Sugar exports from Ukraine in September-January of the 2017/2018 marketing year (MY) amounted to 250,060 tonnes, the National Association of Sugar Producers Ukrtsukor has reported.
“Over the same period last year some 409,700 tonnes of sugar were exported. As we see, the current figure is almost twice lower. This is due to the unfavorable situation in the world market and a certain surplus due to sugar overproduction in India and Brazil,” reads a press release of the association.
The association noted in order to minimize the risks that occur when three is a surplus, it is necessary to diversify production, both in the key of by-products and through increasing the added value of sugar. For example, it is possible to switch to production of biofuel or granulated beet pulp, sell molasses. Another option is production of sugar in small packages, which is in demand in a number of countries.
“Such a “bioethanol scheme” is not new and works in many countries. Brazil, the world’s leader of the sugar market, is a bright example. When the situation with prices in the sugar market becomes critical – sugar refineries process most of the cane into bioethanol, thus reducing the supply of sugar. This action, in turn, influences prices, forming a greater profitability of sugar production,” head of the association analytical department Ruslana Butylo said.
At the same time, in January 2018 manufacturers exported 76,400 tonnes of sugar, which is 64% more than in the previous month. The main deliveries were made to Turkey (25%), Uzbekistan (23%), and Libya (15%).