Oil and fat industry of Ukraine: challenges and development potential

Abstract

Background. The food market is characterized by dependence on many environ­mental factors.
The development of oil and fat production has great prospects both in terms of internal needs and satisfaction of foreign market demand.
The structure and dynamics of the world food market and the place of Ukraine in it, the peculiarities of its development and competition, the assessment of export capabilitiesof the oil and fat industry have been studied in the works of many scientists [2–5].
The aim of the article is to study the state and tendencies of development of the domestic market of sunflower oil in the conditions of global transformations.
Materials and methods. Methods were applied: analysis and synthesis, systematic approach, comparison and generalization; the internal production self-sufficiency factor and the import dependency ratio were used.
Results. Five regions of Ukraine have been the largest producers of sunflower oil in recent years. More than 70 companies produce sunflower oil in Ukraine. The largest share is held by multinationals.
Export demand is decisive, far exceeding domestic consumption. However, 90 % of total exports are crude oil, that is, Ukraine has a raw material orientation, which causes our position in the foreign markets to lose stability.
It is important to develop a national brand of high-oleic sunflower oil, which would maintain a good position in the market and improve the strategy for the development of the oil and fat industry in the future.
Conclusion. Ukraine ranks first place in the world in sunflower production, covering one third of the world market. The largest share is the production of unrefined sunflower oil. Producing high-oleic crude sunflower oil is promising, which can improve the country’s oil and fat sector development strategy.