Ukrainian soybean market: transformation inevitable

07.02.2018

Since 2000, soybeans in Ukraine have turned from an outsider into a key oil crop. It continued taking over planting areas from more traditional Ukrainian crops up until the current season 2017/18. So, soybean planted acreage expanded from 65 Th ha in the 2000/01 season to a record 2.2 MMT in the 2015/16 season and stayed at 1.9 Ml ha over the last two seasons. Consequently, the crops increased all the time, pushing up the Ukrainian soybean market’s potential.

According to preliminary official statistics, the 2017/18 soybean crop sank to 3.89 MMT (down 0.4 MMT from last year) as the yield dropped by 15% to 1.97 MT/ha against 2.32 MT/ha a year ago. Noteworthy is that even if the aggregate results of the 2017 harvest is upwardly adjusted the final soybean crop will total at most 4 MMT.

It is not that soybeans gained interest of Ukrainian growers at once, reports UkrAgroConsult. There is still some time before the 2018 planting starts. However, all market participants are now rather cautious than prepared for transformation.

Full version of the article is available to subscribers for weekly market report “Black Sea Vegoils” and “Online market review” by UkrAgroConsult.

 

UkrAgroConsult

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