No monopoly is present in the market of soybean processing and export — Osipov

There is no monopoly in the market of processing and export of sunflower, soybean and rapeseed.

This was stated by the CEO of Kernel Yevgeny Osipov during the round-table discussion with the participation of Ukrainian producers and processors of oilseeds, representatives of specialized associations and All-Ukrainian Agrarian Council.

According to Osipov, it is difficult for Kernel to determine the position regarding "soybean-rapeseed issues", because the company acts both as a producer and a processor of oilseeds.

"We cultivate more than 600 thou. ha of land. The share of agricultural production in the formation of the company's gross profit is about 43%. And the share of sunflower processing is about 26%. Therefore, when the question about the support of agricultural production and certain risks arises, then we have a complicated position, because it is not easy to balance our production interest in this case. But we are both businessmen and responsible citizens," said Yevgeny Osipov.

The CEO of Kernel stated that large and small-scale producers, along with processors of soybean and rapeseed, need to sit down and negotiate calmly, and stressed problems with logistics and fertilizers as more relevant.

"The question of margin and profitability, which was raised, in fact, does not matter. Today, these indicators are high, tomorrow they are low. Other questions in the production chain are more of interest. Firstly, which way of delivery of raw materials will be the cheapest, i.e. with minimal and most effective logistics. Secondly, what assets should be included in this process — OEP, livestock, etc. I think that the rate at which VAT is refunded to the producer and processor of oilseeds, is the most balanced from the point of view of both the commodity producer and the processor. We are the company that does both businesses, we see this model as the most productive one," Yevgeny Osipov summed up.

Reference: the Ukrainian oilseeds processors opposed the adoption of the bill on the refund of export VAT.