Fact of the week: in 2025/26 MY, Ukraine will export 505 thous. tons of sugar, which is 19.7% less than the previous marketing year

Sugar beet and sugar production in Ukraine is undergoing changes under the influence of external trade restrictions. Considering this year’s harvest, in 2025/26 MY, Ukraine will be able to produce about 1.3 mln tons of sugar, which is 26.3% less than the previous marketing year and 12.6% below the average for the last 5 years.

Key insights regarding this sector: 

• Reduction in areas, but higher yield: in 2025/26 MY, the area under sugar beet decreased to 199 thous. ha, which is 21.6% less than the previous MY and 12.4% below the 5-year average. The main reason is the introduction of quotas on sugar supplies to EU countries and still complicated logistics to third markets. However, the sugar beet yield increased to 49.3 t/ha, which is 2.0% above the previous season and 4.4% above the 5-year average. The total harvest is expected at 10.2 mln tons. 
• Decrease in export shipments and market reorientation: after the introduction of quotas on sugar supplies to EU countries, exports in 2024/25 MY dropped to 629 thous. tons (14.2% less than the previous MY). In 2025/26 MY, a further decline in exports to 505 thous. tons is expected. The main export destinations in 2024/25 MY were African countries (32%) and the Middle East (29%), while the EU share was only 17%. 
• Domestic consumption continues to decline: before the full-scale war, domestic sugar consumption was 1.1 mln tons. In 2025/26 MY, it is forecasted to decrease to 0.9 mln tons, mainly due to the decline in Ukraine’s population.

Conclusion: the inability to quickly redirect exports to other countries led to a reduction in the area for growing raw materials and a decrease in overall production. However, high yields and beginning stocks (620 thous. tons at the beginning of the season) make it possible to fully satisfy domestic demand, as well as continue exporting with an increased share of supplies to traditional markets.

Learn more in the Agricultural Outlook 2025: https://cutt.ly/XtQeCL7O