Business news from Ukraine

Business news from Ukraine

EU has recognized Ukrainian standards for beet, sunflower, rapeseed, and soybean seeds

Today, June 12, the Council of the European Union recognized the equivalence of Ukrainian standards for the production of beet, sunflower, rapeseed, and soybean seeds with European requirements, according to the press service of the Council of the EU.

According to this decision, seeds of these crops produced in Ukraine will be able to enter the EU market. This means that EU-based companies will be able to diversify their seed production areas. The new rules will also help to maintain a continuous supply of high-quality seeds to the EU.

“The decision grants equivalence to beet, sunflower, turnip, and soybean seeds produced and certified in Ukraine, fodder plant seeds produced in the Republic of Moldova and officially certified by its authorities, as well as to the corresponding field inspections carried out. The equivalence confirms that the national procedures of the two countries offer the same guarantees regarding seed characteristics and rules for seed examination, identification, and control as those applicable to seeds harvested in the EU,” the statement said.

Moldova has received similar permission for fodder plant seeds.

The decision will enter into force 20 days after its publication in the Official Journal of the EU.

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Sunflower and soybeans are leaders in this year’s sowing

Prime Minister Denys Shmyhal says that 5.6 million hectares of spring cereals and legumes and 7.7 million hectares of industrial crops have been sown in Ukraine.

“Farmers are completing the fourth spring sowing during a full-scale war. 5.6 million hectares of spring grains and legumes have been sown. We have reached last year’s level. The highest sowing rates are in the Poltava, Chernihiv, Vinnytsia, Cherkasy, and Sumy regions,” Shmyhal wrote on Telegram.

According to him, a distinctive feature of this season is an increase in the area under spring wheat, which currently stands at almost 220,000 hectares, due to demand from processing companies and exporters.

“In addition, 7.7 million hectares have been sown with industrial crops, mainly sunflowers (4.9 million hectares) and soybeans (2.3 million hectares),” the prime minister said.
Shmyhal stressed that the total area sown is sufficient to meet domestic food needs and develop export potential.

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Ukraine has increased pace of sowing spring grains and started sowing sunflower

As of April 4, Ukraine sowed 926 thousand hectares of spring grains and legumes, up 8.7% year-on-year, and started sowing sunflower, the press service of the Ministry of Agrarian Policy and Food reported on Friday.

According to the report, 116.5 thousand hectares were planted with wheat (79.8 thousand hectares a week earlier), 551.8 thousand hectares with barley (315.5 thousand hectares), 164.3 thousand hectares with peas (102.9 thousand hectares), and 82.3 thousand hectares with oats (50.7 thousand hectares).

According to the Ministry of Agrarian Policy, Odesa region is the leader in terms of sowing rates, having sown spring crops on 92.3.1 thou hectares, Ternopil region – 87.4 thou hectares, Poltava region – 83.2 thou hectares, Mykolaiv region – 73.6 thou hectares, Vinnytsia region – 72.6 thou hectares.

In addition, 33 thou hectares have already been planted with sunflower, 64.8 thou hectares with sugar beet, and 2.6 thou hectares with soybeans.

The Ministry reminded that in general, in 2025, it is planned to plant more than 5.7 mln ha of spring grains and legumes, which corresponds to the level of 2024. The main feature of the new season will be an increase in the area under spring wheat by 28%, to 222.8 thou hectares. Such changes in the crop structure are in line with the stable demand from processing companies and exporters.

As reported, as of April 4, 2024, the total area under spring grains and pulses was 852.1 thsd ha. Peas were planted on 119.0 thou hectares, barley – on 543.2 thou hectares, wheat – on 118.3 thou hectares, oats – on 62.4 thou hectares.

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“Astarta” has sown more than 60% of sugar beet and started sowing sunflower

Astarta, Ukraine’s largest sugar producer, has already sown more than 60% of the planned sugar beet area and started sowing sunflower, the company’s press service reports on Facebook.

