November 25, 2024
Before we look ahead to 2025, let’s see how the 2024 growing season turned out. In October, the USDA released its first production estimate of the 2024 sunflower crop. Two things stood out in the USDA production numbers.
The first is that the combined oil and non-oil sunflower yield set another record at 1,889 pounds per acre. The second is that total sunflower production dropped 43% from 2023. That, of course, is the result of a sharp reduction in sunflower-planted acreage.
The USDA pegged 2024 sunflower production at 1.3 billion pounds, down 43% from the revised 2023 production of 2.26 billion pounds. The USDA cut 3.64 million pounds from 2023 oil sunflower production and 2.19 million pounds of non-oil-type production from last year.
Acreage updates were made in several states. Area planted, at 720,000 acres, is down 20% from the June estimate and down 45% from last year. Sunflower growers expect to harvest 691,000 acres, down 20% from the June forecast and down 45% from 2023.
No estimates are out yet on 2025 sunflower acres, but industry analysts believe that acres will increase given the interest they are hearing from producers.
Farmer considerations
Another thing for producers to consider is whether to grow NuSun or high-oleic sunflowers in 2025. In 2024, a change took place at the crush plants regarding the seeds they will crush. Crush plants are offering new crop contracts for high-oleic seeds but not NuSun.
The NuSun era opened many opportunities in the U.S. and Canadian markets. However, the market has shifted, as buyers want oils that have high amounts of monounsaturated fats and saturated fat levels at or below 7%. High-oleic sunflower oil fits the bill here.
The outlook for high-oleic sunflower oil continues to be bright, thanks in part to the U.S. Food and Drug Administration’s qualified health claim for high-oleic oil and its heart health benefits, as well as the FDA’s ban on partially hydrogenated oils in the U.S. Several new domestic customers have come on board, adding sunflower oil to their product mix.
Export markets such as Canada and Mexico have potential to grow as well, giving several market options to sell oil. There still will be a market for NuSun seeds, but it will be mainly restricted to the birdfood market.
With harvest wrapped up in the Northern Hemisphere, traders’ attention will turn to the Southern Hemisphere. There are thoughts that oilseed production numbers for South America might be too high based on the developing La Nina.
If any major weather damage occurs to South American crops, it will be very bullish for new crop values in the U.S. If you haven’t considered growing sunflowers for a few years, take another look, and you’ll be surprised how this crop’s genetics have changed.
As you prepare your crop budgets for the year, sunflowers might be your most profitable crop in 2025.
To find confection and oil sunflower buyers to talk about contracting opportunities, check out this link: www.sunflowernsa.com. Follow us on X @NatlSunflower.
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