Exports of wheat, cornExports of wheat, corn, barley and rye from Ukraine are likely to reach last year's levels, according to a report from the USDA office in Kiev. Wheat shipments in the 2023-2024 marketing year are forecast at 17.7 million metric tons, a 3% increase on the previous year's estimate, the report stated. Corn exports are expected to increase 8% year on year, totaling 29.2 million metric tons.
The USDA's current estimate is for barley shipments to reach 3.3 million metric tons, which represents an increase of 22%, and rye exports are projected to reach 170,000 metric tons, an increase of more than nine times.
Houthi militants, backed by Iran, have been attacking ships in the Red Sea, wreaking havoc on crucial shipping routes. Despite this and Russia's threat to sink ships in the Black Sea, Ukraine has not allowed its exports to be impeded.
Ukraine's resilient exports
Concerns about transit in the Red Sea have not impacted Ukrainian exports. Exporters report a slight increase in bulk freight rates. "Investments and efficiency in export routes via the Danube River and transshipment capacity at the port of Constanta in Romania continue to increase, providing additional opportunities to maintain export levels."
The USDA stressed that its estimates do not take into account possible additional damage caused by attacks on ports or ships by Russia. The increase in exports, however, will result in a drastic reduction in stocks. Ending grain stocks in 23/24 are expected to fall to 5 million tons, a 50% drop compared to 2023, as reported by the agency.
Source: Leonardo Gottems | agrolink
