July 23, 2008

 

Ukraine to provide serious competition as grain exporter

   
  

Ukraine has a unique chance to enter the world grain market this year, according to Vladimir Klimenko, President of Ukrainian Grain Association.

 

A good harvest would put Ukraine in the same grouping as Russia and Kazakhstan who export wheat to North African and EU countries.

 

According to Kilmenko, Ukraine has more favourable export conditions than both. While Russia is developing its deep-sea ports to handle bulk vessels, Ukraine already has them. Logistics remain a problem in Kazakhstan but not Ukraine, he said.

 

As for corn, the country's two chief competitors, US and Argentina, would have to send their shipments 4,500 miles across the Atlantic ocean to reach the EU or North Africa, triple the distance required if shipments were made from Ukraine.  

 

As for barley, Ukraine competes with Australia for the Saudi Arabian market, the largest importer. Once again, Ukraine's relative proximity to the country would have given it an advantage, he said.

 

Kilmenko said Ukraine's grain exports would total 17 million tonnes this year.

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