Ukraine has almost exhausted the volume of wheat exports specified in the memorandum
According to the Memorandum of Understanding, the limit on foreign supplies of wheat is 16 million tons. From the beginning of 2019 and as of the current date, Ukraine supplied 12,9 million tons of wheat abroad.
This means that until the end of the current season, the maximum export volume is 3.073 million tons of wheat.
The agreed 16 million tons imply the export of 8 million tons of food and 8 million tons of feed wheat.
As of mid-March, the export volume of feed wheat amounted to 5.2 million tons, while the limit for the supply of food wheat was almost exhausted, since during this period, 7.7 million tons of this crop were shipped abroad.
Ukraine, one of the world’s largest grain exporters, is close to exhausting the wheat export volume specified in the memorandum with its major buyers. This raises questions about how Ukraine will continue its export strategy in the face of declining sales. One possible solution is to expand the range of exported products and increase grain production within the country. However, such an approach requires significant investment and time to implement. Meanwhile, the decrease in Ukraine’s export volumes could affect the global grain market, causing price fluctuations and product shortages on the markets. In the future, to ensure the stability and growth of grain exports, it is necessary to develop new export directions and strengthen positions in existing markets.