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Supply Chain

Ukraine's Key Food Exports Have Fallen By Almost Half Since Russian War

Exports of key Ukrainian agricultural commodities have fallen by almost half since the start of the Russian invasion earlier this year compared to the same period in 2021, data from the agriculture ministry showed late on Monday.

Russia began its attack on Ukraine on February 24, calling it a "special military operation", and as a result of the fighting, Ukrainian seaports were blocked, leaving a vast amount of crops either unharvested or destroyed.

Agricultural Exports

Agricultural exports between February 24 and August 15 this year fell to 10 million tonnes from around 19.5 million in the same period last year, the ministry data showed.

The 2022 grain harvest in Ukraine is forecast to fall to around 50 million tonnes from a record 86 million tonnes in 2021.

From February 24 to August 15 this year, Ukraine has exported 3.8 million tonnes of corn, 1.4 million tonnes of sunflower seeds, almost 1 million tonnes of sunflower oil, and around 640,000 tonnes of wheat, the ministry data showed.

The country, whose food production, according to the government, is capable of feeding up to 400 million people, also exported barley, soy beans, and oil, sunflower, and soybean meals.

Unblocked Ports

At the end of July, three Ukrainian Black Sea ports were unblocked under a deal between Moscow and Kyiv, brokered by the United Nations and Turkey.

But even with the ports opened, Ukraine's agricultural exports are significantly lower than before the conflict, when Ukraine exported up to 6 million tonnes of grain a month.

Last week the agriculture ministry said Ukraine's grain exports in the 2022/23 season up to 19 August are down 51.6% from a year earlier at 2.99 million tonnes.

Grain exports for the 2021/22 season, which ended on June 30, rose 8.5% to 48.5 million tonnes thanks to a large volume of shipments before Russia invaded.

News by Reuters, edited by ESM. For more Supply Chain news, click here. Click subscribe to sign up to ESM: European Supermarket Magazine.

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