Business news from Ukraine

GRAIN CORPORATION TO EXPORT 1 MLN TONNES OF GRAIN TO CHINA

Representatives of the State Food and Grain Corporation of Ukraine, the China National Complete Engineering Corporation (CCEC) and the Ministry of Economy of Ukraine during a meeting on August 9 reached an agreement on the export of one million tonnes of grain to China by the end of this year, the state corporation wrote on Facebook.
“We plan to carry out purchases at our own elevators and use our own logistics and port facilities in order to make our partners the most profitable price offer,” the company quotes the acting chairman of the board of the State Food and Grain Corporation of Ukraine, Andriy Vlasenko.
The corporation also cites data from CCEC President Yang Jing, who noted that the Chinese side is interested in developing cooperation, strives to fulfill the conditions of the existing contract for the 2021/2022 marketing year (MG, July-June) and is waiting for proposals from the Ukrainian side.
In turn, the Ministry of Economy proposed to hold weekly negotiations on the supply of grain between the Grain Corporation and CCEC.
As reported, in June 2021, the Grain Corporation discussed with CCEC representatives a possible delivery in the 2021/2022 MY of 2 million tonnes of early grain and 3 million tonnes of corn. The corporation clarified that it has completed a complex of preparatory work at the port facilities in Odesa and Mykolaiv, and also, at the request of the Chinese side, reached agreements with partners on the possibility of transshipment of an additional one million tonnes of grain at Chornomorsk seaport (Odesa region).

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GRAIN CROPS TRAFFIC ON DNIPRO RIVER DOWN IN JAN-JULY

Grain crops traffic on the Dnipro River in January-July 2021 decreased by 23.8% compared to the same period in 2020, to 1.19 million tonnes, the total cargo traffic on the river increased by 38.7%, to 6.5 million tonnes, the river information service of the state-owned enterprise Delta-Pilot (Mykolaiv) said on its website last week.
According to the service, construction materials traffic over the specified period doubled, to 4.66 million tonnes, metal products traffic decreased 15.7%, to 733,000 tonnes.
In general, in January-July 2021, 7,803 trips were made on the Dnipro River, which is 58.4% more than in the same period in 2020.
Delta-Pilot is a branch of the state-owned enterprise Ukrainian Sea Ports Authority (USPA). The river information service of the enterprise provides data on navigation, the state of navigable inland waterways of Ukraine, as well as factors affecting navigation conditions in the area of operation of the service on the Dnipro and Danube rivers.

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UKRAINE HARVESTS 24 MLN TONNES OF GRAIN

Since the beginning of the harvesting campaign as of July 30, Ukrainian farmers have harvested 24.3 million tonnes (10.2 million tones more in a week from July 26 to July 30) of grain and leguminous crops from an area of 5.7 million hectares (37% from the forecast).
According to the information and analytical portal of the agro-industrial complex of Ukraine, in the context of crops, the following were threshed: wheat – 16.9 million tonnes from an area of 3.8 million hectares (55% of the total area under this crop), barley – 6.83 million tonnes from 1.67 million hectares (68%), rapeseed – 1.48 million tonnes from 570 hectares (56%), peas – 410,000 tonnes from 180,000 hectares (77%).
According to the portal, the yield of harvested wheat was 44,500 tonnes per ha, barley – 41,100 tonnes per ha, peas – 22,500 tonnes per ha.
The portal said that the leaders in harvesting since the beginning of the harvesting campaign are Kherson (the harvest was harvested from 90% of the area), Mykolaiv (74%) regions. At the same time, Donetsk, Luhansk and Kherson regions have completely harvested peas, rapeseed is completely harvested in Kherson and Poltava regions.
The leaders in grain yield are agricultural producers of Volyn region, who harvested grain from 21% of the area with a yield of 61,100 tonnes per ha.

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NIBULON INTENDS TO REPLACE TECHNOLOGICAL SOLUTIONS AT GRAIN TERMINAL

JV Nibulon LLC (Mykoliav) intends to replace technological flows at its operating transshipment terminal for grains and oilseeds in Mykoliav and modernize the aspiration (ventilation) system, which will minimize the impact on the environment, increase the emergency safety of production, improve working conditions, fire safety and industrial sanitation.
Information about this is stipulated in the unified register of environmental impact assessment of the Ministry of Environmental Protection and Natural Resources of Ukraine.
The project involves the installation of additional 24 aspiration systems at the terminal, replacement of belt conveyors with chain conveyors, installation of fire-fighting dry pipes and explosion arresters for transport elevators – devices to prevent an explosion in an enclosed space.
At the moment, Nibulon is considering two options for installing the aspiration system: using dust collectors of the sleeve type or cyclone type.
The company said that its transshipment terminal is located on a plot with a total area of 15.86 hectares, which it owns.

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UKRAINE HARVESTS 5.5 MLN TONNES OF NEW GRAIN

As of July 16, Ukrainian agrarians have harvested 5.5 million tonnes (more by 4.1 million tonnes per week from July 9 to July 16) of grain and leguminous crops from an area of 1.3 million hectares (9% to the forecast).
According to the information and analytical portal of the agrarian and industrial complex of Ukraine, in the context of crops, the following were threshed: winter barley – 2.9 million tonnes from an area of 685,000 hectares (28% of the total area under this crop), winter wheat – 2.5 million tonnes from 611,000 hectares (9%), and peas – 74,000 tonnes from 32,400 hectares (14%).
According to the portal, the leaders in harvesting since the beginning of the harvesting campaign are Kherson (the crop was harvested from 53% of the area), Mykolaiv (24%), Odesa (14%), Dnipropetrovsk (13%) and Donetsk (11%) regions.

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GRAIN EXPORT FROM UKRAINE MAY REACH 57.5 MLN TONNES

The Ukrainian Grain Association (UGA) estimates the export volumes of grains (wheat, corn and barley) by Ukraine in the 2021/2022 marketing year (MY, July-June) at 57.5 million tonnes, which is 28.8% higher than the results of 2020/2021 MY, the press service of the Ukrainian Grain Association (UGA) told Interfax-Ukraine on Tuesday.
“According to our preliminary estimates, more optimistic than the ministry’s, the export of grains (wheat, corn and barley) this season may reach 57.5 million tonnes with a harvest of 74.5 million tonnes,” the press service of the UGA organization clarified, commenting on the forecast of the Ministry of Agrarian Policy, according to which in 2021/2022MY the export of these crops can reach 56 million tonnes with a harvest of 75.8 million tonnes.
The Association also provided for comparison the data of the International Grains Council (IGC), in the latest report of which the export of grain from Ukraine in the current MY is projected at 55.4 million tonnes with a harvest of 76.2 million tonnes.
The press service of the organization of grain traders clarified that the total export of grain crops together with oilseeds in 2021/2022 MY may exceed 62 million tonnes with a gross harvest of more than 100 million tonnes.
UGA also commented on the signing of a Memorandum of Understanding for 2021/2022 MY between the participants of the grain market and the Ministry of Agrarian Policy and Food on July 5. According to its press service, an annex to the memorandum, which specifies the maximum export volumes of agricultural products, will be signed after the volumes of the harvested crop become known.
“The relevant ministry and the participants of the grain market traditionally sign a Memorandum with the beginning of a new grain season. The maximum export volumes are agreed upon later, when the indicators of the harvested crop of a particular crop are already known,” the press service of UGA noted.

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