The rising prominence of sunflower oil in world edible oil markets has stimulated increased interest in expanded U.S. production. U.S. acreage devoted to oilseed sunflowers has expanded rapidly, with over 600,000 acres grown in 1972. Production has been concentrated in the southern Cotton Belt States and in the Red River Valley area of Minnesota and North Dakota. This report examines recent trends in domestic fats and oils markets and the possible place of sunflower oil in these markets. Estimates are developed of the yield per acre and price required of sunflowerseed to make it competitive with established crops in the two areas. Also, estimates are made of the costs and profitability of processing sunflowerseed in southern screw-press mills.