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China continues to declare its willingness to invest in the Ukrainian grain market infrastructure.

 

Chinese state companies are willing to invest in the construction of port elevators in Ukraine, about it at the press conference held on the results of the fifth session of the Subcommittee for Cooperation on Agriculture Cooperation Commission between Ukraine and China, told First Deputy Minister of Agrarian Policy and Food of Ukraine Yaroslav Krasnopolskiy . According to him, some Chinese state company is ready to build Ukrainian port silos storage capacity of 50-100 thousand. Tonnes and expects the Ukrainian side information available for the construction of platforms ports. The amount of investment at this stage is estimated at $ 2,5mlrd.

 

It should be noted that China and had previously stated about the interest of investing in grain logistics in Ukraine, including the construction of a port elevator in the Crimea, and in the development of internal infrastructure - linear silos, roads, railway rolling stock composition and even the fleet.

 

According to UkrAgroConsult, China's intention to invest in the grain sector of Ukraine related to the construction of a stable transport and logistics supply chain of grain from Ukraine. Recall, back in early 2014, the Chinese state-owned Cofco Corp has acquired a stake in the international trading companies Nidera BV and Noble Group - just in order to expand trade agricultural products to meet the growing needs of the country's food import.

 

In the past few years, Ukraine has become one of the main suppliers of grain to China. In addition, the Ukrainian corn supply in some periods may be up to 90% of China's imports of corn.

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Trends related to the overall global dairy crisis.

In Europe, the sellers did not see the improvement of the situation. Despite the decline in production in recent years, stocks are still high. Noticeably worsened competition in foreign markets, and sellers are forced to go for further price reductions. And if, after a significant decline in the beginning of the month, the rate is now abated the food serum, but it is more pessimistic on the stern situation.

At the end of  July, the European Food serum is already were sold for 800-850 USD / ton, fodder is estimated at 570 - 600 USD / t (see Table 5, 6..).

As before, the prices are markedly different of proposals for US-made product, moreover, there is also a noticeable tendency to reduce the cost of goods.

The main pressure on prices in the region have a significant excess of goods - production is still very active and demand - weak. Perhaps reduced to the new price level will contribute to increasing interest in cheap serum soon, and price stabilization in the long term.

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Many operators are realizing that oil there is in small quantities and they tried to increase prices even for the local market. But, probably, customers havent enough money,  it was hard to sell in big volumes and prices again slightly "rolled".

As already mentioned, price demand of  Western importers decreased significantly. They informed that Fonterra sold the oil by price 2300 USD / t, thats why Ukrainian price  should cost considerably less. But cheaper nobody wants to sell.

But in Ukraine there is no big quantities of oil. Therefore, in a further decreasing of  prices, to sell goods for traders  abroad there is no reason. Now it is more profitable to hold either or to contract with CIS countries.

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This was reported in the press service by the Ministry of Agrarian Policy.

"We have completed the collection of early grain crops, harvested more than 37 million tons of grain", - informed the press-service of Ministry of Agricultural Policy, with reference to the Minister of Agrarian Policy and Food of Ukraine Alexei Pavlenko.

We remind that Ministry of Agrarian Policy expects the gross grain harvest in the country in 2015 at the level of 60 million tons, while the export of grain in the current marketing year (July 2015 - June 2016) can be up to 36 million tons.

We add that, according to the State Statistics Service of Ukraine (excluding the temporarily occupied by Russian Crimea) in 2014 collected 63.8 million tons of grain and leguminous crops, which is 2.4% more than in 2013, and is a record for the country for the years of independence.

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The volume of agricultural production in Ukraine decreased in 3.5% in comparison to the same period of 2014.

In January - July 2015 the volume index of agricultural production in comparison with the same period of  2014, amounted to 96.5%, including in agricultural enterprises - 96.1%, in households - 96.9%. This was reported in the State Statistics.

At the same time, the total amount of sold agricultural  manufactured products  in January - July 2015 in comparison  with the corresponding period of 2014, decreased in 0.2%, including crop products - increased in 3.3%, livestock production - decreased in 6.0%.

Also add that the average sale prices of agricultural products by agricultural enterprises in all areas of sales increased by 57%, including crop production - by 70%, livestock - by 47%.

As UNN reported, in January - June 2015 the volume index of agricultural production in comparison with the same period in 2014 decreased by 9.3%, including  agricultural enterprises in  13.3%, in households till 6.1%.

We also add that in 2014, the index of the volume of agricultural production in comparison with 2013 got the result 102.8%

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Summer is finished and interest in actively producing powdered milk, has not appeared. Most manufacturers do not see the profit from the sale of goods.

Small quantities of goods is possible to sell to CIS countries, high-quality milk can also be distributed expensive on the local market.

Well, here's sales to Western traders have become not profitable. At best, they give voice to the COM price-level 1450 USD / ton. Selling goods with such cost is not profitable for the majority of manufacturers, so the contracts almost are not making.

Exports of milk powder last month, as expected, is not particularly increased, and remains below last year's figures. The growth of external sales of powdered milk is not expected according the results of August.

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After a long fall  the index for dairy prices GDT started to grow. We remind, on the previous trading the growth rate was 14.8%.

In the market of dry fat milk prices grew up in 11.7% (the average price is $ 3,029). Index on oil price increased in 8.1% (the average price is $ 2,746). Cheese prices on cheddar increased in 4.7% (the average price is $ 2,913). Decreased price index for lactose 4% (the average price is $ 483), the index of prices for skimmed milk powder increased in 11.7% (the average price is $ 1,698) for whole milk - in 12.1% (the average price is $ 2,078).

It should be noted that trading took place on the day after the announcement of the ban cancelation for imports of dairy ingredients company Fonterra in Russia. The ban worked since 2013. 

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PRAVIO Group companies on the behalf of "Ichniansky Milk Factory" will take in the event an active part. For two days at the fair will be presented products at producer prices, the highest quality that meet local and international standards.

Near stand "Ichniansky Milk Factory" will be bright puppets in the form of cans of condensed milk, everyone can make photos with them.

 Every year the fair attracts more than 50 thousand. People from all over Ukraine and abroad. At the fair you will be able to buy goods from Belarus, Armenia, Poland, Lithuania, etc.

In Priluki in Chernihiv once held one of the oldest fairs in the Ukraine. This is evidenced by a record made by the Arab traveler Paul Aleppo in his diary as early as the mid-17th century.

The fair will run concert zones, "the town of artists", the traditional bookstore "writers behind the counter" and much more.

Come! It will be interesting, tasty, fun and informative!

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Happy Easter!

This Easter, I’m wishing you and your family to have a prosperous and peaceful life.
May you be blessed with home filled with harmony, joy and love.

I hope that this Easter bring your new aspirations and new hope.

Sending my warmest Easter greetings to you and to your family.

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All best wishes on International women's day!

Each of you is exquisite, special and extremely charming.  From the bottom of my heart, I would like to wish you oceans of human happiness and joy! Let every minute of your life be bright and exciting. We assure you that we are always there to help you and protect you. May you stay  attractive, healthy and wealthy forever and ever!

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