Openfield exports oilseed rape to Turkey
Loading of the MV Palmali Confidence with 6,000 tonnes of oilseed rape from farms across the south west of England began on 24th January at the Portbury Grain Terminal, which is operated exclusively by Openfield. This is understood to be the first export of its kind to Turkey from the UK. Loading would have commenced sooner, but the high winds that resulted in widespread flooding across the region delayed its entry into the port.
Turkey is one of the few countries to have a stricter policy on the permissible inclusion of genetically modified organisms (GMOs) than the European Union and as such, in times of shortage it can make securing compliant supplies difficult.
Whereas the European Union has a permissible level of 0.1%, Turkey adheres to a zero-tolerance policy. Meeting this requirement is further complicated by a shortage of shippers able to give the necessary reassurances that their vessels can meet its zero-tolerance rule. As such, it is being forced to look to suppliers in western Europe where shippers rarely encounter GM material.
Openfield head of oilseed rape John Thorpe who handled the sale said he was pleased to see this as a new destination for UK oilseed rape.
“Turkey has also bought cargoes from France and Germany this season, but with feed mills located in these ports it faces stiff competition for supplies. This has helped to support the UK’s position as has the competitive value of Sterling prior to Christmas, despite being significantly further away,” said Mr Thorpe.
Recent news of the improving economy however, has strengthened Sterling against the euro and is likely to mean this is a short-lived marketing opportunity.
“UK oilseed rape is recognised as a quality product and buyers appreciate the traceability it carries, but it has to be price competitive too. Given the shipping fees associated with such an export the recent improvement in the value of Sterling means there is unlikely to many more cargoes heading to Turkey again in the near future,” he added.
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