Monocarboxylic fatty acids and acid oils from refining market in Belarus

Earlier Report Observations

The market for industrial monocarboxylic fatty acids and acid oils in Belarus experienced substantial growth in domestic production from 2018 onward, initially influenced by regulatory changes. The 2018 introduction of a 2% limit on trans-fatty acids in hydrogenated oils for margarines and specialty fats altered formulations, boosting demand for suitable fatty acids. Regional trade links with Russia, where production volumes were significant, further affected supply dynamics. By 2020, geopolitical sanctions and trade disruptions in the region prompted a sharp increase in local manufacturing, as Belarusian producers responded to import uncertainties and leveraged closer economic ties.

Sanctions and shifting trade patterns continued to define the market in the early 2020s. Fluctuations in import volumes into Russia during 2021 impacted shipments to Belarus, contributing to a temporary reduction in available market volume. The following year, further sanctions and export adjustments in Russia accelerated Belarus's move toward import substitution, with domestic production leaping to over 1 200 t. This shift was reinforced by a contraction in the Russian market for vegetable-based fatty acids, which redirected trade flows and supported local output growth.

From 2023, internal drivers became more prominent. A significant expansion in rapeseed oil production, driven by health-conscious trends and state agricultural subsidies, strengthened the raw material base for fatty acid manufacturing. Legislative amendments in 2024, including updates to antitrust, trade, and environmental regulations, alongside stable inflation and interest rates, fostered a supportive environment for industrial activity. These factors facilitated a reorientation toward export markets and sustained high levels of domestic production.

Production monocarboxylic fatty acids and acid oils from refining in Belarus

In kind, 2017-2020, t

Top producers of monocarboxylic fatty acids and acid oils from refining, 2017-2020

World map of production of monocarboxylic fatty acids and acid oils from refining, 2017-2020

The market exhibited significant volatility during this period. Production volumes reached their lowest point in 2018 at 60.2 tonnes, then surged to a peak of 286.5 tonnes in 2020, representing a dramatic 4.8-fold increase. The 2020 output marked a substantial year-over-year growth of 236.8%. The most significant decline occurred in 2018, when production fell by 36.4%.

Annual dynamics of production in Belarus in kind, 2017-2020, t

In value, 2017-2020, K $ US

Market volatility was evident throughout the observed timeframe. The value of production bottomed out in 2018 at 26.9 thousand US dollars, then climbed to a high of 162.9 thousand US dollars in 2020, showing a 6.1-fold variation. This 2020 figure represented a remarkable 312.3% increase compared to the previous year. The largest decline was recorded in 2018 at 35.8%.

Annual dynamics of production in Belarus in value, 2017-2020, K $ US

Exports monocarboxylic fatty acids and acid oils from refining from Belarus

Exports in kind, t

Belarusian exports of monocarboxylic fatty acids and acid oils from refining have grown for the second consecutive year. In 2020, exports reached 1 665 tonnes, reflecting a 35.8% increase from the previous year. Over the 2017-2020 period, exports rose by 6.8%, translating to an average annual growth rate of 2.2%. The lowest export volume was recorded in 2018 at 1 202 tonnes, which saw the largest decline of 22.9%.

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

Between 2017 and 2020, Estonia and Poland dominated Belarusian exports in kind, jointly accounting for 90.6% of total shipments, with other countries making up the remaining share.

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

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

Exports in value, K $ US

Export values for monocarboxylic fatty acids and acid oils from refining from Belarus have increased for the second year in a row. In 2020, exports totaled 947 thousand US dollars, up 66.3% year-over-year. From 2017 to 2020, export values grew by 37.2%, with a compound annual growth rate of 11.1%. The minimum value was recorded in 2018 at 537 thousand US dollars, which experienced the largest decline of 22.2%.

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

During the 2017-2020 period, Estonia and Poland were the primary buyers of monocarboxylic fatty acids and acid oils from refining from Belarus, together accounting for 90.0% of total export value, while other destinations each held relatively small shares.

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

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

Imports monocarboxylic fatty acids and acid oils from refining to Belarus

Imports in kind, t

Belarusian imports of monocarboxylic fatty acids and acid oils from refining have risen for the second consecutive year. In 2020, imports totaled 5 034 tonnes, representing a 47.9% increase compared to 2019. Over the 2017-2020 period, imports grew by 92.5%, equivalent to an annualized rate of 24.4%. The lowest import volume was recorded in 2018 at 2 598 tonnes, which saw a modest decline of 0.7%.

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

From 2017 to 2020, Russia (29.6% of imports in kind), Sweden (23.5%), and Malaysia (22.4%) consistently served as the main sources for Belarusian imports in kind, together accounting for 75.5% of total import volumes.

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

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

Imports in value, K $ US

Import values for monocarboxylic fatty acids and acid oils from refining into Belarus have increased for the second year running. In 2020, imports reached 5 331 thousand US dollars, showing a robust 53.3% growth compared to the prior year. Between 2017 and 2020, import values rose by 62.9%, with a compound annual growth rate of 17.7%. The minimum value was recorded in 2018 at 3 088 thousand US dollars, which experienced the largest decline of 5.6%.

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

Throughout 2017-2020, Russia (28.6% of import value), Malaysia (24.4%), and Sweden (20.5%) remained the key sources for Belarusian imports in value terms, together accounting for 73.5% of total import flows.

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

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