Ukrainian sugar exports anticipated to increase in 2019/20

The leading analytical organizations project that the next marketing year (MY) for the global sugar market will be in short supply, allowing Ukrainian producers to increase exports. This was informed by Ruslana Butylo, the Deputy Chairman of the Board of the National Association of Sugar Producers of Ukraine (Ukrsugar).

“This means that Ukrainian producers have a chance to increase export deliveries, and given the fact that India and Brazil are reducing sugar production, we can compete for the Asian and African markets,” the expert noted.

The technological aspect of production remains the main problem of this industry: efficient sugar beet cultivation and production of sugar of the highest category, long-term planning, which would make it possible to improve export potential and gain a foothold in the world exporter rating.

Learn more: Sugar production 2018/19: top Ukrainian companies

“Special attention should be paid to the issue of utilization of production by-products — molasses and beet pulp as this is a great opportunity to diversify production and increase profitability. Sugar market is cyclical, and domestic consumption is decreasing annually, so the bioenergy division at the sugar plant is already a requirement of the modern market,” Ruslana Butylo commented.

The expert stressed the need to improve the quality and quantity of raw materials: an increase in yields and sugar content, the introduction of modern technologies for the long-term storage of sugar beet, which will make it possible to extend the production process.

By the analysts' forecasts, areas under sugar beet in Ukraine in the current MY should reach 220-230 thou. hectares, which is 25 pct less than a year earlier.

The new infographic guide Agribusiness of Ukraine 2017/18 is available by the link.