Business news from Ukraine

“Astarta” exported its products to 44 countries around world

Astarta Agroholding, Ukraine’s largest sugar producer, supplied more than 1 million tons of products to global markets in 2023 and received EUR325 million in export revenue, up 17% compared to 2022, the agroholding’s press service reported on Facebook.

“The year 2023 was characterized by a number of next logistical hurdles: the termination of the grain agreement; significant limitation of export opportunities across land borders with the EU; regular Russian air attacks on Ukraine’s energy, railway and port infrastructure. On the other hand, these challenges mobilized our team to look for new opportunities. Diversifying logistics flows, we used combined types of transportation – the lion’s share of our products was exported through the sea corridor from the ports of Greater Odessa, guarded by the Ukrainian Armed Forces. We also delivered shiploads overland to Polish ports and through the Danube ports,” the press service quoted Astarta Commercial Director Vyacheslav Chuk as saying.

According to the information of the agricultural holding, the main consumers of corn from Astarta are China, Spain, Portugal, Netherlands, wheat – Spain, Indonesia, Portugal, Sri Lanka. Astarta’s sugar, soybean oil and meal were supplied mainly to European markets. Astarta’s organic products were exported to Germany, France, Switzerland and the Czech Republic.

In general, the agricultural holding exported agricultural products to 44 countries.

Astarta said that it intends to continue working on diversification and expansion of sales markets, optimizing export logistics and increasing export volumes.

“Astarta is a vertically integrated agro-industrial holding operating in eight regions of Ukraine. It includes six sugar factories, agricultural farms with a land bank of 220 thousand hectares and dairy farms with 22 thousand cattle, an oil extraction plant in Globino (Poltava region), seven elevators and a biogas complex.

The agroholding earned EUR1.24 mln of net profit in the third quarter of 2023, which is 27.7 times less than in the same period of 2022. Astarta’s revenue decreased by 14.4% to EUR104.75m, gross profit decreased by 2.7 times to EUR26.96m, operating profit decreased by 7.6 times to EUR6.79m and EBITDA decreased by 42.7% to EUR97.25m.

Thanks to a stronger performance in the first half of this year compared to the first half of last year, for the first nine months of 2023 as a whole, net profit decreased by 9.8% to EUR55.97m on revenue growth of 14.8% to EUR392.00m. The company’s gross profit increased by 3.0% to EUR151.91m, while operating profit decreased by 15.9% to EUR79.91m and EBITDA decreased by 10.8% to EUR116.63m.


Nordic chain of home stores JYSK in April exported furniture from Ukraine for EUR2.11 mln

Scandinavian chain of home stores JYSK in April exported furniture from Ukraine for EUR2.11 mln which is 46.7% more than in April 2022, informed chief director of JYSK in Ukraine Evgeniy Ivanytsya to Interfax-Ukraine news agency.
“We are glad that in April JYSK in general has increased the volume of purchases of goods in Ukraine not only in comparison with 2022, when exported products for EUR 1 million 438 thousand, but also pre-war 2021 with EUR 1 million 704 thousand,” – said Ivanitsa.
As an example, he cited a series of furniture Billund, named after a small town in Jutland, which is produced by “Accord” from Khmelnitsky.
As it was reported, in 2023 chain JYSK opened two new stores, announced the opening of the renovated store in the shopping center “Riviera” in Odessa” and four new stores – in June in Dnepr, Kamensky in Dnepropetrovsk region and Kolomiya in Ivano-Frankivsk region, in July in Kiev.
JYSK is part of the family Lars Larsen Group. JYSK revenue in fiscal year 2021/22 was EUR 4.87 billion.
Today in Ukraine works 84 stores JYSK and online store JYSK staff in Ukraine consists of more than 800 employees.

