Cottonseed oil and fractions market in Uzbekistan

Earlier Report Observations

Between 2018 and 2020, the market volume for cottonseed oil in Uzbekistan fluctuated, starting at 182 thousand tons in 2018, declining to 152.8 thousand tons in 2019, and recovering to 163.2 thousand tons in 2020. The removal of the excise tax on cottonseed oil in late 2018 reduced the fiscal burden on producers, supporting output. In 2020, an extension of the payment terms for cotton fiber transactions improved liquidity for market participants, aiding the rebound.

A sharp expansion occurred in 2021, with the market reaching 251.1 thousand tons. This surge was primarily due to the introduction of export duties and restrictions on cottonseed and sunflower oil, which curtailed outbound shipments and increased domestic availability, coinciding with a period of rising global vegetable oil prices.

The market contracted to 132.8 thousand tons in 2022, a period marked by the implementation of mandatory exchange trading for seeds and oil and a temporary export ban, which introduced operational adjustments. Growth resumed in 2023 to 140.6 thousand tons, fueled by a larger cotton harvest and significant capacity additions, including the launch of a new 200-ton-per-day refinery by Myande and the establishment of the Pet Agro Oil joint venture. Into 2024, policy measures such as a zero import duty on vegetable oils and a partial lifting of export quotas continued to shape the market framework.

Production cottonseed oil and fractions in Uzbekistan

In kind, 2017-2020, K t

From 2017 to 2020, Uzbekistan ranked as the world's 7th largest producer of cottonseed oil and fractions by volume.

Top producers of cottonseed oil and fractions, 2017-2020

World map of production of cottonseed oil and fractions, 2017-2020

Following a two-year decline, Uzbekistan's production of cottonseed oil and fractions rebounded in 2020. The country produced 179.6 thousand tons that year, representing a significant 11.1% increase compared to 2019. However, over the entire 2017-2020 period, production fell by 12.2%, averaging an annual decline of 4.3%. The lowest output was recorded in 2019 at 161.6 thousand tons, while the sharpest drop occurred in 2018 with a 13.8% decrease.

Annual dynamics of production in Uzbekistan in kind, 2017-2020, K t

Exports cottonseed oil and fractions from Uzbekistan

Exports in kind, t

In 2020, Uzbekistan's cross-border shipments of cottonseed oil and fractions reached 22 089 tons, showing a substantial 42.0% rise from the previous year.

Annual dynamics of product's exports from Uzbekistan in kind, 2017-2020, t

Between 2017 and 2020, Tajikistan was the primary buyer of cottonseed oil and fractions from Uzbekistan, accounting for 70.8% of total exports by volume. The remaining share was distributed among a diverse group of other countries.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Uzbekistan in kind, 2017-2020

Exports in value, K $ US

Uzbekistan's exports of cottonseed oil and fractions in 2020 amounted to 16 945 thousand US dollars, marking a 43.7% increase year-over-year.

Annual dynamics of product's exports from Uzbekistan in value, 2017-2020, K $ US

From 2017 to 2020, the export structure in value terms was dominated by Tajikistan and Afghanistan, which together represented 98.9% of total flows. Other markets contributed only marginally.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Uzbekistan in value, 2017-2020

Imports cottonseed oil and fractions to Uzbekistan

Imports in kind, t

Import volumes showed irregular fluctuations, reflecting a volatile market environment. Imports reached their lowest point in 2017 and peaked in 2019, with a 2.1-fold difference between these years. In 2020, Uzbekistan imported 5 785 tons of cottonseed oil and fractions, a notable 14.8% decrease from 2019. The highest import volume was recorded in 2019 at 6 790 tons, while the largest increase occurred in 2018 with a 73.9% surge.

Annual dynamics of product's imports to Uzbekistan in kind, 2017-2020, t

Throughout the 2017-2020 period, Kazakhstan and Turkmenistan were the main sources of imports by volume, jointly accounting for 99.7% of total flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Uzbekistan in kind, 2017-2020

Imports in value, K $ US

After two consecutive years of growth, Uzbekistan's imports of cottonseed oil and fractions declined in 2020. The country imported 5 028 thousand US dollars worth of these products that year, down 13.7% from 2019. Over the 2017-2020 span, imports increased by 73.9%, averaging an annual growth rate of 20.3%. The peak value was recorded in 2019 at 5 824 thousand US dollars, with the most significant rise occurring in 2018 at 66.3%.

Annual dynamics of product's imports to Uzbekistan in value, 2017-2020, K $ US

From 2017 to 2020, Kazakhstan and Turkmenistan were the dominant sources for Uzbekistan's imports of cottonseed oil and fractions in value terms. Kazakhstan contributed 76.5% of total flows, while Turkmenistan accounted for 23.3%, together making up 99.8% of all imports.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Uzbekistan in value, 2017-2020