Spanish sunflower area rises 30% as growers seek an alternative to cereals

Sunflower gains ground in Spanish rotations

Spanish farmers are allocating more land to sunflower as the oilseed offers a more profitable alternative to cereals. According to El Español, the country’s planted area has increased 30% to 800,000 hectares, while cereal acreage is retreating. Andalucía remains the principal producing region, accounting for 240,000 hectares, including 135,000 hectares in Sevilla.

The shift is supported by historically high vegetable oil prices, growing food and biodiesel consumption, and sunflower’s lower nitrogen requirements compared with cereals. Pedro Villa, a partner at Northstar Brokerage, told a technical meeting organized by Asaja and the Sevilla Chamber of Commerce’s grain exchange that sunflower had become one of the strongest alternatives available to farmers.

Import deficit leaves room for domestic supply

Spain is still structurally short of sunflower products. National seed production is expected to total around 800,000 tonnes this year, while seed imports are projected at about 350,000 tonnes. The domestic industry can process as much as 1.5 million tonnes, indicating that crushing capacity exceeds the available Spanish crop.

Spain also imports approximately 600,000 tonnes of processed sunflower oil each year, according to figures presented by Villa. This combination of seed and oil imports gives domestic growers an opportunity to replace part of the country’s foreign supply, provided Spanish seed remains competitively priced. For importers, however, the production gap means international purchases will continue to play an important role even after the expansion in acreage.

Oil prices remain high despite expected correction

International sunflower oil is trading at around €1,300 per tonne. Villa expects the price to ease to approximately €1,200 per tonne from October as Europe and the Black Sea region bring in a larger crop. He said the expected correction reflects improved supply rather than weaker consumption, and prices are still likely to remain historically elevated.

Demand is being reinforced by food consumption in major importing markets, including India, China and the European Union. Biodiesel is another source of growth: global production has risen from 53 million tonnes in 2022 to nearly 70 million tonnes expected this year. Indonesia has increased the mandatory share of palm oil in biodiesel to 50%, while policy support has also lifted production in the United States, adding competition for vegetable oil feedstocks.

Black Sea risks continue to shape trade

Russia and Ukraine remain the leading producers and exporters of sunflower oil, making the market sensitive to the war and disruptions at Ukrainian export terminals. Poor weather around the Black Sea reduced crops in major producing countries during the previous season and prompted Turkey to make unusually large purchases of sunflower seed.

Supply conditions could improve this year as Turkey expects a production recovery and most European growing regions anticipate a better harvest. Recent heatwaves in France and Hungary may nevertheless reduce yields. Fertilizer availability is another consideration: sunflower requires less nitrogen than cereals, while uncertainty around the Strait of Hormuz affects a route that, according to El Español’s report, carries 30% of global trade in this raw material. For Spanish farmers, that cost advantage strengthens sunflower’s place in crop rotations; for traders and processors, weather and Black Sea logistics remain central price risks.