International trade - Incubator

The Senate of Kazakhstan has approved an agreement with Turkey on quarantine and plant protection. The document is aimed at plant safety and preventing the import of harmful organisms.

The cooperation between scientific organizations is being discussed, and requirements for the transportation of products are established.

Before the start of the sowing campaign in Russia, it is planned to support the agricultural machinery industry. Deputy Prime Minister Alexander Novak instructed to coordinate the necessary support measures taking into account the sanctions. Discussions included financial indicators, credit burden, and demand for agricultural machinery.

According to Rosstat, in 2024, the production of oil from rapeseed in Russia decreased by 16.3% compared to the previous year. Over the past 5 years, it has grown by 2.2 times, and over the past 10 years, by 3.6 times.

In December 2024, the production volume increased by 16.2%. The growth in production is associated with a record harvest of rapeseed. More information: ab-centre.ru.

In January, soybean processing in the USA reached 5.45 million tons, slightly below the previous record. Some plants slowed down due to weather conditions, while the demand for soybean oil decreased. Global soybean processing increased to 349.3 million tons, and soybean meal trading rose to 107.4 million tons.

The Ministry of Agriculture of Brazil intends to implement blending 15% biodiesel with diesel fuel in the next 60 days. The delay was caused by worsened weather conditions, which reduced the soybean harvest and led to an increase in oil prices. The government is concerned that the introduction of B15 could raise the cost of products.

Agricultural producers in Rostov region will start spring sowing a week earlier due to the weather. It is planned to sow 1.9 million hectares and increase the area of seed plantings for row crops. 88% of fertilizers and 105 thousand tons of seeds are stockpiled.

Conab experts forecast corn production in Brazil for the 2024/25 season to reach 122 million tons (+5.5%). The soybean forecast has also been adjusted to 166 million tons (+18.3 million tons). Corn yield is expected to increase by 9.9%, while exports will decrease to 34 million tons due to the growth of domestic demand.

The increase in the cost of exported sunflower oil has led to a rise in sunflower prices in Ukraine. Prices for the processed product have increased by 500 UAH/ton, with some companies raising purchase prices by 700-1000 UAH/ton. The price range varied from 25500 to 26900 UAH/ton depending on the region. The shortage of stocks at most companies has led to production difficulties.

The Chairman of the Agricultural Machinery Dealers Association believes that some Western manufacturers may return to the Russian market. John Deere and AGCO have temporarily stopped supplying, but small companies are already active. Trading centers offer local partnerships to re-enter the market.

In the current year, an increase in trials of Russian sunflower hybrids is expected, with the area planted with oilseed crops also growing. The number of oil extraction plants in Russia is increasing, contributing to the processing of raw materials. According to forecasts, by 2025 the sunflower acreage will reach 10.1 million hectares, and soybean acreage will be 4.6 million hectares per season.

In 2024, agricultural crops in the Krasnodar region grew worse than in the past 10 years: drought following rains reduced the yields of corn, soybeans, sugar beets, and sunflower. The overall harvest of grains and legumes decreased by 4.5%, but the region remains a leader in Russia in their collection.

According to FranceAgriMer, 73% of soft wheat sowings in France are in good condition, exceeding the level four years ago. Precipitation is delaying work, negatively affecting plants and raising concerns about the size of the harvest. Winter barley sowings are at their lowest level since 2020. The level of spring barley sowings is 23% below the average of the last 5 years.