February 1, 2013

Due to the failure of its Ukrainian partner to deliver the shipment in time, Pakistan's government has cancelled a deal to buy 40,000 tonnes of Ukrainian rapeseed.

"The Ukrainian side explains the failure to deliver the shipment as being due to snow, which made it impossible to move rapeseed to a sea port," ProAgro said in a report.

The consultancy said Ukrainian rapeseed was supposed to be delivered to Pakistan in January 2013 at US$637 per tonne C&F.

Earlier this month, analyst UkrAgroConsult increased its forecast for rapeseed exports from Ukraine by about 5% in the 2012-13 season to 1.235 million tonnes due to lower domestic processing. Poor weather during the autumn sowing in 2011 and severe frost reduced the 2012 rapeseed harvest by about 15% to 1.203 million tonnes.

Ukraine traditionally exports more than 90% of its rapeseed harvest mostly to European countries. The consultancy said Ukraine had exported 895,000 tonnes of rapeseed so far this season.