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Ukraine reduced sugar exports by 27% in 2018/2019 MY

08.10.2019 11:30 "Agro Perspectiva" (Kyiv) In 2018/2019 MY (September-August), Ukrainian producers exported 409,8 thousand tonnes of sugar worth $144,3 million — almost 27% less than the previous year (564,0 thousand tonnes).

In addition, there were some changes in the export destinations:

«In 2018/2019 MY, ended in August, we may note some changes in export destinations. Although Uzbekistan remains the main importer, deliveries to this country have significantly decreased — from 210 to 96 thousand tonnes. Azerbaijan (74 thousand tonnes) occupied the second place, in the previous season the country took the third place (43 thousand tonnes), and Tajikistan became the third (36,000 tonnes in 2018/2019 MY versus 16,000 tonnes in 2017/2018 MY, the 9-th place)», — commented Ruslana Yanenko, the Deputy chairman of «Ukrsugar» Association.

She noted that the share of exports to Uzbekistan in the total export volume decreased from 37% in 2017/2018 MY to 24% in 2018/2019 MY. She suggested, the reasons for the reduced deliveries were the changes in tax policy of Uzbekistan, first of all, and the large number of logistical problems that occurred in the season.

«It should be noted the increase in exports to Israel and Libya, which occupied the seventh and the eighth positions in the rating of importers and Ukrainian sugar producers’ efforts to diversify the export directions as much as possible», — summarized Ruslana Yanenko.

Next season, the expert forecasts an expected rise in London Stock Exchange prices, which will certainly affect the domestic market. Another driving factor of the rise in world prices is the global deficit and the decline in sugar production of Ukraine.

«Next season, Russia can become a serious competitor, which expects sugar overproduction and, accordingly, the struggle for Central Asia export markets will be more harder», — explained Ruslana Yanenko.

According to the analytical department of «Ukrsugar» Association, in 2019/2020 MY Ukraine will export approximately 300 thousand tonnes of sugar.

Recall that as of October 3, 27 sugar refineries produced 269,3 thousand tonnes of sugar and processed 1,96 million tonnes of sugar beet.

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