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Ukraine exported 6.9 million tons of agricultural products in February 2023

Ukraine exported 6.9 million tons of agricultural products in February 2023, up 14% from the previous month, the association Ukrainian Agribusiness Club (UCAB) said on its Facebook page on Monday.
“This growth was tangible against the background of the fall in the indicator last month, and so – this is the average figure for the last six months. 49% of exports in February 2023 was realized through the work of the “grain corridor,” and the rest through alternative export routes. However, we must necessarily take into account that not all products had time to physically cross the border”, – clarifies the message of the Association.
UCAB notes that in February 2023 it exported 5.2 million tons of grain crops, which is 23% more than in January. By crops, 3.33 million tons of corn (64% of the total), 1.61 million tons of wheat (31%) and 21 thousand tons of barley (4%) were exported to foreign markets.
Ukraine also exported 557 thousand tons of oilseeds during this period – 30% less than in January. Abroad, 328.6 thousand tons of soybeans (59%), 167.1 thousand tons of sunflower seeds (30%) and 61.3 tons of rapeseed (11%).
UCAB also noted that exports of vegetable oils in February increased by 4% against the previous month – up to 435.7 thousand tons, 93% of which was sunflower oil (405.2 thousand tons) and 7% – soybean oil (26.1 thousand tons). In turn, exports of sunflower and soybean cake and meal decreased by 4% to 414.1 thousand tons, including 85% of sunflower waste (351.9 thousand tons) and 15% of soybean waste (62.1 thousand tons).
“February-2023 was the highest monthly export of grain crops since the beginning of the war – 5.2 million tons. Part of this growth was due to a decrease in oilseed crop exports. With the decline in oilseed exports due to the end of export stocks of rapeseed and the reorientation of sunflower seeds to the domestic market, it became possible to export more crops,” UCAB stressed in a report.
As previously reported UCAB, Ukraine exported 7 million tons of agricultural products in December 2022, in November – 7.2 million tons, in October and September – 6.9 million tons, in August – 4.6 million tons, in July – 3 million tons, in June – 2.7 million tons. According to the Ministry of Agrarian Policy of Ukraine, in May agricultural exports amounted to 1.74 million tons, in April – 0.96 million tons, in March – 0.33 million tons.
Prior to the full-scale military invasion by the Russian Federation, Ukraine used to export an average of 5-6 million tons of agricultural products per month, mainly through its maritime infrastructure in the Black Sea.


Ukraine exported 10 million tons of food within “grain initiative”

Another seven ships with 290 thousand tons of agricultural products for countries, Asia and Europe left the Ukrainian ports of Chornomorsk, Odessa and Pivdenny on Thursday, the Ministry of Infrastructure of Ukraine reports.
“In particular, among them are Esentepe with 29,000 tons of sunflower seeds for Oman and Key Knight with 67,000 tons of corn for China,” the agency said on its Facebook page.
In total, since the launch of the first vessel with Ukrainian food, 10 million tons of agricultural products have been exported, and the number of ships that left Ukrainian ports for the countries of Asia, Europe and Africa with food has reached 430.
As reported, in Istanbul on July 22, with the participation of the UN, Ukraine, Turkey and Russia, two documents were signed on the creation, first, for a period of 120 days, of a corridor for the export of grain from three Ukrainian ports: Chernomorskaya, Odessa and Yuzhny. Ukraine set as its goal to export 3 million tons of agricultural products per month as part of the initiative.
After Russia announced on October 29 that it was withdrawing from the “grain initiative” because of an alleged Ukrainian attack on ships in Sevastopol, exports were interrupted for several days, but on October 2 the barriers were finally lifted.

