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Grain export 2019/20: wheat export limit set in MoU nearly exhausted

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Since the start of 2019/20, grain export shipment from Ukraine has reached 53.51 mln t.

As of May 25, agricultural commodities shipment increased by 7.79 mln t (17%) from the prior year’s comparative period, 45.72 mln t, the information and analytical portal of the agro-industrial complex of Ukraine reports.

The Ministry for Development of Economy, Trade and Agriculture of Ukraine and grain traders signed a document which provides for a limit of wheat export from Ukraine in 2019/20, i.e. until June 30, 2020, at 20.2 mln t. The Government says it is ready to curb exports in case the limit is exceeded. On the reporting date, this volume was exhausted.

However, on May 13, PM of Ukraine Denys Shmyhal stated that the Government does not plan to limit wheat export from the country in 2019/20 as grain stocks are enough to cover the internal market’s demand.

Grain export structure in the reporting period is as follows:

  • wheat — 20 mln t (35% or 5.19 mln t more y-o-y);
  • barley — 4.8 mln t (37% or 1.3 mln t more y-o-y);
  • corn — 28 mln t (5% or 1.35 mln t more y-o-y);
  • rye — 8.2 thou. t (91% or 80.0 thou. t less y-o-y).

The Government postponed the decision on corn export limit in 2019/20. The Annex 2 to the Memorandum of Understanding between the Economy Ministry and grain market participants was elaborated and considered by the parties.

https://latifundist.com

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