Business news from Ukraine

Business news from Ukraine

Ukraine threshed 2.1 mln tons of grain of harvest-2023

Agrarians of 22 regions have harvested early grain and leguminous crops on the area of 643.8 thousand hectares and threshed 2 million 157 thousand tons of grain at a yield of 33.5 c/ha, the press service of the Ministry of Agrarian Policy and Food reported.

According to the report, the leaders in terms of threshing are the agrarians of Odessa and Mykolayiv regions, who threshed 746 thousand tons and 213 thousand tons of grain respectively.

In total, Ukraine has harvested barley on 352.4 thousand hectares (24.6%), which is 16% of the planned, from which threshed 1.3 million tons at a yield of 37.2 c/ha.

Wheat was harvested from 211.8 thousand hectares (4.7%). At a yield of 36.8 c/ha it was harvested 778.7 thousand tons.

Peas were harvested from 45 thousand hectares (31.3%). At a yield of 20.8 c/ha it was threshed 93.7 thousand tons.

Also, agrarians of 12 regions have started harvesting winter rape: 329.5 thousand tons of seeds have been harvested at a yield of 20.8 c/ha on the area of 158 thousand hectares (11.5%).

As reported, winter wheat sowing this season amounted to 4166 thousand hectares (-834 thousand hectares to the previous season), winter barley – 536 thousand hectares (-255 thousand hectares), rape – 1374 thousand hectares (+110 thousand hectares).

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“Nibulon” has purchased 30 trucks from Scania Ukraine for grain transportation

Nibulon JV LLC (Mykolaiv), one of the largest operators in the Ukrainian grain market, and Scania Ukraine LLC have signed an agreement to purchase 30 Scania R450 trucks, the grain trader’s press service reports.
“The renewal of the fleet is an integral part of ensuring stable exports of Nibulon. In this case, we are talking about increasing the logistics potential for the transportation of grain by land,” the company wrote on Facebook on Monday.
The grain trader noted that due to the reorientation of export chains during the war and the almost complete loss of river navigation, Nibulon’s logistics business is forced to use combined routes, including grain transportation by truck.
“Nibulon has promised to minimize the load on the roads and minimize its environmental impact. Therefore, the grain is transported by trucks on a short arm to elevators with existing rail shipment capacities.
“Nibulon and Scania Ukraine have been cooperating since 2012. In 2022, Scania Ukraine supplied the grain trader with 15 Scania G400 Euro 5 tractors under the Scania SilverLine program, which includes the purchase of equipment on lease, a service contract, driver training, and a fleet monitoring system. The financing was provided by Scania Credit Ukraine, a member of the Scania Group.
The distribution company Scania Ukraine has been operating in the Ukrainian market since 1998 (before that, it had a representative office since 1993). It has nine service centers (including two of its own in Kyiv and Lviv region).
SCANIA is part of Volkswagen Truck & Bus GmbH and is one of the world’s leading manufacturers of trucks and buses over 16 tons. The company employs 46 thousand people and sells its products in more than 100 countries.
Nibulon JV LLC was established in 1991. It is one of the largest operators in the country’s grain market. It has elevator facilities with a total capacity of about 2 million tons, as well as its own transshipment terminal in Mykolaiv with a capacity of 5 million tons.

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World grain production in 2023 could reach record 2.8 bln tons – forecast

Global cereal production in 2023 could reach a record 2.819 billion tonnes, up 1.1 percent from 2022, according to a June FAO (United Nations Food and Agriculture Organization) survey.
Last month’s forecast was raised by 5.9 million tons. “The adjustment is almost entirely due to an improvement in the global wheat crop outlook. At the same time, despite the fact that the forecast of its harvest was raised by 0.9%, to 783.3 million tons, it is still 18.4 million tons below the record level of 2022,” – said in the review.
In particular, harvest estimates in the EU, Canada, Kazakhstan and Turkey were raised. “Expected production gains in these countries more than offset a significant reduction in the production forecast in Australia, where unusually dry weather conditions have led to lower crop views,” the review said.
The forage grain harvest forecast was “slightly lowered” to 1.512 billion tons. But that’s still 2.9% higher than 2022.
“The decrease is due to a downward revision in corn harvest forecasts in East Africa. That said, the improvement in the global barley production forecast is largely due to an adjustment in official estimates for Turkey, where the crop is expected to be higher than originally projected. However, it did not fully compensate for the drop in corn production,” the survey said.
The rice production forecast is “slightly adjusted upward” to 523.7 million tons due to improved crop views in Bangladesh and other countries along and south of the equator. Last year’s revised figures put the crop at 517.6 million tons.

