Sudan: A Look at the Oils and Fats Market

‍
Sudan is one of the most important African countries in vegetable oil production, possessing vast agricultural areas and significant potential in oilseed crops such as sesame, groundnut, cotton and sunflower. Sudan’s population is around 48 million (2023 estimates), which creates continuous demand for oils and fats to meet the needs of the domestic market.

Sudan’s Exports, Imports, Production and Consumption of Oils and Fats

The data below is based on the latest statistics for 2023, and reflects the balance between domestic consumption and production capacity, in addition to a partial reliance on imports:

• Domestic consumption: 464 thousand metric tons
• Imports: 247 thousand metric tons
• Domestic production: 222 thousand metric tons
• Exports: 8 thousand metric tons

These figures indicate a gap between consumption and production that is partially covered through imports, with limited export activity.

Historical Analysis for the Period 2019 to 2023

The chart below illustrates the key indicators for the oils and fats market in Sudan over the past five years:

Key Observations

1. Fluctuation in consumption: it reached its highest level in 2020 (510 thousand metric tons), then declined gradually until it reached 464 thousand metric tons in 2023.
2. A rise in imports in 2020: this may be due to additional needs to meet consumption or to compensate for a shortfall in domestic production.
3. Relative stability in production: it ranged between 222 and 245 thousand metric tons during the period, with a slight improvement in some years.
4. Decline in exports: they fell from 42 thousand metric tons in 2020 to 8 thousand metric tons in 2023, indicating a greater focus on meeting the domestic market or changes in prices and trade policy.

Consumption

• Total consumption: 464 thousand metric tons in 2023.
• Most consumed oils:
  • groundnut oil (129 thousand metric tons)
  • palm oil (147 thousand metric tons)
  • sunflower oil (144 thousand metric tons)
• Other oils: corn oil (3 thousand metric tons), sesame oil (26 thousand metric tons), and cottonseed oil (16 thousand metric tons).
• This diversity in consumption reflects a reliance on various vegetable oils, with a clear focus on groundnut, palm and sunflower.

Imports

• Total imports: 247 thousand metric tons in 2023.
• Leading oils imported: palm oil (140 thousand metric tons) and sunflower oil (104 thousand metric tons).
• Main reasons for reliance on imports:
  1. bridging the gap between domestic production and consumption.
  2. meeting demand for specific oil types that local resources are insufficient to cover.
  3. climate changes that may affect the domestic production of oilseed crops.

Domestic Production

• Total production: 222 thousand metric tons in 2023.
• Main products:
  • groundnut oil (138 thousand metric tons)
  • sesame oil (26 thousand metric tons)
  • cottonseed oil (17 thousand metric tons)
  • sunflower oil (41 thousand metric tons)
• Development indicators:
  1. Groundnut is one of the most important oilseed crops in Sudan, which is reflected in its large share of total production.
  2. There are promising opportunities to increase the production of sesame oil and sunflower oil by adopting modern agricultural practices.
  3. The cotton sector requires greater support to expand cottonseed oil production in a way that keeps pace with domestic demand.

Exports

• Total exports: 8 thousand metric tons in 2023.
• Product exported: groundnut oil (8 thousand metric tons).
• Challenges:
  1. The limited volume of exports compared to domestic production and consumption.
  2. The competitiveness of foreign markets and its impact on prices.
  3. The need to develop supply chains and logistics operations to increase Sudan’s export capacity.

Recommendations

1. Increase domestic production: focus on improving the productivity of oilseed crops such as groundnut, sesame and sunflower through investment in research and development and modernizing farming methods.
2. Diversify oils: support the cultivation of other crops or expand current crops to reduce reliance on imports.
3. Improve logistics and manufacturing capacity: build modern storage, refining and processing facilities that ensure product quality and lower production costs.
4. Develop export policies: provide incentives for exporters and administrative facilities to increase the competitiveness of Sudanese oils in regional and global markets.

Conclusion

The oils and fats market in Sudan reflects a mix of opportunities and challenges. Domestic production remains relatively large thanks to the availability of oilseed crops such as groundnut and sesame, but rising consumption requires additional imports. With supportive government policies and private-sector investment in agriculture and manufacturing, this sector could see greater growth in the future and contribute to strengthening food security and improving the overall economic situation in Sudan.

‍