Page 56 - UKRRptFeb23

2022/June 2023. According to the updated estimates from the USDA, in the 2022/23 marketing year, Ukraine's wheat production and export indicators will increase to 21 million tons and 13 million tons, respectively. As for corn, production volumes will remain unchanged, and exports will increase by 3 million tons to 20.5 million tons. It is noted that the global wheat market outlook for the current marketing year predicts increased supply, exports, consumption, and stocks. In contrast, the corn market is expected to decline in global production, exports, and global ending stocks.
Unharvested corn is still in Ukrainian fields, and its quality is deteriorating daily. In Ukraine, a significant amount of the corn crop remains unharvested, the quality of which will suffer, said Minister of Agriculture Mykola Solskyi. He clarified that at the beginning of winter, one-third of the corn harvest in Ukraine remained unharvested, currently, this amount has been cut in half. And although Ukrainian farmers know how to preserve their crop quality as much as possible, it still decreases every day. After all, the quality is affected by changes in temperature and humidity in the field and the specific corn hybrid. As of January 12, 23.5mn tonnes of corn were harvested in Ukraine from 3.6mn hectares, 85% of the total sown area.
Ukraine estimates its grain harvest fell by around 40% year on year due to the Russian invasion, a representative for the country's industry told AFP Friday. "We expect a grain harvest of 65-66mn tonnes" by the end of the year, the head of the Ukrainian Grain Association Sergiy Ivashchenko said, following a record harvest of 106mn tonnes last year. "The main reason is the war," which immediately led to fuel shortages and hindered sowing, Ivashchenko said. Ukraine is a major exporter but Russia's invasion in late February stopped shipments and blocked 20mn tonnes of grain in Ukraine's ports.
Ukraine secures food supplies for 2023, receives over $31bn financial support. Despite “the most difficult sowing season in the history of Ukraine”, farmers managed to harvest 60mn tonnes of crops ensuring food stocks for the next year, Prime Minister Denys Shmyhal said at a cabinet meeting on December30
In 2023, the structure of cultivated areas in Ukraine will change. This is related to the profitability of certain crops, explained Deputy Minister of Agrarian Policy Taras Vysotskyi. According to him, the sown areas for oilseeds will increase, mainly rapeseed, soy, and sunflower. This reflects that the selling price of one ton of oil crops is higher, and logistics per ton is lower. That is, farmers will be able to earn more from a hectare. At the same time, wheat production will decrease, but still, it will be twice as much as domestic demand. As was the case with buckwheat this year, there will also be a slight increase in the number of crops aimed at the domestic market. Due to the war, farmers are experiencing problems with liquidity and availability of finances, which complicates and slows down fieldwork preparation. Wherever the security situation allows, farmers will sow the maximum area of crops, enough for domestic consumption and export.
After the war, Ukraine's agricultural sector will recover to pre-war levels in two to three years. Ukraine’s agricultural sector is multi-sectoral, and it will take more than one year to restore production to pre-war levels, said Deputy Minister of Agricultural Policy Taras Vysotskyi. The recovery period will depend on the specifics of each agricultural sector. The fastest recovery cycle is possible for crop production, but poultry farming will require demining territories
56 UKRAINE Country Report February 2023 www.intellinews.com