Сельское хозяйство

The International Grain Council (IGC) has increased its expectations related to the world harvest of grain and corn in the 2008/09 marketing year.

Ukraine has exported a total 13 mln mt of grain in the period July 2008 to January 2009. However, grain exports in January 2009 lost its temp and the monthly grain export totaled 1.6 mln mt. In particular, 0.7 mln mt of this was mainly fodder grain, 0.6 mln mt of corn, and 0.3 mln mt of barley.

In 2008, Astarta [AST PW, BUY] harvested more than 394 thsd mt of grains and oilseeds (+96% YoY), and processed more than 32 thsd mt of raw milk ( +20% YoY).The company processed 1.5 mln mt of sugar beet (+61% YoY) and its sugar production totaled 235 thsd mt (+51% YoY). Moreover, the company’s share on the domestic sugar market increased two times to 15%.

Astarta [AST PW, BUY], is planning to launch bioethanol production at its Yaresivskiy sugar plant. According to Mr. Ivanchyk, the CEO of the Astarta holding, work has been started and its planned output capacities can reach 200 cubic meters per day. Currently, the estimated total value of the project is not finalized and will be defined in the process.

Astarta [AST PW, BUY] has reached an agreement on selling its carbonic credits to the International Fund of Carbonic Credits that was founded by the European Bank of Reconstruction and Development in cooperation with the European Investment Bank.

Mriya [MAYA GR, N/R], a Ukrainian agricultural holding, released its plans to expand the holding’s land bank under lease by 35.7% to 190 thsd ha in 2009.

As of December 12, 2008 a total of 1.53 mln mt of sugar has been produced by domestic sugar plants in Ukraine. An overall 12.5 mln mt of sugar beet was processed, which is 22.8% less YoY. Moreover, 83% of all sugar plants that obtained government permission for sugar processing in the 2008/09 marketing year have completed their sugar processing season.

Ukrros, a Ukrainian sugar producer with a 70 thsd ha land bank in lease, held a conference yesterday, where the company released its audited consolidated IFRS financial results for 1H08. Key financials: net revenues increased to USD 75.6 mln, EBIT improved from negative to positive USD 3.5 mln, and net income increased to USD 4.3 (including VAT redemption).

Ukraine faces the possibility of being left with17 mln mt of grain in July 2009.

The shareholders of the Kernel Group [KER PW, N/R] decided to not to pay out dividends for the 2007/08 financial year. This decision was taken at their AGM, which was held on November 17, 2008. The company’s losses for the last periods in amount of USD 5.1 mln, will be transferred to the forthcoming year.