Page 69 - UKRRptSept23

55% of the company's consolidated revenue. In hryvnias, Astarta increased its net profit by 150% to UAH 2.17B. The sugar segment demonstrated strong results: turnover increased by 39% to €86M. This is because of a 25% increase in the volume of sugar sales to 120,000 tons and an increase in the sales price to €693 per ton, which is 13% higher than the figure last year. Exporting sugar and sugar beet processing products provided 26% of the segment's revenue. Also, in the first half of 2023 the holding increased its EBITDA by 42.7%, or by €29.1M, to €97.25M compared to the first half of 2022.
Ukrainian farmers will once again change their crop structure ahead of sowing. Farmers will reduce the share of wheat and barley, instead, they will sow record-high areas with winter rapeseed, the Ministry of Agrarian Policy reported. 45% of farmers do not plan to reduce the area sown under winter crops significantly, 38% of entrepreneurs may increase the area, and 14% will not plant winter crops this year. "This ratio generally corresponds to agricultural practice in Ukraine, where every year up to 20% of agricultural producers do not participate in sowing winter crops," the ministry notes. In general, the acreage under winter crops may increase by 0.5 million hectares, or by 8%, compared to last season. Rapeseed remains the key factor in expanding cultivated area, these crops could increase by almost 40% and reach a record 1.9 million hectares. According to the ministry, the key challenges for the 2024 winter crop sowing campaign will remain the lack of finances, low liquidity in the agricultural sector, and uncertainty regarding market prospects.
Ukrainian Grain Association: harvest forecast up by 7.8mn tonnes. The grain association, which represents producers, processors and exporters of Ukrainian grain.
The US improves its forecast for the Ukrainian grain harvest. In its August forecast, the US Department of Agriculture improved the forecast for Ukraine's wheat harvest in the current marketing year from 17.5 to 21 million tons, and corn - from 25 to 27.5 million tons due to larger than expected sown areas, and the second highest harvest in history by yield. At the same time, it is noted that due to the suspension of the Black Sea Grain Initiative, the export forecast has remained unchanged - 10.5 and 19.5 million tons, respectively. As a result, the USDA raised its domestic consumption forecast for wheat from 7.1 to 8.1 million tons and the transitional balances at the end of the marketing year from 1.59 to 4.13 million tons. Whereas for corn, the entire forecast for crop growth is balanced by an increase in expected transitional residues. The American agency increased the forecast for the harvest of fodder grain in Ukraine from 31.47 to 33.97 million tons, estimating its export at 21.37 million tons and increasing the projection of transitional balances from 2.27 to 4.77 million tons.
Ukraine has already gathered 16.6 million tons of new grain and improves its forecasts. According to the Ministry of Agriculture, 12.5 million tons of wheat, 3.8 million tons of barley, and 3000,000 tons of peas were threshed. Harvesting of winter rape also continues - 3.3 million tons of seeds have been threshed. The Ukrainian Grain Association has increased the estimate of 2023's potential harvest by 7.8 million tons to 76.8 million tons of grain and oilseeds, despite this year's smaller planted area. Under these conditions, exports from Ukraine's new season potentially amount to almost 48 million tons. In the last season, which ended on June 30, exports reached 58 million tons. This year the ministry predicts a 6% lower grain harvest. However, despite delays in the grain corridor's operation and Russia’s subsequent
69 UKRAINE Country Report September 2023 www.intellinews.com