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Over 9 million tons of agricultural products were exported within framework of Istanbul Grain Agreement

Ukrainian ports on Thursday left nine ships with food, having received permission from the Joint Coordination Center (JCC).
“As of October 27, the total tonnage of grain and other agricultural products exported from three Ukrainian ports is 9,016,389 tons.
A total of 794 ships were allowed to move at the moment – 395 for arrival at Ukrainian ports and 399 for departure from them,” the SCC said in a statement. It is noted that nine dry cargo ships with more than 117,000 tons left the ports of Ukraine on Thursday grain and other agricultural products. Four dry cargo vehicles – Princess Manissa (21 thousand tons of corn), A Line (10,903 tons of wheat), Sevil (5 thousand tons of soybeans) and Nesa (2.3 thousand tons of peas) – sailed to Turkey.
The ship Inoi (31,000 tons of various grain crops) is heading to Spain, the ship Adil Ibrahimli (6,630 tons of sunflower oil) is heading to Italy. In addition, the ship Stella GS will deliver 30,698 tons of corn to Tunisia, the ship Oris Jul – 5,750 tons of sunflower oil to Israel. Dry cargo Ahmet Agaoglu transports 4060 tons of wheat to Greece.
“The grain that has arrived at the destination can be processed and then be shipped to other countries,” the SCC explained. In Istanbul on July 22, with the participation of the UN, Russia, Turkey and Ukraine, a document was signed on the creation of a corridor for the export of grain from three Ukrainian ports: “Black Sea”, “Odesa” and “Pivdenny”.

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Ukraine has exported more than 12 million tons of grain since beginning of marketing year 2022/2023

From the beginning of the 2022/2023 marketing year (MY, July-June) and until October 26, Ukraine exported 12.19 million tons of grain crops, of which 6.48 million tons of corn (53.1% of total supplies), 4.62 million tons of wheat (37.9%) and 1.04 million tons of barley (8.5%).
As reported on the website of the Ministry of Agrarian Policy and Food on Wednesday, the rate of grain exports since the beginning of the current MY is 33% lower than the same period of the last MY (from July 1 to October 26, 2021, 18.19 million tons were delivered abroad).
According to the agency, from the beginning of 2022/2023 MY to October 26, 2022, Ukraine exported 4.62 million tons of wheat (2.53 times less compared to the same period a year earlier), 1.04 million tons of barley (4. 04 times less), 6.2 thousand tons of rye (8.8 times less) and 34.3 thousand tons of flour (19.7% less). At the same time, the pace of corn exports exceeded last year’s volumes – 6.48 million tons were exported, which is 3.24 times higher than in 2021/2022 MY on the same date.
It is specified that in general, since the beginning of October, 3.49 million tons of grain crops have been exported (+0.66 million tons for the period October 21-26), including 1.58 million tons of wheat (+0.26 million tons), 1 .63 million tons of corn (+0.31 million tons), 267 thousand tons of barley (+91 thousand tons), 9.7 thousand tons of flour (+2.2 thousand tons) and 1.9 thousand tons rye (no change).
As follows from the data of the ministry, for the five days of October 21-26, an average of 132 thousand tons of grain per day was supplied to foreign markets, while for the previous period of October 1-21 – 141.5 thousand tons / day, for 26- September 30 – a record 267.5 thousand tons / day since the beginning of the war, 126 thousand tons / day for September 21-26, and 132.5 thousand tons / day for September 9-21. Thus, the average daily export rates for the reporting period October 21-26 decreased by 6.7% compared to the previous period October 1-21.
As reported, in the 2021/2022 marketing year, Ukraine exported 48.51 million tons of grains and legumes, which is 8.4% higher than the previous marketing year, despite the full-scale invasion of the Russian Federation and difficulties with the export of agricultural products due to the blockade of Ukrainian seaports. 18.74 million tons of wheat were delivered to foreign markets (12.6% more than in 2020/2021MY), 23.54 million tons of corn (+1.9%), 5.75 million tons of barley (+35.9%) , 70.9 thousand tons of flour (-44.1%).
In 2020/2021 MY, the country exported 44.72 million tons of grain and leguminous crops: 16.64 million tons of wheat, 23.08 million tons of corn, 4.23 million tons of barley, 126.9 thousand tons of flour and 18.4 thousand . tons of rye.
In 2019/2020 MY, Ukraine exported 56.72 million tons of grain and leguminous crops.