Russia Suspends Variable Export Duties On Sunflower Oil And Meal Until 31 August 2025

The Russian government has announced the suspension of variable export duties on sunflower oil and sunflower meal until 31 August 2025.

In a press statement, the government said the move would help boost exports to foreign markets and support sunflower production and processing companies. It added that the decision came in response to a proposal from the Russian Union of Oil and Fat Producers, and takes on particular importance as the autumn field work season approaches.

According to a government decree dated 24 July and published on the official legal information portal, the 0% export duty on sunflower oil and meal will remain in effect until 31 August 2025.

The government explained that it had imposed variable duties on sunflower oil exports since 2021, and on sunflower meal since 2022, with the aim of protecting the domestic market from unjustified price increases. "In this way, we were able to encourage producers to keep supplying the domestic market," it added.

The government confirmed that domestic demand for sunflower oil is currently being fully met, meaning the suspension of the variable duties will not affect product availability for Russian consumers.

The variable duty is set at 70% of the difference between the base price and the indicative price, which is calculated based on the average market price during the month.

The base price for sunflower oil stands at 82,500 roubles per tonne, and 15,875 roubles per tonne for sunflower meal. These duties had previously been extended in August 2024 for a further two years, until 1 September 2026.

Source: Al Mal Forum