Stability in the sugar market

The Ministry of Agrarian Policy and Food of Ukraine and the National Association of Sugar Producers (Ukrtsukor) signed a Memorandum of Understanding. According to this document, both parties plan to cooperate to maintain stable food security and avoid export restrictions.

Mykola Solsky, Minister of Agrarian Policy, and Nazar Mykhailovyn, Acting Chairman of the Board of Ukrtsukor, are the signatories of this important document. According to the Memorandum, the parties undertook to discuss and agree on the volume of sugar exports, taking into account supply and demand, as well as to make the necessary changes in view of spring sowing and plant growth.

The maximum volume of sugar exports for the 2023/2024 marketing year is limited to 650 thousand tons, which is a clear limit to ensure stability in the market. In the event of threats to the food security of the state, the Ministry of Agrarian Policy will be able to initiate state regulation measures within the framework of the law.

Monthly consultations between the Ministry of Agrarian Policy and Ukrtsukor will allow us to monitor the current situation and determine the optimal export volumes. If changes to the foreign economic activity regime are required, the parties will hold preliminary consultations.

"Ukrtsukor also undertook to inform the Ministry about the actual implementation and prospects of sugar exports. This will facilitate additional control over and response to market trends.

Equally important is the initiative of the Ministry of Agrarian Policy to promote the export potential of sugar and to negotiate with the European Union on further duty-free and quota-free sugar exports to the EU.

The memorandum that was signed comes into force immediately and will be valid until September 1, 2024, covering the important period of seasonal cultivation.