Expana raises EU sunflower production forecast amid rising energy costs

Expana maintained its forecast of European Union 'rapeseed production in 2026 as?20.8 millions metric tons but increased?its forecast on?sunflower, as farmers turn to the less energy and fertiliser consuming crop amid rising prices.

In a report published monthly, the consultancy increased its forecast of EU sunflower seed production for 2026/27 from 9.9 million metric tones in February. In the case of soybeans, it reduced its estimate from 3.2 to 3.1 millions tons.

Expana’s latest 'projections' confirm a positive outlook on EU oilseed crops. Rapeseed production is expected to?rise 1% annually, while sunflower and soybean would gain 7%.

"Rapeseed crops in the EU are in good condition. In France, they have advanced to flowering and there is moderate pest pressure." Expana reported that crops were growing well in Germany, Poland and with minimal winter damage.

Biodiesel made from vegetable oil is an attractive alternative to conventional diesel due to rising energy costs and the 'Middle East conflict.

Expana stated that "this trend could be accentuated if fossil fuel prices or shortages continue to rise, leading to an increase in mandates for biofuel incorporation in certain countries."

It was noted that the increase in industrial demand would be partially offset by a decline in food consumption due to the high prices of oilseeds. (Reporting and editing by Alex Richardson; Sybille de la Hamaide)

(source: Reuters)