In the current season Ukraine provided the record total supply of grains and leguminous crops – APK-Inform




In the current season, Ukraine provided the record total supply of grains and leguminous crops - at the level of 61.4 mln tonnes, declared Rodion Rybchinskiy, Head of the department of business-projects of APK-Inform Agency, at the conference "AgroResurcy – 2012" on February 9.

According to him, the domestic consumption stayed at the previous year level (26.4 mln tonnes), and the volume of exports will not be significant - nearly 21 mln tonnes.

The foreign trade of grains is characterized with some features that may affect the trading rates at the end of the season. First of all, R.Rybchinskiy marked the existing problems with grain rail cars, which may result in reduction of the average monthly exports in the second half of the marketing year from the level of 2.8 mln tonnes to 2 mln tonnes.

The difficult weather conditions became the other factor affecting the market in the short term prospect. Abnormal frosts and strong wind added more traffic troubles to the problems of grain transportation via railway lines, and motor roads, and virtually paralyzed the work of the seaports. Besides, adverse weather conditions lead to the death of winter crops sowings and reduction of the future harvest.

According to the analyst these factors will lead to the decrease of the export volumes and formation of huge carry-over stocks of grains, which can reach nearly 14 mln tonnes. Such factor will make difficulties with placement of the new crop volumes, and serve as rather significant limitation in formation of market prices for crops in 2012/13 MY.