Ukraine. Myronivsky Hliboproduct reduced vegoil sales in 2017

08.02.2018

Sunoil sales by Myronivsky Hliboproduct Holding in 2017 were down 9% year-on-year at 311.393 KMT, while its soybean oil sales were down 20% at 27.282 KMT, the MHP press service reports.

In Q4 2017, sunoil sales fell by 23% to 67.579 KMT against 88.201 KMT a year ago. The company attributes the drop to lower sunoil production that, in turn, resulted from declined output of compound feeds. Other reasons included a larger oil share in sunseed cake and a higher conversion ratio (the ratio of the amount of consumed feed to the amount of obtained product, i.e. kg of grain per kg of poultry).

In addition, soybean oil exports in Q4 2017 totaled 4.755 KMT, or 52% less than a year ago, because shipment of some 6 KMT of this product was postponed to January 2018. Also, MHP reportedly sells soybean meal to third-party entities, reports UkrAgroConsult.

“The company considers vegoil exports as a “natural method of hedging” for accumulating additional currency revenues and protecting from instability of the national currency,” reads the report.

 

UkrAgroConsult

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