The Oilseed Market in Turkey

Abstract

Owing to the suitable natural resource endowments, twelve different oil-related plants are grown in Turkey making it the largest producer in cottonseed, sunflower seed, cottonseed oil, and margarine in the Mediterranean Basin. However, Turkey has also been a net importer in both oilseeds and crude oils. It is the second largest importer in sunflower seed, sunflower oil, palm oil, corn oil, and third in soybean oil in the region. Using multi-commodity partial equilibrium simulation model, this paper analyzes the future consumption and trade patterns in the Turkish oilseed market. The model suggests that the deficiencies in major meals and oils will likely to persist if the present policies are sustained. If the tariff rates are lowered to 0% for sunflower seed and to 12% for sunflower oil, the total vegetable oil disappearance as well as the imports of sunflower oil, sunflower meal, and palm oil will continue to grow.