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Kernel makes world's first sale of low-carbon sunflower oil at sustainability premium

Kernel agroholding has signed the world’s first deal to sell sunflower oil with a reduced carbon footprint and verified climate impact, the company’s press service reported.

Kernel makes world's first sale of low-carbon sunflower oil at sustainability premium

Kernel agroholding has made history by signing the world's first deal to sell sunflower oil with a lower carbon footprint and verified climate impact, according to the company's press service. Despite ongoing challenges in the industry, Kernel remains committed to developing sustainable solutions in agriculture and has successfully turned climate-resilient practices into a commercially valuable product.

The buyer is a multinational corporation that is part of a global net-zero carbon strategy, willing to pay a premium for verified emissions reductions in the product's production. The reduction in carbon footprint is achieved through three key stages: sunflower cultivation, supply chain tracking, and oil production. To determine the carbon footprint of each harvest, Kernel employs a precise calculation system that considers factors such as soil conditions, weather patterns, crop rotation, and cultivation techniques.

This allows the company to identify fields with the lowest climate impact and develop low-carbon supply chains. By tracking the entire production chain—from fields with the lowest carbon footprint to elevators and finally to the processing plant—Kernel can accurately confirm the origin of each product and quantify the associated greenhouse gas emissions reductions.

Moreover, Kernel's processing facilities run on renewable energy sources, further minimizing atmospheric emissions. The global market for low-carbon agricultural products is still in its infancy, and the value of climate premiums is determined by the amount of emissions reduced and the market price of a tonne of carbon, which can reach up to $100 or more per tonne of CO2 equivalent.

To further advance its low-carbon offering, Kernel has partnered with the international technology company Regrow, aiming to refine calculations, ensure compliance with international standards, and expand the scope of its sustainable product line. Notably, this marks the first instance in the global agricultural market where transparency and verified emissions reductions across the entire production chain have generated real added value for a product.

Kernel agroholding is a leading player in the industry, being the world's largest producer and exporter of sunflower oil, Ukraine's top grain exporter, and a major logistics provider with extensive network assets. It also plays a significant role in Ukraine's agricultural sector by producing and selling a wide range of grains, oilseeds, and bottled oil.

In the first nine months of the fiscal year 2026 (commencing July 1, 2025), Kernel experienced a 5% decrease in net profit, reaching $208 million, while revenue grew by 0.4% to $3.092 billion, and EBITDA increased by 1% to $403 million.

Written by urgent.news from Interfax-Ukraine's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

Read the original at en.interfax.com.ua →

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