Ukraine has worked out and applied a new mechanism to regulate and control the grain crops export to five countries of the European Union.
Recent months have been quite difficult for Ukrainian grain products export to neighbouring countries. Earlier, in summer 2023, agricultural producers from Poland, Hungary, Romania, Bulgaria and Slovakia organized mass protests. They blocked Ukrainian grain checkpoints and roads with their agricultural machinery. The farmers’ claim was the low price of Ukrainian agricultural products. This led to a decrease in grain prices in these countries and caused losses for agricultural producers. At the same time, warehouses were overflowing with Ukrainian agricultural products.
This was the reason for the Ukraine Government to generate the corresponding initiative. In the shortest possible time, the programme was developed and presented to the European Commission. The main idea is to rationalize and harmonize grain exports to five Eastern European countries.
The control mechanism provides for the following steps: first, Ukraine discusses the list of grain crops (wheat, sunflower, corn, rapeseed) and the volumes that can be exported with the European Commission and importing countries. Those, in turn, indicate their readiness to accept these goods and determine the volumes and terms. After that, enterprises receive permits to export certain products. Thus, exports are controlled by Ukraine and at the same time agreed with importing countries.
The innovative document was approved on September 26, 2023. The Prime Minister of Ukraine, Denys Shmyhal, signed the relevant resolution. It refers to the implementation of a new mechanism for verification and coordination of four Ukrainian export agricultural products categories to five neighbouring countries. It is important to note that Ukraine does not export grain crops to adjacent countries until it receives proper consent in advance. The procedure includes Ukrainian Government licensing within 30 days from the date of the export application submission.
Ukrainian grain export issue is really relevant: Ukraine is currently in the process of active harvesting. Weather conditions contribute to high yields, which gives us the opportunity to expect an increase in production volumes. This year, Ukrainian farmers expect to harvest approximately 57.5 million tons of grain and 22 million tons of oilseeds.
Grain yields reached almost record levels (about 52.1 centners per hectare). According to Ukrainian Agrarian Policy Ministry, by the beginning of October 2023, almost 7.3 million hectares of grain and leguminous crops in Ukraine have already been harvested. At that time, more than 32 million tons of grain have been threshed, with a yield of 44.5 centners per hectare.
Thus, Ukraine is actively implementing an innovative mechanism for controlling and regulating grain exports. This contributes not only to providing the domestic market, but also to maintaining stability in the international arenа.
Our company, “MMC” LLC, is actively engaged in the agricultural products export. We have not stopped our activities despite the war outbreak in 2022 and continue providing all types of survey services. “MMC” LLC is constantly rendering services of grain, oil, oilseeds and other goods quality and quantity control. We inspect all types of transport involved in the grain export process: sea and river vessels and barges, containers, railway and road transport. For more information, please follow the link: https://mmc.co.ua/services/ and our contacts: https://mmc.co.ua/uk/kontakty/.
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