Business news from Ukraine

5 more vessels with grain preparing to leave Ukrainian ports

The Joint Coordination Centre (JCC) has authorized the movement of five more vessels carrying more than 85,000 tonnes of grain and other food from Ukrainian ports, the UN has reported.
“JCC has authorized the movement of five ships carrying a total of 85,110 tonnes of grain and food under the Black Sea Grain Initiative,” the report says.
The UN said that the Ascanios ship with 58,500 tonnes of corn is destined for Germany, the Mohamad Y ships carrying 11,000 tonnes of wheat and the Bellis carrying 6,000 tonnes of soybeans will travel to Israel. Two more vessels – Oris Sofi and Zelek Star – is transporting 5,900 tonnes of sunflower oil and 3,700 tonnes of peas to Turkey, respectively.
In addition, on Wednesday, the JCC completed the inspection of six vessels following to Ukrainian ports – Canopus, Helga, Lady Zehma, Melina, Michalis and Sealock, as well as three vessels from Ukraine – Kubrosli, Maranta, Great Arsena.
They all were confirmed to sail, the UN said.
The joint inspection teams are scheduled to conduct the following inspections on Thursday: five inbound vessels moving to Ukrainian ports – Golden Yara, Irmgard, Simas, Lady Aillar, Queen Sara, and one outbound vessel – Kafkametler.
“As of August 24, the total tonnage of grain and other foodstuffs exported from three Ukrainian ports is 769,986 tonnes,” the report says.
On July 22, in Istanbul, with the participation of the UN, Ukraine, Turkey and Russia, two documents were signed on the creation of a corridor for the export of grain from three Ukrainian sea trade ports – Chornomorsk, Odesa and Pivdenny.

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UGA has reduced forecast for harvest of grain and oilseeds in Ukraine in 2022 by 7.1%

The Ukrainian Grain Association (UGA) has reduced the forecast for the harvest of grain and oilseeds in Ukraine in 2022 by 7.1% compared to the July forecast – to 64.5 million tons from 69.4 million tons, according to the UGA website .
This change in forecasts was caused by a 5.8% reduction in sown areas under these crops to 18.0 million hectares from 19.1 million hectares due to the consequences of Russian aggression in Ukraine.
“Despite the stubbornness and courage of Ukrainian farmers, there are objective obstacles to harvesting in mined, occupied areas and destroyed crops,” the UGA statement says.
According to her, the total export of grain and oilseeds from Ukraine in the 2022/2023 marketing year (MY, July-June) can reach 32.8 million tons (in the July forecast – 31.5 million tons), provided that sea grain corridors are maintained and further expanding the capacity of border crossings on the western borders of Ukraine. At the same time, the transitional balances of agricultural products in the country at the beginning of MY 2022/2023 amounted to 26 million tons of grain and oilseeds, and by the end of the MY they are expected to increase to 30.5 million tons.
“In general, the export of grains and oilseeds in 2022/2023 MY can be expected at the indicated level if the Ukrainian Black Sea ports for export remain open. Export of grain through Ukrainian ports and ensuring the safety of navigation in the Black Sea is the only way to quickly and efficiently supply Ukrainian grain to countries who are in dire need of it,” the organization said in a statement.
According to UGA forecasts, in 2022, a wheat harvest is expected at the level of 19 million tons (-8.6% compared to the July forecast of the organization); 24 million tons of corn (-12.1%); 5.4 million tons of barley (-18%); 9 million tons of sunflower (forecast kept); 2.2 million tons of soybeans (forecast kept); 3 million tons of rapeseed (2 times increase).
In the August forecast, the Association retained its export forecasts compared to July – for example, wheat exports in 2022/2023 MY are expected to be at the level of 10 million tons, corn – 10 million tons, barley – 2 million tons, sunflower – 6 million tons, soybeans – 1 .8 million tons. However, rapeseed exports will double to 2.8 million tons.
As reported with reference to the data of the State Statistics Service, in 2021 Ukraine harvested a record harvest of grain and leguminous crops in the amount of 85.7 million tons, which is 32% more than in 2020. In total, 32.07 million tons of wheat (+28.9%), 41.87 million tons of corn (+38.2%) and 9.42 million tons of barley (+23.3%) were harvested.
Ukraine in 2021 also harvested 16.38 million tons of sunflower (+25% compared to 2020), 10.8 million tons of sugar beet (+18.1%), 3.5 million tons of soybeans (+24.4%), 2.92 million tons of rapeseed and 42 thousand tons of oilseed flax (an increase of 3.7 times).
The Ukrainian Grain Association (UGA) is an association of producers, processors and large grain exporters who annually export about 90% of Ukrainian grain products.