“The minimum moisture reserves in the soil due to the lack of precipitation in the autumn-winter period and rapid spring warming forced us to quickly adapt agricultural technologies to make the most of the favorable sowing windows,” the agricultural holding explained.

According to the report, Astarta has allocated the planned sown areas for strategic crops as follows: sugar beet – 34 thousand hectares, soybeans – 55 thousand hectares (including 3 thousand hectares for seeds), winter wheat – 46 thousand hectares (including 3 thousand hectares for seeds), sunflower – 28 thousand hectares, winter rapeseed – 13 thousand hectares, corn – 13 thousand hectares. The area under organic farming is 2 thou hectares. At the same time, the actual total structure of Astarta’s acreage will be clarified based on the results of the sowing campaign.

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

In 2023, the agricultural holding reduced its net profit by 5.0% to EUR 61.9 million, and its EBITDA decreased by 6.1% to EUR 145.77 million, while revenue increased by 21.3% to EUR 618.93 million.

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“TAS Agro” has started spring sowing campaign and is focusing on sunflower

TAS Agro’s southern cluster (Kirovohrad, Vinnytsia and Mykolaiv regions) has started the spring sowing campaign, with a focus on sunflower, which will be planted on 2764 hectares, the company’s press service reported on Facebook.

“The production units are fully provided with seeds, fertilizers, plant protection products, and fuel and lubricants. Modern technological complexes are used in sowing, which increase the accuracy of sowing and increase productivity,” said Andriy Zvarych, director of TAS Agro South LLC.

Meanwhile, preparations for the sowing season are underway in the central, northern and western clusters of TAS Agro. In particular, TAS Agro’s northern cluster in Chernihiv region is currently preparing machinery for the upcoming spring field work. TAS Agro West is completing the pre-sowing soil preparation stage, which involves closing off moisture on an area of 13.5 thousand hectares.

In addition, TAS Agro Center continues to provide comprehensive crop care and conducts regular fertilization of winter wheat using UAN-32 mixed with ammonium thiosulfate.

TAS Agro was established in 2014. Its land bank includes 88 thousand hectares in Chernihiv, Sumy, Kyiv, Vinnytsia, Kirovohrad and Mykolaiv regions. The holding specializes in crop production, with elevators with a capacity of about 250 thousand tons. The livestock business is represented by a cattle herd of 5.5 thousand heads, of which 2.5 thousand heads are dairy cattle.

According to the Opendatabot resource, the company’s revenue in 2023 amounted to UAH 2.588 billion, net profit – UAH 155.842 million, debt – UAH 1.2 billion, assets were estimated at UAH 1.8653 billion, and the number of employees – 129. The authorized capital is UAH 8 thousand.

The agricultural holding is part of the TAS group, founded in 1998. Its business interests include the financial sector (banking and insurance segments) and pharmacy, as well as industry, real estate, and venture capital projects.

The founder of TAS and the beneficiary of the TAS Agro agricultural holding is Sergiy Tigipko.

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“Astarta” receives Canadian organic certificate for chickpeas and sunflower

Astarta, Ukraine’s largest sugar producer, has successfully passed certification under the Canada Organic Regime standard and received a Canadian organic certificate for its products – organic chickpeas and high oleic organic sunflower, the company’s press service reported on Facebook.

“This expands our export opportunities and strengthens Ukraine’s position as a supplier of quality organic products on the world stage,” Vyacheslav Chuk, the agricultural holding’s director of commercial and strategic marketing, said in a statement.

As noted, the certification confirms that the production process complies with international organic standards, which include the use of renewable resources, safe technologies for people and the environment, animal welfare, prohibition of GMOs and prevention of environmental pollution.

“Demand for organic products is growing globally, and Canada is one of the largest importers of organic products. The certificate gives us access to new markets that recognize this standard,” explained Chuk.

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

In 2023, the agricultural holding reduced its net profit by 5.0% to EUR 61.9 million, and its EBITDA decreased by 6.1% to EUR 145.77 million, while revenue increased by 21.3% to EUR 618.93 million.

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