Ukrainian Sunflower Market on the Background of EU and US Markets

Tetyana Kuts1, Oksana Makarchuk2
1, 2 National University of Life and Environmental Sciences of Ukraine – NULES of Ukraine
Kuts, Tetyana; ORCID: 0000-0002-8389-6070 (National University of Life and Environmental Sciences of Ukraine – NULES of Ukraine)
Makarchuk, Oksana; ORCID: 0000-0002-5997-5879 (National University of Life and Environmental Sciences of Ukraine – NULES of Ukraine)
Ukrainian Sunflower Market on the Background of EU and US Markets
Zeszyty Naukowe SGGW w Warszawie - Problemy Rolnictwa Światowego, 2020, vol.20(35), nr 3, s. 4-15

Słowa kluczowe

market integration Ukraine European Union United States sunflower oil market

Key words

market integration Ukraine European Union United States sunflower oil market

JEL Classification

F1 F6 Q1 C5

Streszczenie

This paper aims to provide market analysis of the sunflower market in Ukraine (UA) and research the existence of integration between the sunflower oil markets in Ukraine, the European Union (EU) and the United States (US). To fulfill the aims in the paper, yearly balances of sunflower seed, sunflower oil and sunflower cake were analyzed and price analysis was conducted. Price integration was assessed with the use of the error correction model (ECM) which was applied to monthly prices for sunflower oil from 2000 to 2020. Our findings provide evidence of high price transmission between the UA and EU markets, conversely lower price transmission was observed between the UA and the US.

Abstract

This paper aims to provide market analysis of the sunflower market in Ukraine (UA) and research the existence of integration between the sunflower oil markets in Ukraine, the European Union (EU) and the United States (US). To fulfill the aims in the paper, yearly balances of sunflower seed, sunflower oil and sunflower cake were analyzed and price analysis was conducted. Price integration was assessed with the use of the error correction model (ECM) which was applied to monthly prices for sunflower oil from 2000 to 2020. Our findings provide evidence of high price transmission between the UA and EU markets, conversely lower price transmission was observed between the UA and the US.