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Ukrainian ports are ready to load 10 ships as part of “grain initiative”

In the ports of Chornomorsk, Odessa and Pivdenny, 10 vessels are ready to be loaded as part of the “grain initiative”, more than 40 applications are expected to call at Ukrainian ports, Minister of Infrastructure of Ukraine Oleksandr Kubrakov said on his Facebook page in Friday.

According to the Minister of Infrastructure, work is underway to ensure that the volumes and rates of transshipment of agricultural products increase to 3-5 million tons per month.

Kubrakov noted that during the operation of the “grain initiative” 25 ships were sent from the three ports of the Odessa region, with a total of 630 thousand tons of agricultural products on board.

“We pay special attention to food exports for African countries. Another bulk carrier I Maria left yesterday, carrying 33,000 tons of agricultural products for the north of the continent,” he said.

As reported, in Istanbul on July 22, with the participation of the UN, Russia, Turkey and Ukraine, two documents were signed on the creation of a corridor for the export of grain and other agricultural products from three Ukrainian ports: Chornomorsk, Odessa and Pivdenny.

UN Secretary General António Guterres, who signed this document on July 22, visits the port of Odessa on Friday, accompanied by Kubrakov.

It is expected that on the same day, also in Odessa, the negotiations of the UN Secretary General with the Presidents of Ukraine and Turkey Volodymyr Zelensky and Recep Tayyip Erdogan on the issue of “grain corridors” for the export of Ukrainian agricultural products will continue.

Ukraine harvests 23.4 mln tonnes of grain crops this season

By August 19, Ukrainian farmers harvested 23.4 million tonnes of grain and leguminous crops (2.6 million tonnes more during the week of August 12 through August 19) from a total area of 6.1 million hectares (0.6 million hectares more), the Ministry of Agricultural Policy and Food reported on its website on Friday.
The crop was harvested from 55% of the planned areas, while a week earlier this figure was 49%.
“The harvest of 2022 continues. According to the latest data, 91% of wheat, 96% of barley, 97% of peas, and 98% of winter rapeseed have been harvested. The leaders in harvesting are Mykolaiv region – 86%, Odesa region – 85%, Volyn and Dnipropetrovsk regions – 70% each, Kirovohrad – 60%,” the ministry said in a statement.
In general, 17.4 million tonnes of wheat (2.0 million tonnes more in a week) were harvested from 4.3 million hectares (0.5 million hectares more), 5.3 million tonnes of barley (0.4 million tonnes more) from 1.5 million hectares (0.1 million hectares more) and 243,700 tonnes of peas (4,700 tonnes more) from 108,000 hectares (2,000 hectares more). Also this week, harvesting of millet has begun, of which 7,700 tonnes have been harvested from 3,200 thousand hectares.
In addition, by August 19, Ukraine harvested 3.1 million tonnes of winter rapeseed (0.2 million tonnes more in a week) from 1.08 million hectares (40,000 hectares more).
According to the ministry, the average yield of wheat was 40.4 tonnes per ha, barley – 3.45 tonnes per ha, rapeseed – 2.84 tonnes per ha, millet – 2.39 tonnes per ha, peas – 2.26 tonnes per ha. At the same time, the highest average yield of grain and leguminous crops was recorded in Khmelnytsky region – 6.2 tonnes per ha.

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Ukraine has already harvested 23.4 million tons of grain and leguminous crops this season – Ministry of Agrarian Policy

