The FINANCIAL — In the first half year of 2017, Ukraine exported sunflower oil to more than 100 countries, and the volumes increased by 57% compared with the same period last year, and reached nearly 212 mln USD, reported the Vice-President at the Ukrainian League of Industrialists and Entrepreneurs (ULIE), Coordinator of the Export Promotion Center under the ULIE, Denis Krasnikov at the third international conference “High-oleic market: from niche to market segment” on September 18.
According to him, the further growth of sunflower oil exports will be attended with increasing of profitability indices by 20%, in terms of the supply of product in bottled form.
According to the Export Promotion Center under the ULIE, in the first half of 2017 the regional export structure of the Ukrainian product developed in the following way: Asia – 54%, or 114 mln USD, Africa – 21%, or more than 45 mln USD, Europe – 15%, or more than 33 mln USD, the CIS and America, Australia and Oceania – 10%, or nearly 20 mln USD.
In 2017, Ukrainian companies significantly increased the exports to the following countries, compared with the first half of 2016: Egypt (up 27 mln USD, or up 29.4%), Malaysia (up 18 mln USD, or up 17.8%), Poland (up over 7 mln USD, or up 314%), and China (up 4 mln USD, or up 224%).
Domestic companies-exporters have an excellent opportunity to increase the profitability in the segment of sunflower oil exports. Therefore, they should make direct contacts with supermarkets, and in the USA – with distributors for supplying of high-oleic sunflower oil in bottles, the speaker said.
According to ULIE estimations, selling of high-oleic sunflower oil in packaged form will increase the product price by 20% compared with the bulk sales – from 0.84 EUR/t to 1 EUR/litre. At the same time, it is very important to correctly define the target markets – where there is a good price, providing high value added, as well as actively negotiate with distributors and dealer networks.
As for the national brand of sunflower oil, then D.Krasnikov considered that the general Ukrainian image impacts at private brands, i.e. the image of Ukraine as a trading partner. In order to improve the situation, it is necessary to simplify the state regulation of foreign economic activities.
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