World Grain - October 2016 - 69

FEATURE: UKRAINE AIMING TO DOUBLE GRAIN OUTPUT

An aerial view of Nibulon Ltd.'s grain export complex at the Port of Nikolaev in Ukraine. Photo courtesy of Nibulon.

tion, which should be coupled with the
rise of average grain yield as well.
Agricultural Minister Pavlenko said
average yield in Ukraine is 2.2 times
lower compared to European Union
countries. He said the grain industry's
goal in the coming years is to increase
yield with the modernization of its
FRPELQH KDUYHVWHU ÀHHW 7RGD\ LW DFcounts to 50,000 machines, 72% of
which are 16 years or older.
UCAB analysts said from 2010-15
in Ukraine, yields rose in corn to 6.05
tonnes per hectare from 4.5 tonnes, in
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from 1.5 tonnes, and in rapeseed to 2.4
tonnes per hectare from 1.5 tonnes.
Similar growth was observed in the
E.U. from 2000-05, so it could be said
that Ukraine is lagging by nearly a
decade behind European countries in
terms of yield. Average yield for wheat
is 3.1 tonnes per hectare, while for
soybeans it is 1.8 tonnes per hectare.
Ukrlandfarming
CEO
Oleg
Bahmatyuk said yield improvement
www.World-Grain.com / World Grain / October 2016

may help Ukraine boost grain production to 100 million to 120 million
tonnes by 2020. He said Ukraine farmers use nearly half the mineral fertilizers and several times less plant protection products compared to their E.U.
colleagues, and the situation is worsHQHGZLWKWKHGHWHULRUDWHGÀHHWRIDJricultural equipment. He suggests the
country's grain industry will require
investments of $20 billion to $25 billion in the coming years to bring yield
to the European level.
Ukraine must boost yields, but not
by using GM seeds, said Parliament
member Nikolay Lushmyak, who
hopes to add to already adopted restrictions on GM growing in Ukraine
with a new law providing a complete
moratorium of GM products until
2023. He said Ukraine consumers are
not willing to consume GM products.
"Despite this, domestic farmers buy
GM seeds and grow mutated cultures
without receiving permission from
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is simply unable to provide adequate
control of this market. As a result, it
is simpler to fully ban any use of GM
products rather than to watch its unFRQWUROOHGDSSOLFDWLRQ´
PRODUCTION COSTS A PROBLEM
Meanwhile, the task of increasing
the level of mineral fertilizers use is
complicated due to the continuing fall
of the country's currency (hryvnia).
Over the last two years the currency
GURS KDV FDXVHG D VLJQL¿FDQW SURGXFtion cost increase per tonne of grain.
Ukraine is not producing a lot of fertilizers or plant protecting products, so
it must rely on imports, primarily from
the European Union.
An opinion poll from the consulting
agency APK Inform indicated that for
51% of farmers in 2016-17, the cost of
mineral fertilizers rose 30% compared
with the previous season. About 25%
of farmers expected the price to rise
30% to 60%, while 24% of respondents expected the cost to rise by 60%
69

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World Grain - October 2016

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