A decrease in the sowing of winter crops in Ukraine may affect exports, but not the domestic market

UkrAgroConsult

Power outages will not significantly affect the cost of food products and will not cause food shortages. This was emphasized by the First Deputy Minister of Agrarian Policy and Food of Ukraine, Taras Vysotskyi, during the broadcast of the All-Ukrainian Marathon “Yedyny Novyny”. He emphasized that the power outage does not pose any physical threats to the basic food basket.

According to him, Ukraine grows much more grain, oil crops and their processing products than is needed for domestic consumption. A significant part of this production is always sent for export, but if necessary, it will be directed not to export, but to the domestic market.

As for power outages, Taras Vysotsky noted: “The share of electricity, depending on the type of product, affects the price from 3% to 5%.” It all depends on what the frequency of outages will be in the future and, accordingly, on the need to use alternative sources, which are more expensive. If the situation will be current, with a planned planned shutdown, then a significant increase in prices is not expected. There will be minor adjustments, by a few percent, but no more.”

In addition, he added that many alternative sources, i.e. generators, are already on their way to Ukraine. They were ordered at the expense of enterprises, as well as financed by international partners. Delivery is expected in the near future.

Regarding the decrease in the area of winter crops, Taras Vysotsky assured that there is no reason to worry about this: “The reduction of sowing will reduce exports, but even with the available sown areas, Ukraine will have twice as much agricultural produce as it needs for consumption. This may affect the volume of exports, but not the domestic market.”

Tags: Ukraine, export, grain, sown area