Agrarian associations are discussing with the Ministry of Agrarian Policy the terms of the Memorandum on grain export

The head of Boroshnomela State Council of Ukraine, R. Rybchynskyi, told the Agro Ukraine Summit that specialized associations and the Ministry of Agricultural Policy plan to return to the practice of signing the Memorandum on grain export, which has not been used in recent years, and are currently discussing the terms of the document.

We will remind that recently Acting Minister of Agricultural Policy T. Vysotskyi reported at the "Bread Industry 2024" conference that the participants of the agricultural market of Ukraine will have to return to the practice of signing the Memorandum on grain export in order to ensure the stability of the domestic market.

"Currently, we have sufficient transitional stocks, but we expect a decrease in wheat production in the new season. The volumes of grain will be sufficient to satisfy domestic consumption, but processors must obtain predictability for a year in order to be sure of the constant availability of quality raw materials," Vysotskyi said at the time.

Usually, the memorandum with producers and processors was signed in August - September, when the volume and quality of the wheat harvest became clear.

B. Shestopalov, co-owner and managing partner of the HD-group holding, emphasized that not only business associations should deal with export issues, but also the state, since it is very important to understand in advance "how domestic processors will be provided with raw materials in the new season, whether they will all get abroad, what will be the prices of grain and its processing products?"

We will remind that the Ministry of Agricultural Policy predicts the wheat harvest in Ukraine in 2024/25 MR at the level of 19.2 million tons (22.2 million tons in 2023/24 MR), while the USDA in May estimated it at 21 million tons.

Experts of the Ukrainian Grain Association estimated the initial stocks of wheat in 2024/25 MR at 2.4 million tons, and reduced the forecast of wheat production by 0.9 million tons to 19.1 million tons, and exports to 13 million tons (17 million tons in 2023/24 MR), although the USDA estimates exports at 14 million tons.