Oilseed Markets in Africa Face Growing Pressure as Processing Demand Expands
Market signals across Africa indicate rising pressure in oilseed markets, driven largely by expanding domestic processing capacity and sustained demand for edible oils and animal feed inputs.
Sunflower, groundnuts, and sesame continue to play an increasingly important role in regional trade, particularly in East and Southern Africa, where processors are competing for limited volumes that meet consistent quality standards. While production of oilseeds remains widespread, availability at scale is constrained by fragmented supply, post-harvest losses, and uneven aggregation systems.
Industry observers note that growing investment in edible oil processing and animal feed manufacturing is tightening competition for raw materials, placing upward pressure on farm-gate and aggregation-level prices in several producing corridors. At the same time, quality variability and moisture management challenges are becoming more visible, especially for processors requiring uniform input specifications.
These dynamics suggest that oilseed traders and processors in 2026 will need to prioritize early sourcing visibility, quality alignment, and aggregation planning, as demand growth continues to outpace improvements in supply coordination.
Source: FAO oilseeds market outlooks, FAO GIEWS regional food market updates, and FAOSTAT production and trade data