Ukraine’s soybean and rapeseed exports suspended

Due to the cancellation of customs declarations and confusion over grain origin verification, soybean and rapeseed exports in Ukraine have been completely suspended. Farmers are unwilling to pay a 10% duty, traders are counting losses from idle vessels, and processors have already lowered their purchase prices.

Following the introduction of a 10% export duty on soybeans and rapeseed, shipments of oilseeds from Ukrainian ports have effectively stopped. The Ukrainian Agri Council (UAC) has appealed to Prime Minister Yulia Svyrydenko, urging the government to urgently resolve the situation.

According to Andrii Dykun, Chairman of the UAC, as of September 5 exports are fully blocked.

“Export is only possible with the payment of a 10% duty, yet vessels are waiting in ports because these batches contain mixed products – both from producers and from traders. The problem lies in the absence of a clear procedure for documentary confirmation of the origin of products grown directly by farmers or cooperatives. According to the law signed by the President of Ukraine on September 2, 2025, these producers should be exempt from paying the duty, but at the moment this is impossible to implement,” explained Andrii Dykun.

A significant number of traders, anticipating the introduction of export duties, had since August been buying rapeseed exclusively from producers. However, on September 4 the customs authorities annulled all periodic customs declarations, including those from producers who were supposed to be exempt from duty.

The lack of a mechanism for customs to verify the fact of self-produced goods has resulted in producers being forced to pay the 10% duty until the origin is officially established.

Domestic processors have taken advantage of the situation, gradually lowering their purchase prices over the past week. For producers, the inability to sell rapeseed for export could become a reality for at least a month — until legislation and mechanisms are adjusted.

Over the course of a week, domestic rapeseed purchase prices dropped from $600/t including VAT at the beginning of the week to $585/t by its end. Export quotations also decreased by $15–20/t, down to $520–530/t. Rapeseed oil prices lost about $30/t over the past week, trading at €1050–1060/t FOB northern ports.

Agrarians emphasize that preparing regulations for confirming self-produced goods during customs clearance falls under the responsibility of Ukraine’s Ministry of Finance. In this regard, they have called on the government to take urgent measures to unblock exports, since a prompt resolution is critically important for the stability of agricultural exports and the preservation of foreign currency revenues for the state budget.

“Unfortunately, this situation was predictable, and the UAC has consistently stressed that it is unacceptable to adopt a law without establishing mechanisms for verifying the origin of producers’ goods. Now this has become a major problem,” concluded the UAC Chairman.