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Moldova: Largest Oil Producer Suspends Operations due to Seed Shortage from Ukraine

Sun 31 Mar 2024 | 04:31 AM
Taarek Refaat

The largest sunflower oil producer in Moldova has stopped its plant due to a shortage of Ukrainian raw materials.

The Ukrainian Business News Journal quoted the Moldovan company Floarea Soarelui, as saying that its sunflower oil manufacturing plant has suspended operations because it cannot buy enough sunflower seeds from the local market and cannot import them because the import licensing mechanism that was introduced in the fall of 2023 is not working.

The company's statement explained that work in the factory stopped for 20 days in January 2024, and it tried - at that time - to obtain the right to import seeds from Ukraine, but the specialized committee did not issue a license to the company, and then the factory in the city of Balti was closed again, as well as the Danube Oil factory in Giorgosti.

The company stated that the factory can process more than 1,000 tons of sunflower seeds per day, while only about 100,000 tons remain in the market, and some farmers do not want to sell their product in the hope that prices will rise in the summer.

Floarea Soarelui buys sunflower seeds at $380 per ton, while farmers want at least $450 or even $570 per ton.