Ukraine to reap US$4 billion from grain exports in 2008

Higher crop production in 2008 would enable Ukraine to export 15 million tonnes of grain this year, earning the country US$4 billion in the process, according to Andrew Goncharuk, Deputy of Head of President Ukraine Secretariat.

Ukraine's grain harvest is likely to total 40 million tonnes, he said, adding that present stocks total about 5 million tonnes. 

The government would need the money generated by grain exports to finance the agriculture industry, which requires nearly UAH 1.5 billion (US$325 million ) for development, he said.

Ukraine's grain export totaled just 3.6 million tonnes in the 2007/08 period compared to 9.8 million tonnes in 2006/07 as the government imposed restrictions after soaring international grain prices prompted worries of inflation. The country's corn export for 2007/08, at 1.6 million tonnes, was 50 percent lower than that in 2006/07.