April 30, 2013

 

Ukraine grain exports likely to hit 24 million tonnes

 

 

In the current agricultural year (July 2012-June 2013), Ukraine's grain exports may reach 24 million tonnes.

 

The Agrarian Policy and Food Ministry said in a statement that Ukraine had exported 20.8 million tonnes of grain as of April 29.

 

At a meeting with grain traders last week, ministry officials stressed the need to take as much grain as possible off the domestic market ahead of the new harvest.

 

The meeting participants also agreed to create a task force to draw up and introduce amendments to current law concerning export declarations and the development of commodities trading.

 

The Agrarian Policy and Food Ministry had initially estimated the nation's grain export potential in the current farm year at 23.4 million tonnes and then revised it upward to 25.6 million tonnes.

 

Last week the ministry reached agreement to allow grain traders to make unlimited grain exports through the end of the current farm year, which the ministry forecasts will add another 0.3 million-0.5 million tonnes to wheat exports.

 

At the beginning of the farm year the ministry reached agreement with grain market participants on the maximum grain export volumes in the 12 months. That limit for wheat has been revised a number of times since; most recently it was 6.6 million tonnes.

 

The assumption was that the government would restrict exports once the limits were reached.

 

Ukraine exported almost 22 million tonnes of grain in the 2011-12 agricultural year.