Agriculture

Ukraine’s spring sowing campaign is gaining momentum. According to an official press release made by the Ministry of Agriculture, agrarians have sown a total 4.4 mln ha, or 96% of the planned area, with early spring crops.

As of April 1, 2009, Ukraine’s grain exports reached 21.5 mln mt. This is a record amount for Ukraine. According to Mr. Yuriy Melnik, the Minister of Agriculture, Ukraine is able to export a total 25-25.5 mln mt of grain in the 2008/09 marketing year.

According to an official press release issued by the Ministry of Agriculture, Ukrainian agrarians have sown 1.4 mln ha with spring crops. In particular, spring wheat was sown on 55 thsd ha (17% of the expected area), spring barley was sown on 1120 thsd ha (32% respectively), oats on 76 thsd ha (16%), and peas on 115 thsd ha (44%).

Land West [4K1A GR, U/R], a Ukrainian agricultural holding with 80 thsd ha of land bank in operation, is going to attract financing of USD 20 mln during second private placement. The deal’s details have not yet been disclosed.

The European Bank of Reconstruction and Development (EBRD) has provided a five-year loan of USD 20 mln to Astarta [AST PW, BUY]. Astarta is going to use the EBRD loan to increase the energy efficiency of its sugar plants, as well as for refinancing its short term bank obligations.

The Mriya Holding [MAYA GR, U/R] has announced plans to expand its cultivated land for spring crops by 64.1% YoY to 98.6 thsd ha.

The European Bank of Reconstruction and Development (EBRD) is going to inject a total of EUR 220 mln into the development of Ukrainian agricultural companies in 2009. According to Ukrainian News, Mr. Gilles Mettetal, Director of the Agribusiness team in Ukraine, negotiations with respect to the above are in progress.

According to the State Statistics Committee of Ukraine, domestic agricultural companies (excluding small-scale enterprises) increased their PBT (profit before tax) by 25% YoY to USD 0.73 bln in 2008.

According to COCERAL, the national grain trade organization involving most of the European Union’s 27 member states, the estimated harvest for the EU-27 will total 286.4 mln mt of grain in the 2009/10 marketing year.

Astarta [AST PW, BUY] has official stated that all agricultural farms which are affiliated with its company are at the final stage of preparing for the spring sowing campaign, which is due to start in the first week of April.