Despite a 20% reduction in crop production areas due to the occupation of a number of regions, favorable weather conditions will allow farmers to harvest and export wheat in the 2023/24 marketing year (MY) no less than last season, Minister of Agrarian Policy and Food Mykola Solsky said on the air of the United News marathon.
“The carry-over stocks of crops in 2023 are about five times less than in the 2022 season, when there were 27 million tons of agricultural products in the country as of mid-summer. On average, agriculture has been bringing in about USD2 billion a month to the state budget since the grain corridor started working properly,” he said.
Assessing the prospects for the 2023 harvest, the Minister noted that this season, 20% less production area has been allocated for crops than in pre-war 2021, due to the areas in Donbas, Zaporizhzhia and the south of the country that are currently under occupation. He also clarified that during the fall 2022 sowing campaign, winter crops were sown 25% less than in 2021.
“Thanks to the weather, we got a significantly higher yield on these areas. It was not a harsh winter, there were no sharp temperature drops, and there was enough humidity, which led to the increase in yield. It was difficult for farmers to save on seeds, herbicides, and fertilizers. But one factor compensated for the other,” explained Solsky.
Speaking about this season’s spring crop harvest, the Minister emphasized that a combination of natural and climatic factors, including a wet summer and average temperatures, affected the quality of grain, which will be worse than last season.
“We have less milling wheat and more feed wheat. But this is a standard situation for Ukraine, when the season depends primarily on weather conditions,” said the head of the agriculture ministry.
According to him, the tonnage of wheat for export to Ukraine in 2023/24 MY will be not less than last season.
Assessing the readiness of the agricultural business for the autumn-winter period, Solsky reminded that since the beginning of the war, Ukraine has been receiving many donor programs, some of which were implemented through the Ministry of Agrarian Policy. Therefore, the supply of generators, in particular, is many times higher than at the beginning of winter last year.
According to the Minister, gas will be the main challenge for business in the autumn and winter period. A positive factor was its low cost in 2022/23 MY, which was several times lower than before the war. However, in the last few weeks, the price has risen, which will affect the operation of elevators, Solsky explained. However, this factor, in his opinion, will also depend on the weather and the skill of entrepreneurs.
“When we talk about grains, the demand for gas (for the agricultural sector) will depend on the conditions under which corn will be harvested. It will be a wet autumn or not,” the minister said, adding that many farmers are now actively advancing and buying gas.
He stated that there are no gas subsidies for business, as the priority is to provide gas to the population. However, the situation will become clearer in late October and early November, and the agricultural market is preparing for it.
