Ukraine will increase its rapeseed oil exports by 2.7 times thanks to domestic processing
In the 2025–2026 marketing year, Ukraine’s agricultural sector is undergoing a rapid shift from raw material exports to the production of high-value-added products.
This was reported by the Ukrainian Agribusiness Club (UAC), which emphasized the strategic importance of these changes for the economy.
Despite an overall decline in the rapeseed harvest, rapeseed oil exports to foreign markets are expected to reach 576,000 tons.
Experts predict that domestic rapeseed processing volumes will rise to 1.5 million tons, which is 2.6 times higher than the previous season’s figures.
“The situation in the rapeseed market in the 2025/26 marketing year is an example of the Ukrainian agricultural sector’s shift from exporting raw materials to producing higher-value-added products,” the UACB emphasizes.
This is driven by both market factors and expected regulatory changes that are incentivizing domestic processing plants.
Interestingly, the surge in oil production is occurring against the backdrop of unfavorable weather conditions that have impacted crop yields. This year, rapeseed acreage has shrunk to 1.3 million hectares, and the average yield has fallen by 8% to 2.6 t/ha.
As a result, the total seed harvest decreased by 10.1% compared to last year and stands at 3.2 million tons; however, this did not prevent processing capacity from increasing.
Since domestic consumption of rapeseed oil in Ukraine traditionally remains low—only 4–6 thousand tons per year—almost the entire volume produced will be sold.
“Ukrainian consumers traditionally prefer sunflower oil. This means that almost the entire volume of production will be directed toward export,” explain the association’s analysts.
The main buyers of Ukrainian oil remain countries in the European Union and Asia.
At the same time, rapeseed exports as a raw material will decline significantly—according to forecasts, they will drop by a factor of 1.8, to 1.8 million tons.
Last season, foreign buyers actively purchased seeds, which limited the operations of Ukrainian oil extraction plants.
Now the situation is shifting in favor of domestic producers, allowing more profits to remain within the country.
As a reminder, the war has caused a sharp increase in the population of wild animals in Ukraine, which are destroying crops.
Additionally, rising prices for nitrogen fertilizers due to the energy crisis are impacting the global agricultural sector.
