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What Impact of Russian-Ukrainian War to Bulk Sunflower Oil Logistics?

Views: 652     Author: Site Editor     Publish Time: 2022-08-04      Origin: Site

Ukraine is the largest exporter of sunflower oil, with an annual export volume of about 5-6 million tons, accounting for about half of the world's sunflower oil exports; Russia ranks second, and these two countries account for nearly 80% of global sunflower oil exports. Although sunflower oil typically accounts for only about 10% of global vegetable oil consumption, it is an important source of vegetable oil in the European Union and Middle East and North African countries including Turkey, Iran and Egypt, mainly for packaging oil and food processing industries.


The conflict between Russia and Ukraine led to a sharp rise in the price of sunflower oil. The global price of sunflower oil rose by 44% compared with the same period last year, the price of rapeseed oil increased by 72%, the price of soybean oil increased by 41%, and the price of palm oil increased by 61%. The price of vegetable oil is rising, and the ocean freight is also rising. What we can do is to save the packaging cost for customers.

Flexitank does not have any rent or cleaning cost, and there is sufficient supply of 20ft container, for that reason Flexitank has been the main packaging pattern for bulk sunflower oil export for Russia and Ukraine.

Ukraine and Russia now have very limited access to sea ports for bulk edible oil export, both countries now are seeking for logistics path via rail and road.

Due to limited capacity of rail tanker-cars or road tankers, Flexitanks plus 20ft GP container, now still is the competitive pattern to ship the bulk sunflower oil, which before the war mainly via ocean, but now a lot flexitanks are transported via rail or road in Eastern Europe.

For the convenience of oil mills, logistics entities, or oil buyers, LAF provides both options, LAF Rail Flexitank and LAF Truck Flexitank.




Both products have been seen strong and durable for long-distance transportation in practical shipments over years. And we offer quick supply of flexitank products from our local inventory in Europe.

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