food Ingredients LLC;
• OJSC Efko;
• JSC Samaraagroprompererabotka"";
• JSC Pavlovskagroproduct"";
• LLC Agroholding "Pearl of the Volga Region";
• LLC "Sorochinsky Oil Extraction Plant."

Analysts note that competition among domestic sunflower oil producers is intensifying, which pushes companies to improve product lines and form effective marketing strategies. At the same time, the market faces certain challenges, including global fluctuations in commodity prices and changes in international trade policy.^[1]

Growth in the production of vegetable oils by 6.9% to 10.4 million tons

The production of vegetable oils in Russia in 2024 increased by 6.9%, reaching 10.4 million tons. This was reported in February 2025 by the Ministry of Agriculture of Russia. The volume of sunflower oil output increased by 11.7%, to 8 million tons, and soybean oil production increased by 9.6%, amounting to 1.1 million tons. The department notes that the dynamics is associated with the expansion of processing capacities and a high harvest of oilseeds.

According to the press service of the Ministry of Agriculture of Russia, the production of sunflower oil reached 8 million tons, which is 11.7% more compared to 2023. Soybean oil production increased by 9.6% to 1.1 million tonnes. The department explained that the dynamics is due to the implementation of state programs to support the agricultural sector and modernize processing enterprises.

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Фото: Freepik

According to the Oil and Oil Union of Russia, the country's self-sufficiency in vegetable oils in 2024 exceeded the threshold established in the Food Security Doctrine by 2.8 times. This allowed Russia to strengthen its position in the world market and maintain the status of one of the leading exporters of fat and fat products. The executive director of the union, Mikhail Maltsev, noted that the consistent policy of the Ministry of Agriculture contributes to the development of the industry and the strengthening of the position of Russian manufacturers in the international arena.

Market experts point out that the main growth drivers were an increase in investment in processing facilities, an increase in domestic consumption and stable demand in export markets. In 2024, processing enterprises expanded capacity by more than 1 million tons, exceeding 32 million tons per year.^[2]

Oilseeds processing plant built in Novosibirsk for ₽5,6 billion

In early October 2024, it became known about the construction of an oilseed processing plant in Novosibirsk. The main units, installations and buildings of the enterprise have been mounted, said the Governor of the Novosibirsk Region Andrei Travnikov. The volume of investments in the project is ₽6,5 billion. Read more here

2023

Growth in sunflower oil production by 13.2% to 6.9 million tons

The production of unrefined sunflower oil and its fractions Russia in reached 6.9 million tons in 2023, which demonstrates an increase of 13.2% compared to 2022. Rosstat TAdviser got acquainted with such data in November 2024.

According to Forbes, the total production of refined sunflower oil and its fractions also increased in 2023 - by 5.5% and amounted to 2.7 million tons.

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Фото: Freepik

If production in 2024 meets the forecast, then exports will increase by 10.5% compared to 2023 and in physical terms will reach about 7.4 million tons, - said Mikhail Maltsev, executive director of the Fat and Oil Union

In December 2023, the production of unrefined oil amounted to 727.2 thousand tons, which exceeds the indicators of December 2022 by 17.3%. Refined product production reached 243.9 thousand tons, an increase of 0.3% in annual terms.

According to analysts, "Agroanalytics Center" Russia occupies 29% of the global sunflower oil export market. According to the Ministry's estimates, agriculture USA the world production of sunflower oil in the 2023/2024 season will reach 22.05 million tons.

In the structure of Russian exports of vegetable oils, sunflower is more than 65%. 4.3 million tons of products are supplied abroad with domestic consumption of 2.3 million tons. Partner of the consulting company NEO Albina Koryagina notes the strengthening of Russia's position in the Eastern markets, Asia where the share of Russian sunflower oil reaches 27% of the total imports of the region.

According to forecasts of the Oil and Oil Union of Russia, by the end of 2024, the production of sunflower oil may grow to 7.2 million tons. The increase in production and exports contributes to the strengthening of Russia's position as a leading producer of sunflower oil in the world market.^[3][4]

Reduction in sunflower oil sales by 10.1% to 2.4 million tons

In 2023, approximately 2.4 million tons of sunflower oil were sold on the Russian market. This is 10.1% less compared to 2022, when 2.67 million tons of these products were sold. The corresponding indicators are reflected in the BusinesStat study, the results of which were published on March 19, 2024.

It is noted that the domestic market in the Russian Federation is saturated, and the bulk of the products produced are exported. Own production fully meets the needs of Russians in sunflower oil. In 2019, its sales on the Russian market amounted to approximately 2.43 million tons (plus 0.2% year-on-year). In 2020, against the background of the COVID-19 pandemic, demand decreased by 11.3%, amounting to 2.15 million tons. At the same time, a decrease in sales volumes was observed in all sectors of the market, including the hotel and restaurant business and retail.

During the pandemic, the Russian economy experienced a mild recession, which negatively affected the volume of government purchases and sales of sunflower oil for industrial processing, the BusinesStat study says.

In 2021, sales of sunflower oil in Russia recovered to 2.23 million tons, which is 3.6% higher compared to the previous year. And in 2022, demand jumped by 19.9%, reaching 2.67 million tons. Against the background of an unstable economic situation, consumers made purchases for future use, which caused a rush of demand for sunflower oil, as a product with long shelf life, constantly present in the consumer basket. In 2023, the economic situation stabilized, and sales returned to the average.

Analysts add that the main foreign buyers of Russian sunflower oil are, Iran,, and India Turkey. China Egypt The low global price of this product allows it to compete with palm and soybean oil.^[5]

2022: Sunflower oil production growth by 8% to 2 million tonnes

In 2022, 2.01 million tons of packaged sunflower oil were produced in Russia, which is 8.8% more than a year earlier. The market rose after a 9 percent decline recorded in 2021. Such data are given in the BusinesStat study, published at the end of December 2023.

Experts pay attention to the growth in demand for sunflower oil - in the context of the crisis, the attention of buyers is shifting towards more budgetary product options, and sunflower oil among vegetable oils is one of the cheapest. Also, thanks to the record sunflower harvest and high export duties for the export of seeds, domestic enterprises managed to load as much as possible. The provision of enterprises with raw materials serves as a determining factor for the industry, analysts explain.

According to them, the wave of departure of foreign companies from the country practically did not affect the sunflower oil market. The only major player to leave the Russian market was the American Bunge, the owner of the Ideal, Oleina and Bunge Procusine sunflower oil brands. At the end of 2022, Bunge sold Russian assets to Exoil Group. The change of ownership did not affect the activities of enterprises, production continued under the same brands, added to BusinesStat.

Experts add that the sunflower oil market in Russia is highly consolidated. A significant share of production falls on several largest players, including Cargill, Aston, Rusagro, South of Russia, Efko, NMZHK, large shares belong to Nefis, Blago companies. The technology of processing sunflower and the production of sunflower oil is quite complex, and the efficiency of production in small companies is significantly less than in large enterprises. The high level of competition in the market creates additional difficulties for the entry of a new business into it, analysts noted.^[6]

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