India has contracted 45,000 tonnes of Russian sunflower oil at a record-high price for shipments in April as edible oil prices in the local market surged after supplies from rival Ukraine stopped, five industry officials told Reuters.
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Sunflower oil from Russia could help the world’s biggest edible oil importer in easing the shortfall at a time when availability of vegetable oils is stretched because of Indonesia’s decision to restrict palm oil supplies and lower soybean crop in South America.
“As vessel loading is not possible in Ukraine, buyers are trying to secure supplies from Russia,” said Pradeep Chowdhry, MD of Gemini Edibles & Fats, which contracted 12,000 tonnes of Russian sunflower oil for April shipments.
Refiners bought crude sunflower oil at a record $2,150 a tonne, including cost, insurance and freight, for April shipments, compared with $1,630 before Russia invaded Ukraine, dealers said. Buyers are paying in dollars, a dealer said.