December 1, 2011

Ukraine cuts down sowing areas for rapeseed by 24%

Ukrainian rapeseed sowing area has been reduced by 24% compared to the previous marketing year and will now sow throughout 1.16 million hectares.

According to him, in 2011/12 marketing year the general production of rapeseed is forecasted at the level of 1.42 million tonnes (in registered weight), which practically corresponds to the volumes in last marketing year, 1.43 million tonnes.

According to forecasts of APK-Inform, export volumes of rapeseed in the current marketing year will total 1.34 million tonnes, down 5.4% compared to last marketing year, Rybchinsky added.

According to him, in July-September of 2011, the number of Ukrainian companies exporting rapeseed, decreased to 174 against 214 in the same period of 2010/11 marketing year.

Rybchinsky marked reducing of profitability of rapeseed production observed since 2008, extremely high risk of production, unstable yield and complete dependence on foreign markets among the factors reducing production rates of rapeseed in Ukraine. In particular, he said, almost 95% of the general productions of rapeseed are exported.

Rybchinsky also reported that winter rapeseed covers nearly 95% of general rapeseed production in Ukraine.

Those climatic changes, Ukraine is witnessing during recent 4-5 seasons, became the most severe for rapeseed sowings. The average losses in 2010 totalled nearly 45% of rapeseed sowings, in 2011, nearly 22-24%, he said.

The expert noted that the conditions of winter rapeseed in the current season in Ukraine cause deep concern among agrarians. The losses may reach the level of 50% or more due to weather and climatic conditions.