Ukraine Able to Significantly Increase Grain Export Capacity
OREANDA-NEWS. May 19, 2008. Potentially Ukraine is able to produce about 100 million tons of cereals. Hence, in three-four years Ukraine will manage to significantly increase the grain export capacities - up to 40-45 tons, experts noted on the eve of opening the Annual meeting of the European Bank for Reconstruction and Development (EBRD) Board, reported the Official website www.kmu.gov.ua.
Grain harvest of about 40 million tons is forecasted in Ukraine, among them 13 million tons may be exported.
Considerable funds have been lately invested into Ukrainian grain production, however the lack of machinery and its improper state cause significant losses. Drying grain is still a bottleneck problem. Investments are also required for creating a reliable seed-growing system - this field is profitable for investors. About 5 % domestic production fertilizers are used, the rest are imported.
29,3 tones of cereals were gathered last year. Grain volume amounted to 35 million tones including carry-over. At present, 1.6 million tones have been exported from the available volume of 3,7-4 million tons. In the nearest future the Ukrainian Government is expected to lift restriction on grain export. Currently, Ukraine freely exports corn.