News
27.05.2009
Export demand to support Ukraine grain prices
Ukraine is likely to avoid a seasonal decrease in feed grain prices in the first months of the new 2009/2010 season (July-June) due to high foreign demand, a top grain analyst said on Tuesday. "There will be no traditional decrease in prices at the beginning of new season. There is still high demand for feed wheat and maize," UkrAgroConsult agriculture consultancy said in a report.
Ukrainian domestic prices tend to fall at the beginning of the new season as the new crop arrives on the market. In 2008, Ukraine harvested a record 53.3 million tonnes of grain against 29.3 million in 2007. The Agriculture ministry says the 2009 crop could fall to up to 48 million tonnes, but the outlook could be revised down due to poor weather.
In the 2008/09 season, grain exports are expected to jump to a record 25-26 million tonnes from 4 million in 2007/08 when grain was subject to export restrictions. Traders say exports may total about 20 million tonnes of grain in 2009/10.
Reuters