By August 19, Ukrainian farmers harvested 23.4 million tons of grain and leguminous crops (+2.6 million tons for the week of August 12-19) from a total area of ​​6.1 million hectares (+0.6 million hectares), reported on the website of the Ministry of Agricultural Policy and Food on Friday.
It is specified that the crop was harvested from 55% of the planned areas, while a week earlier this figure was 49%.
“The harvest of 2022 continues. According to the latest data, 91% of wheat, 96% of barley, 97% of peas, and 98% of winter rapeseed have been harvested. The leaders in harvesting are Mykolaiv region – 86%, Odessa region – 85%, Volyn and Dnepropetrovsk regions – 70% each, Kirovogradskaya – 60%,” the ministry said in a statement.
In general, 17.4 million tons of wheat (+2.0 million tons per week) were harvested from 4.3 million hectares (+0.5 million hectares), 5.3 million tons of barley (+0.4 million tons) from 1 .5 million hectares (+0.1 million hectares) and 243.7 thousand tons of peas (+4.7 thousand tons) from 108 thousand hectares (+2 thousand hectares). Also this week, harvesting of millet has begun, of which 7.7 thousand tons have been harvested from 3.2 thousand hectares.
In addition, by August 19, Ukraine harvested 3.1 million tons of winter rapeseed (+0.2 million tons per week) from 1.08 million hectares (+40 thousand hectares).
According to the ministry, the average yield of wheat was 40.4 q/ha, barley – 34.5 q/ha, rapeseed – 28.4 q/ha, millet – 23.9 q/ha, peas – 22.6 q/ha. At the same time, the highest average yield of grain and leguminous crops was recorded in the Khmelnytsky region – 62 c/ha.
In turn, the agricultural producers of the Dnepropetrovsk, Kirovohrad and Odessa regions harvested over 2 million tons of grain, and Vinnitsa, Volyn, Kyiv, Mykolaiv, Poltava, Ternopil, Khmelnytsky and Cherkasy regions – more than 1 million tons of crops each.
As reported, in 2021 Ukraine harvested a record harvest of grains, legumes and oilseeds in the amount of 106 million tons: grains and legumes – UAH 84 million, oilseeds – 22.6 million tons.
In general, 32.4 million tons of wheat, 40 million tons of corn, 10 million tons of barley, 581.5 thousand tons of peas, 191 thousand tons of millet, 110 thousand tons of buckwheat were harvested last year. Sunflower harvest amounted to 16.3 million tons, soybeans – 3.4 million tons, rapeseed – 2.9 million tons.

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Ukraine exported almost 3 million tons of grain crops

Since the beginning of the 2022/2023 marketing year (MR, July-June), Ukraine has exported 2.98 million tons of grain crops, including 1.94 million tons of corn (65% of the total supply), 783 thousand tons of wheat ( 26%) and 257 thousand tons of barley (8.8%).
As reported on the website of the Ministry of Agrarian Policy and Food on Friday, the pace of grain exports since the beginning of the current financial year was 2.06 times lower than the indicators of the same period last year (from July 1 to August 19, 2021, 6.12 million tons were exported) .
At the same time, according to the agency, for the period of August 11-19, 770 thousand tons of grain crops were delivered to foreign markets (96.2 thousand tons per day), while in the previous period of August 5-11 – 340 thousand tons of grain crops ( 48.6 thousand tons per day), for July 27-August 5 – 640 thousand tons of grain crops (71.1 thousand tons per day), and for July 15-27 – 627 thousand tons of grain crops (52.25 thousand tons per day). Thus, the average daily rate of export for the reporting period doubled compared to the previous period and reached the maximum value since the beginning of the MR.
For comparison, in eight days (August 11-19), the country supplied the volume of grain crops to foreign markets, similar to the volume of 28 days in April (April 1-28, 2022), when their export amounted to 763,000 tons. This is due to the effect of the Istanbul grain agreements, which opened the export of agricultural crops from three Ukrainian seaports – only on August 1-15, they sent 21 dry cargo ships with 563 thousand tons of agricultural products to foreign markets.
In general, from the beginning of the 2022/2023 FY and until August 19, 2022, Ukraine exported 783 thousand tons of wheat (3.7 times less compared to the same date of the 2021/2022 FY), 257 thousand tons of barley (eight times less) and 7.4 thousand tons of flour (2.55 times less). However, the rate of corn export exceeded last year’s volumes – 1.94 million tons of corn were exported, which is 67.8% more than the indicators of the 2021/2022 financial year.
As reported, in 2021/2022, Ukraine exported 48.51 million tons of grain and leguminous crops, which is 8.4% higher than the indicators of the previous MR, despite the full-scale invasion of the Russian Federation and difficulties in exporting agricultural products due to the blockade of Ukrainian seaports. 18.74 million tons of wheat (12.6% more than the indicators of 2020/2021 MR), 23.54 million tons of corn (+1.9%), 5.75 million tons of barley (+35.9%) were delivered to foreign markets ), 70.9 thousand tons of flour (-44.1%).
In 2020/2021, the country exported 44.72 million tons of cereals and legumes: 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 flour tons of rye.
In 2019/2020, the Republic of Ukraine exported 56.72 million tons of grain and leguminous crops.

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