Business news from Ukraine

Business news from Ukraine

GRAPE PROCESSING IN UKRAINE IN 2020 DECREASES BY 38.8%

Grape processing in Ukraine in 2020 decreased by 38.8% compared to 2019, to 75,980 tonnes, according to the State Statistics Service.

According to its data, of the total number of grapes processed into winemaking materials, the enterprises directly grew 27.4%, or 20,800 tonnes, and the rest of the raw materials were purchased from households.

In Odesa region in 2020, some 56,400 tonnes of grapes were processed and in Mykolaiv region 15,400 tonnes, which is less than in 2019 by 32.4% and 26.7% respectively.

The main varieties of processed grapes remain Cabernet Sauvignon with 13% (less by 23.5% compared to 2019), Muscat with 10.4% (less by 5.4%), Chardonnay with 9.9% (less by 33.6%) and Aligote with 9.5% (less by 48.7%).

The service said that the production of winemaking materials in 2020 decreased by 41.2% compared to 2019, to 5.68 million decaliters. At the same time, the production of table wine decreased by 42.5%, to 3.58 million decaliters, champagne and sparkling wines by 28.2%, to 1.36 million decaliters, and the production of cognac fell by about 90.5%, to 230,000 decaliters.

The decline in grape processing was reported to be mainly caused by adverse weather conditions. Grape growers in Odesa region complained about the dry winter and spring of 2020 with insufficient rainfall.

According to the State Customs Service, exports of Ukrainian wine and grape must in 2020 increased in quantity terms by 88.7%, to 16,620 tonnes, and in monetary terms by 9.6% to $13.08 million.

At the same time, the export volumes were significantly lower than imports, which last year increased by 15.6% in quantity terms, to 64,430 tonnes, and in monetary terms by 22.1%, to $179.23 million.

Exports of vermouth and other grape wine in 2020 amounted to 460 tonnes for $1.09 million (less by 23.7% and 34.8% respectively), while their imports to 3,790 tonnes for $8.09 million (an increase in quantity terms by 1.4% and a decrease in monetary terms by 12.6%).

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