Sunflower or safflower oil and fractions market in Azerbaijan

Earlier Report Observations

From 2018 to 2023, the sunflower and safflower oil market in Azerbaijan experienced notable volatility, with the total market volume reaching a peak of 89,964 t in 2019. This initial growth coincided with global shifts in the vegetable oils sector, where a slow replantation scenario for palm oil affected the supply of alternative oils, potentially increasing demand for sunflower and safflower oils.

After a dip to 82,189 t in 2020, the market partially recovered to 84,295 t in 2021. A more pronounced contraction followed in 2022, with volume falling to 74,654 t. This decline aligned with the expiration in June 2022 of a temporary custom duty reset on imports of crude sunflower and safflower oils, which likely increased import costs. The market then grew to 79,855 t in 2023, a period during which Azerbaijan's supply remained heavily dependent on imports from the Russian Federation, its primary source for these oils.

Production sunflower or safflower oil and fractions in Azerbaijan

In kind, 2018-2021, t

Top producers of sunflower or safflower oil and fractions, 2018-2021

World map of production of sunflower or safflower oil and fractions, 2018-2021

After two years of growth, Azerbaijan's production of sunflower or safflower oil and fractions declined. In 2021, the country produced 35 950 tons, marking a 1.9% decrease from 2020. Over the period from 2018 to 2021, production rose by 17.2%, which translates to an average annual growth rate of 5.4%. The highest production level was recorded in 2020 at 36 642 tons, with the largest year-on-year increase of 14.4% also occurring that year.

Annual dynamics of production in Azerbaijan in kind, 2018-2021, t

Exports sunflower or safflower oil and fractions from Azerbaijan

Exports in kind, t

The export market exhibited volatility during the observed period. Exports reached their lowest point in 2019 at 3 581 tons and peaked in 2020 at 6 400 tons, representing a 1.8-fold difference between these years. In 2021, Azerbaijan's exports of sunflower or safflower oil and fractions amounted to 5 970 tons, showing a gradual decline of 6.7% compared to the previous year. The largest decrease was recorded in 2019 at 13.8%, while the most significant increase occurred in 2020 with a jump of 78.7%.

Annual dynamics of product's exports from Azerbaijan in kind, 2018-2021, t

From 2018 to 2021, Iraq and Georgia were the dominant destinations for Azerbaijan's exports in kind, together accounting for 90.7% of total flows, with the remaining share going to other markets.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Azerbaijan in kind, 2018-2021

Exports in value, K $ US

The market showed noticeable fluctuations in performance over this period. Export values dropped to a minimum in 2019 at 3 640 thousand US dollars and climbed to a maximum in 2021 at 9 558 thousand US dollars, a 2.6-fold increase. In 2021, Azerbaijan's export value of sunflower or safflower oil and fractions saw a sharp rise of 42.9% compared to 2020. The largest decline was recorded in 2019 at 20.4%, while the most significant increase occurred in 2020 with an 83.7% surge.

Annual dynamics of product's exports from Azerbaijan in value, 2018-2021, K $ US

Between 2018 and 2021, Iraq and Georgia together dominated Azerbaijan's exports in value terms, with Iraq accounting for 48.0% and Georgia for 43.0% of total flows, combining for 90.9% of exports. Other partners made up the remainder.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Azerbaijan in value, 2018-2021

Imports sunflower or safflower oil and fractions to Azerbaijan

Imports in kind, t

In 2021, Azerbaijan's imports of sunflower or safflower oil and fractions reached 54 314 tons, reflecting a 4.6% increase from the previous year. The minimum import volume was recorded in 2020 at 51 946 tons, while the maximum was in 2019 at 61 519 tons. The largest decline occurred in 2020 with a 15.6% drop, and the largest increase was in 2019 with a 13.6% rise.

Annual dynamics of product's imports to Azerbaijan in kind, 2018-2021, t

Throughout the 2018–2021 period, Russia was the dominant and nearly exclusive source for Azerbaijan's imports in kind of sunflower or safflower oil and fractions, holding a 97.0% share.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Azerbaijan in kind, 2018-2021

Imports in value, K $ US

In 2021, Azerbaijan imported sunflower or safflower oil and fractions valued at 9 558 thousand US dollars, showing a significant gain of 68.0% compared to the previous year. From 2018 to 2021, imports increased by 72%, equivalent to an annualized growth rate of 19.8%. The largest decline was recorded in 2020 at 1.4%.

Annual dynamics of product's imports to Azerbaijan in value, 2018-2021, K $ US

From 2018 to 2021, Russia played a dominant role in Azerbaijan's imports in value terms of sunflower or safflower oil and fractions, consistently accounting for 96.1% of total flows.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Azerbaijan in value, 2018-2021