Ukraine boosts farm produce exports by 8%, to almost US$4 bln in Jan-Feb

The Ukrainian Agribusiness Club Association (UCAB) says Ukraine in January-February 2020 boosted farm produce exports by 8% year-over-year (y-o-y), to US$3.7 billion, while agri-food imports grew by 16%, to US$1.1 billion.

"In total, the foreign trade balance of agricultural products amounted to US$2.6 billion, which indicates that Ukraine is a net exporter of such produce," the UCAB's press service said on March 27.

Over the period under review, the share of farm produce in the structure of total exports stood at 46%, while that of imports was a mere 12%.

In particular, shipments of Ukrainian vegetable oil abroad grew by a third, or by US$230 million.

"The increase in supplies was due to a rise in exports of sunflower oil by US$179 million (+ 26%), rapeseed oil by US$25 million (by 23 times), and soybean oil by US$17 million (+ 66%)," the report said.

Ukraine also increased supplies of maize and barley.

In addition, exports of finished products rose due to sunflower meal (by 16%/US$32 million) and cigarettes (by 38%/US$13 million).

At the same time, shipments of livestock products abroad shrank by 12%, or US$23 million, mainly due to a quarter reduction in dairy products exports.

However, Ukraine increased foreign purchases of crop products by 16%, or US$58 million, due to citrus fruit, potatoes, and bananas.

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Imports of finished products rose by 17%, or by $52 million, due to chocolate and animal feed, while those of livestock products grew by 16%, or US$27 million, because of the purchases of cheese, fish, and butter.

UCAB Director General Roman Slaston says the rhythmic operation of the agro-industrial complex under the coronavirus quarantine is vital for Ukraine since the agricultural sector remains the main source of foreign currency inflow to the national budget.

"Noteworthy, there is no need to limit foreign trade transactions, as this may affect both the country's economy by reducing foreign exchange earnings and food security," he summed up.

As UNIAN reported earlier, the Cabinet of Ministers decided to extend quarantine set in Ukraine over the spread of the novel COVID-19 coronavirus until April 24.

Ukraine's Deputy Minister of Economic Development, Trade and Agriculture, Trade Envoy Taras Kachka earlier said the country would not put limits on shipments of grain, sunflower oil, poultry, and other key export staples abroad during the coronavirus quarantine.

UNIAN memo. Ukraine in 2019 updated its historical record of agri-exports, having supplied to foreign markets agricultural products worth US$22.4 billion, which was almost 20% up from 2018.

In total, Ukraine's agri-food imports in 2019 stood at US$6.1 billion, which was 11% up year-on-year.