Ukraine threshed first mln tons of grain harvest 2023

Agrarians from 12 regions began harvesting early grain and leguminous crops and threshed 1.24 million tons of grain with a yield of 33.2 centners / ha from 308.2 thousand hectares (3%), the press service of the Ministry of Agrarian Policy and Food.
According to the report, the pace of grain harvesting is leading agrarians Nikolaev region, which harvested grain from 118 thousand hectares (19%), by volume Odessa agrarians threshed 468.8 thousand tons. In total in Ukraine barley was harvested on 235 thousand hectares, which is 16% of UAH of which 805.8 thsd. tons were threshed at the yield of 34.3 cwt/ha.
Wheat was harvested from 51.4 thousand hectares (1%). With a yield of 33.5 c/ha it was threshed 172 thousand tons.
Peas were harvested from 21.7 ha (15%). With a yield of 21.1 centners/hectare it was threshed 45.8 thousand tons.
Agrarians from five regions have also begun to harvest winter rape: 86.2 thousand tons of seeds have been harvested. winter rape: 86,2 thousand tons of seeds at the yield of 18,1 centners/hectare on the area of 47,7 thousand hectares (3%).
As reported, winter wheat crops this season amounted to 4166 Hectares (-834 thsd. ha versus the previous one), winter barley – 536 thsd. ha (-255 thsd. ha), rape – 45 thsd. ha (-255 thsd. ha). thousand hectares), rape – 1374 thousand hectares (+110 thousand hectares).

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Polish Gdansk increases capacity to speed up transshipment of Ukrainian grain

The port of Gdansk (Poland) in anticipation of an increase in cargo flow with Ukrainian grain harvest-2023 will increase the number of tents and silos to increase transshipment capacity by 0.5 million tons per month, which will allow to transship 5.8 million tons of grain per year, said president of the port Lukasz Malinowski.
“Last year the port terminals transshipped a total of just over 1.9 million tons of grain,” the Polish edition of pap.pl quoted him as saying.
Malinowski stressed that this decision was made in connection with the forecasts of Polish analysts, who expect an even greater swell of grain to be shipped from Polish ports.
“Only from January to the end of May, the volume of grain transshipment in the port was about 1.1 million tons,” stated Malinowski.
According to his information, currently the capacity of the main grain terminals in the port of “Gdansk” is 300 thousand tons per month, and storage capacity – 126 thousand tons. The development of port capacities by almost 70% will allow to increase the transportation of grain in the near future. This will allow during the peak periods to get to the port 1500 trucks with grain.
The Port of Gdansk is gradually increasing the number of parking spaces. In total, there are already 780 parking spaces. By mid-July, their number to 970, said Malinowski.
President of the port also underlined that thanks to rakoraf (devices for taking samples of the grain intended for export – IF), it will be possible to check the quality of the grain in three parking lots within the Port of Gdańsk borders.
As reported, until September 15, 2023 by decision of the European Commission, a ban on imports of Ukrainian grain to five frontline countries: Poland, Bulgaria, Hungary, Romania and Slovakia.

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“Ukrzaliznytsia” has reduced cost of grain cargo transportation

“Ukrzaliznytsia” has significantly reduced the cost of transportation of grain cargo by rail (by reducing the wagon component of the tariff), and also fixed the average speed of cars for the quarter until September 1, 2023, said Valery Tkachev, deputy director of the department of commercial work UZ.
“From July 1, 2023, the cost of using Ukrzaliznytsia JSC grain railcars is 300 UAH/day without VAT,” he wrote on Facebook.
According to the updated tariffs UZ, the cost of transporting 1 ton of grain by rail is 9.4 $ / ton and 11.4-11.9 $ / ton for a distance of 300 km in the export direction through seaports and dry crossings, respectively, at a distance of 400 km – 11.7 $ / ton and 13.7-14.3 $ / ton; 500 km – 13.4 $ / ton and 15.4-16.3 $ / ton; 600 km – 15 $ / ton and 17.2-18.2 $ / ton.
In particular the cost of transportation takes into account the additional charges at the station of departure (2500 UAH/ton), the two days of use of the car during loading/unloading, freight charges, the return of empty wagons, and other indicators.
The UZ Board will also fix the average speed of movement of cars until September 1, 2023 (per quarter) for the predictability of the work of consignors with the rolling stock UZ.
Previously, average railcar speeds changed monthly and were announced on the 28th.
“This will allow shippers to better plan their work in the cars of Ukrzaliznytsia, as well as accurately calculate the cost of transportation,” – summarized Tkachev and urged shippers of grain cargo to actively use the rolling stock UZ for transportation of grain.

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