Canola Meal in 2024: Export Prospects from Ukraine and Its Role in the Global Market

Canola Meal in 2024: Export Prospects from Ukraine and Its Role in the Global Market

Canola meal is an important by-product of canola processing, widely used as a protein feed for livestock. Its production and export play a key role in Ukraine’s agricultural economy, as the country is one of the largest global suppliers of this product. In 2024, demand for canola meal continues to grow as it plays a crucial role in the feed industry for cattle, pigs, poultry, and fish.

Thanks to the consistently high demand for animal feed and aquaculture, coupled with competitive prices for Ukrainian canola meal, Ukraine remains one of the main players in the global market. However, successful competition in global markets requires considering geopolitical and economic changes that may affect exports and price formation.

What is Canola Meal?

Canola meal is a product derived from the extraction of oil from canola seeds. It is highly nutritious, with a high protein content, making it an important component of animal feed. It is used as a protein supplement in the diets of pigs, cattle, poultry, and also in aquaculture for fish.

The main characteristic of canola meal is its high nutritional value. However, it does not contain toxic compounds, such as erucic acid, due to modern processing technologies. Today, canola meal is widely used in animal husbandry and aquaculture in many countries.

Nutritional Characteristics of Canola Meal:

Ukraine as a Leading Exporter of Canola Meal

Ukraine is one of the largest producers and suppliers of canola meal on the international market. In particular, in 2024, the production of canola meal in Ukraine is forecast to exceed 2 million tons. Key factors contributing to the competitiveness of Ukrainian canola meal include:

• Favorable geographic location — proximity to major European markets and convenient access to Black Sea ports.
• Expansion of canola planting areas — increased canola cultivation allows for a significant volume of meal production.
• Improved processing quality — investments in new technologies ensure high production levels.
• Low production costs — compared to other suppliers, Ukrainian canola meal is competitively priced.

Production and Export of Canola Meal from Ukraine (tons):

Key Markets for Ukrainian Canola Meal

Ukraine exports canola meal to many countries, with the European Union, China, the Middle East, and Asia being major destinations. The demand for this product is primarily driven by the development of livestock and feed industries, as well as aquaculture in these regions.

• European Union
  The EU remains the largest importer of Ukrainian canola meal. With high demand for animal feed, canola meal plays a key role in the EU’s feed industry. Poland, Germany, France, the Netherlands, and Italy are among the leading importers from Europe.
• China
  China, one of the largest economies globally, has a steadily growing demand for pig and poultry feed. Ukrainian canola meal is widely used in feeding pigs, the primary source of meat in China.
• Middle East
  Turkey, Saudi Arabia, and the United Arab Emirates actively import Ukrainian canola meal due to increasing demand for meat products, which requires significant use of animal feed.
• Asia-Pacific Region
  Indonesia, Vietnam, and Thailand, where aquaculture and poultry industries are growing rapidly, use Ukrainian meal as a primary protein source.

Production and Export Forecast for Canola Meal in 2024

In 2024, Ukrainian exporters plan to increase supplies to international markets. The forecasted increase in production and export volumes indicates growing demand, which is reflected in positive price dynamics.

Logistics and Transportation of Canola Meal from Ukraine

Various modes of transport are used for the efficient transportation of canola meal from Ukraine, including sea, rail, and road transport.

• Sea Transport
  Ukrainian seaports such as Odessa, Chornomorsk, Izmail, and Mykolaiv are key hubs for canola meal exports. Sea transport is the most efficient for large volumes of goods, ensuring stable supplies to Europe, Asia, the Middle East, and North Africa.
• Rail Transport
  Rail transport is used for deliveries to neighboring countries such as Poland, Hungary, and Slovakia, as well as for domestic transportation within Ukraine.
• Road Transport
  Road transport provides more flexibility and faster delivery within Europe and for shorter routes, especially to neighboring countries where the volume does not exceed critical levels for sea or rail transport.

Prices for Canola Meal in 2024

Prices for canola meal in 2024 fluctuate depending on the market, transportation costs, and geopolitical factors.