Stable work, investment attraction and export orientation – current stages of the fat-and-oil industry of Ukraine
During the recent years fat-and-oil industry of Ukraine has increased the sunflower production volumes influencing the processing capacities rise, and also the veg oils production and exports increase. Note Stal' company has an influence on the oilseed market working under the Optimus brand. Thus the Director of Stal' Company Elena Burkatovskaya has agreed to share the plans for future.
- Elena, please tell about Stal' Company and its impact on the fat-and-oil complex of Ukraine.
Group of the companies working under the Optimus brand is the top Ukrainian agricultural company, one of the largest sun seeds processors in Ukraine, producing sun oil, meal and pod.
On the Ukrainian market it is one of TOP-5 Ukrainian processors of sun seeds at the stated capacities.
It sells the ready products to the end consumer in Ukraine and in the world.
Cooperation with the agricultural commodities producers allows the company to support the top position on the sun seeds and by-products market.
- What are the main moments in the developing of the fat-and-oil industry of Ukraine it is necessary to specify?
Fat-and-oil industry faces the stable increase of seeds production and processing capacities. Thus in the recent four years the seeds production volumes have essentially increased. There is the annual rise of the planted areas and general production of other products. Soy seeds production has been out of agrarians' attention but in the recent years have faced the essential development.
The Ukrainian oilseed processing domestic capacities constant rise provides the competition for raw-material and causes the temporary deficit of sun seed so the veg-oil producing enterprises have to reorient for processing of other kinds of oilseeds – soybean and rapeseed.
- Does your company feel the competition while forming the raw-material database taking into attention the stable increase of the processing capacities?
The processing capacities increase in the country causes the competition hardening in the regions where they open new capacities and in the adjacent oblasts. But owing the stable system of purchasing and logistics there are no any difficulties for our company while forming the database. We take the active position on the market offering the producers various loyal conditions for the raw-material purchase.
- Please tell about the main sales markets of your products (sun oil, meal and packed oil). The major part of the products if to be exported so where are your importers from?
I have told above about the commodities we produce. The veg oil realization on the domestic market is being made at the singed long-term contracts for raw-material provision of the three largest fat plants – Zaporizhya OFP, Lviv and Kharkiv OFP.
The sunmeal is being realized on the domestic market of Ukraine. But most of the end commodities is for export.
The meal is imported by Poland, Turkey, France and other Mediterranean coast countries.
Oil is being supplied in bulk and in flexy-tanks on the markets of China, India, EU, Africa, South America and other countries.
- Sunflower high crop harvested in Ukraine in 2013 to cause the crude sun oil and meal production increase. Does your company plan to expand the sales geography?
As it was told above the sun oil supplies' geography is rather wide but we are trying to expand it. We plan to make the constant supplies of meal to China and other Asian countries.
- How will the prices situation on the sun seeds and oil market develop in 2013/14 MY?
Due to the production capacities increase in Ukraine there will be the raw-material deficit supporting the sun seeds prices.
The sun oil market of Ukraine is export-oriented due to the low level of the domestic consumption (600 thsd tonnes annually) so it will totally depend on the world conjuncture. The oil prices will not face the active rise due to the high crop of the rapeseed and soybean.
- In order to finish our conversation please tell your wishes to the market participants
I would like to wish them stable work, stable partners and the plans realization.
Interviewed by Anna Platonova
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