The FINANCIAL — In terms of the constantly changing situation on the world grain market and growth of the food requirements, the segment of grain by-products becomes increasingly important. Such market segment allows diversifying the risks and increase profitability of foodstuffs production, declared the Chairman of the association “Millers of Ukraine”, and Head of business projects at APK-Inform Agency, Rodion Rybchinsky on April 13, at the Caspian and Black Sea Agrarian Congress.
According to him, the world flour market is strategically significant for Ukraine. For five seasons in a row, Ukrainian flour millers continue increasing the commodity export volumes, developing new markets, and confirming their high status of a reliable partner.
In particular, the expert noted that the reliable source of grain raw materials is the major advantage of Ukraine in the milling segment, which will continue increasing each year, as well as the well-developed network of productive milling enterprises.
According to USDA data, in 2015 Ukraine came to the TOP-10 of global producers of wheat, providing 4% of the general world production. At the same time, the domestic demand is quite stable. In terms of the average annual production level at 23.6 mln tonnes of wheat, the average domestic consumption is estimated at 12.2 mln tonnes. Thus, the country has quite sufficient stocks of raw materials, said R.Rybchinsky.
Also, he added that to date, there are nearly 1`000 milling enterprises in Ukraine, which existing capacities can provide the annual production of flour at the level of 3.2 mln tonnes.
High qualitative indices of grain by-products, as well as expansion of its product range, allow to Ukrainian millers to increase the export volumes. Thus, in 2014/15 MY Ukraine supplied the record volumes of flour on foreign markets during the recent decade – 257.5 thsd tonnes. In the current season, the exports will reach 300 thsd tonnes, and in the coming season it will possibly increase to 330 thsd tonnes. Potentially, Ukrainian millers can export nearly 0.5 mln tonnes of flour per year using the available capacities only. And in terms of keeping of the demand and new opportunities for further modernization of the production capacities, the index can significantly increase, summed up the expert.
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