Ukraine: soybean areas to rise at the expense of corn planted areas

Ukraine: soybean areas to rise at the expense of corn planted areas

Ukraine: soybean areas to rise at the expense of corn planted areas

The FINANCIAL -- On the grains and oilseeds markets of Ukraine corn and soybeans are the crops showing the most dynamic increasing of production rates. So, during the recent decade the planted areas under corn increased in 2.7 times, and production volumes of the grain increased in 4 times. In the same period, the planted areas under soybeans increased in over 4 times, and the production volumes - up 6 times.

But the current season became a turning point in the further development of situation in the reporting markets. Taking into account the fact that Ukrainian corn is the export-oriented agricultural crop, and the world market is overflowed with the grain, the interest of importers in the grain somewhat reduced. As for the Ukrainian soybean market, except of the high export potential (57% of the total supply in 2014/15 MY, or 2.3 mln tonnes), the market usually shows a fairly high domestic consumption (26% of the total supply, or 1 mln tonne), which leads to the further increasing of the oilseed production.

According to the polling of agricultural producers conducted by APK-Inform experts, nearly 15% of the questioned agrarians plan to increase soybean planted areas in the current season, and another 6% - will start its cultivation. At the same time, a significant share of respondents reported that they plan to increase soybean areas through reducing of the areas under corn.