Ukraine in 2022-23 marketing year (MY) increased sunflower exports by 14% and reduced its processing by 83%, producing its lowest volume since 2009-2010 MY, said oil market analyst at APK-Inform Svetlana Kirichok.
“During the season, there was a record and uncontrolled export of sunflower from Ukraine, which occurred against the background of a decline in oil refining and export of sunflower oil due to the limited work of the ports. The main volume of exports (79%) for September-May came to the EU countries, namely Romania and Bulgaria, which at the expense of Ukrainian raw materials substantially loaded their own enterprises and managed to increase the export of sunflower oil,” – she explained.
According to Kirichok, the imposition of unilateral bans on imports of sunflower to the EU has led to the fact that in April the export of Ukrainian oilseeds fell to its lowest level since April 2022, and a very large amount of sunflower was redirected to the domestic market.
The expert predicts that sunflower exports from Ukraine in 2022-23 MY will reach 2 million tons, which will be a historical maximum for the industry.
“According to our estimate, at the beginning of June, the sunflower balances (conditionally for the whole country) were about 1.6 million tons, which is one of the lowest for many years, and even with minimal export volumes they will not be able to provide full work of processing enterprises in June-August,” – she said.
In general, since the beginning of 2022/23 MY in Ukraine was processed about 10.5 million tons of oilseeds, which was one of the lowest rates over the past seven seasons. Until the end of the current season (in June-August) may be processed about 1.2 million tons – this is the minimum for this period over the past 12 seasons, the expert stated.
Kirichok expects an increase in sunflower production in 2023 due to the expansion of cultivated area to 5.5 million hectares, which is 13% more than a year earlier. At the same time, the total supply of oilseeds will decrease by 10% due to the reduction of carry-over stocks and yield potential, which will happen due to the prolonged sowing season and saving by agrarians of material and technical resources, in particular pesticides.
“If sunflower exports will show rates close to those of 2021/22-2022/23 MY, and exports from deep-sea ports will remain unstable, the country is expected to further reduce processing volumes,” summarized the expert.
Dynamics of export of goods in 2021-2022
Source: Open4Business.com.ua and experts.news
Export changes in % to previous period in 2022-2023
Source: Open4Business.com.ua and experts.news
Corteva Agriscience, an international agricultural research company, increased its exports of Pioneer brand corn seed to the EU 16-fold in 2023 through established channels in Romania and Hungary, according to its press release.
According to it, the company was able to achieve a 15 percent increase in yields of Pioneer’s advanced seed hybrids last year through the introduction of precision farming, irrigation and other advanced approaches.
“For ten years we have been developing seed production in Ukraine, because for Corteva Agriscience our country is one of the major players in the global agricultural market, which has a significant impact on global food security,” – quoted the press service of the regional head of seed production Corteva Agriscience Andrey Andriushko.
He said that amid the war the company continues to invest in the production seed complex and support the communities of the region. For example, last year Corteva Agriscience signed a declaration with the Ministry of Agrarian Policy and Food of Ukraine on deepening and further developing cooperation for food security in Ukraine and the world, which resulted in increasing the production capacity of the seed complex in Stasi village, Poltava region, officially opened in June 2013 and investments of over $56 million. Its annual capacity has reached about 500 thousand seed units of corn and 250 thousand seed units.
According to the company, Corteva is one of the largest taxpayers in the region. The total number of employees, including seasonal workers, reaches nearly 400.
According to the press release, Corteva has invested about UAH 4.6 million in the development of Stasi village since 2013 (to improve infrastructure, medicine, education and social life of the community, in particular, it financed the reconstruction of a bomb shelter for 800 people.
Corteva Agriscience is a global agricultural company. It offers agricultural producers comprehensive solutions to maximize crop yields and profitability. It has more than 150 research facilities and more than 65 active substances in its portfolio.
Its representative office in Ukraine includes a central office in Kiev, a research center in Lyubartsy village (Kiev region) and a seed production complex opened in 2013 in Stasi village (Poltava region). Investments in the plant over five years amounted to more than $56 mln.
In April 2022, the company decided to leave the Russian market due to the full-scale war unleashed by Russia against Ukraine.
Mining companies in Ukraine in January-May this year, the export of iron ore raw materials (iron ore) in physical terms reduced by 55% compared to the same period last year – up to 6 million 846.487 thousand tons.
According to the statistics, released by the State Customs Service (SCS), over the period the currency proceeds from the export of iron ore amounted to $752.472 million.
Exports of iron ore products were mainly to Slovakia (29.08% in monetary terms), Czech Republic (25.06%) and Poland (21.42%).
During the first five months of this year, Ukraine imported iron ore products for $42 thousand in total volume of 68 tons. During this period, imports were carried out from Norway (57.14%), Italy (40.48%) and Sweden (2.38%).
As reported, in 2022, Ukraine reduced the export of iron ore products in kind by 45.9% compared to 2021 – up to 23 million 984.623 tons, foreign exchange earnings decreased by 57.8% to $2 billion 912.974 million.
Exports of iron ore products was carried out mainly to Slovakia (19.23% in monetary terms), Czech Republic (17.32%) and Poland (16.49%).
Last year Ukraine imported iron ore to the amount of $65 thousand in total 101 tons, while in 2021 – $184 thousand in the amount of 1.202 tons.
Imports were carried out from Norway (36.92%), the Netherlands (27.69%) and the UK (16.92%).
Export of important goods from Ukraine in Jan-Mar 2023 in relation to 2022
Source: Open4Business.com.ua and experts.news
