Sunflower, safflower or cottonseed oil and fractions market in Brazil

Earlier Report Observations

The Brazilian market for sunflower, safflower, and cottonseed oils grew from 345.6 thousand tonnes in 2018 to 392.9 thousand tonnes in 2019. This expansion was supported by Brazil's relevant production of sunflower and cotton oils, driven by demand from the food, cosmetic, and biodiesel sectors. Sunflower oil, valued for its nutritional profile rich in unsaturated fatty acids and vitamin E, saw increased domestic consumption. In 2019, delayed sunflower harvests due to late planting heightened import needs, contributing to market growth.

Market volume dipped to 366.5 thousand tonnes in 2020, then stabilized at 368.0 thousand tonnes in 2021. The 2021 stability coincided with the National Energy Policy Council's decision to raise the mandatory biodiesel blend in diesel to 15% from August 2025, boosting demand for cottonseed oil in biofuel production. In 2022, the market contracted sharply to 327.4 thousand tonnes, primarily due to global sunflower oil shortages and price spikes following Russia's invasion of Ukraine, which reduced imports. Additionally, competition from more affordable soybean oil pressured cottonseed oil demand, despite increased domestic sunflower production planned for the 2022/2023 season.

A strong recovery occurred in 2023, with market volume surging to 436.1 thousand tonnes. This was driven by a substantial rise in domestic sunflower oil production, which reached 410.2 thousand tonnes, supported by forward contracts and expanded planting areas. The cottonseed oil segment remained buoyant due to sustained demand from the biodiesel industry, underpinned by the higher blending mandate. Looking ahead, global sunflower oil supply increased in 2024, moderating prices, while cottonseed oil demand for biodiesel continued to influence the market.

Production sunflower, safflower or cottonseed oil and fractions in Brazil

In kind, 2018-2021, K t

Globally, Brazil ranked as the 15th largest producer of sunflower, safflower, or cottonseed oil and fractions from 2018 to 2021.

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

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

In 2021, Brazil produced 317.9 thousand tons of sunflower, safflower, or cottonseed oil and fractions, marking a 3.6% year-over-year increase. Over the 2018-2021 period, production grew by 2.9%, with a compound annual growth rate of 1.0%. The lowest production level was recorded in 2020 at 306.9 thousand tons, while the highest was in 2019 at 348.3 thousand tons. The most significant decline occurred in 2020, dropping by 11.9%, whereas the largest increase was in 2019, rising by 12.8%.

Annual dynamics of production in Brazil in kind, 2018-2021, K t

Exports sunflower, safflower or cottonseed oil and fractions from Brazil

Exports in kind, t

Brazil's exports of sunflower, safflower, or cottonseed oil and fractions have increased for the third consecutive year. In 2021, export volume reached 7 457 tons, reflecting a sharp gain of 50.8% compared to 2020. Between 2018 and 2021, exports surged by 1 206.8%, equating to an annualized growth rate of 135.5%.

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

From 2018 to 2021, Malaysia, Australia, and South Africa emerged as the primary markets for Brazil's exports in kind, accounting for 44.0%, 25.6%, and 12.5% of total exports, respectively. Together, these three countries represented 82.1% of all export flows.

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

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

Exports in value, K $ US

Brazil's cross-border shipments of sunflower, safflower, or cottonseed oil and fractions have risen for the third year in a row. In 2021, exports amounted to 9 614 thousand US dollars, showing a steep rise of 118.6% year-over-year. Between 2018 and 2021, exports increased by 1 095.4%, corresponding to an annualized rate of 128.7%.

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

Throughout 2018-2021, Malaysia, Australia, and South Africa remained the top three markets for Brazil's exports in value terms, collectively accounting for 76.2% of total export flows.

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

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

Imports sunflower, safflower or cottonseed oil and fractions to Brazil

Imports in kind, t

After a two-year rise, Brazil's import volume of sunflower, safflower, or cottonseed oil and fractions declined in 2021. Imports stood at 57 605 tons, which is 10.7% lower than the previous year. Over the 2018-2021 period, imports increased by 54.6%, with a compound annual growth rate of 15.6%. The highest import level was recorded in 2020 at 64 486 tons, with the largest increase of 34.9% occurring that same year.

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

From 2018 to 2021, Argentina effectively monopolized Brazil's imports in kind of sunflower, safflower, or cottonseed oil and fractions, capturing 91.8% of total import flows.

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

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

Imports in value, K $ US

Brazil's imports of sunflower, safflower, or cottonseed oil and fractions have increased for the third consecutive year. In 2021, imports totaled 72 535 thousand US dollars, up by 28.7% compared to the previous year. Over the 2018-2021 period, imports grew by 123.1%, with a compound annual growth rate of 30.7%.

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

Throughout 2018-2021, Argentina dominated Brazil's import partner structure in value terms, holding an 88.9% share of total flows, while other markets had comparatively modest shares.

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

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