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EU may give up on buying new-crop grains from Ukraine

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Author:

Consulting Agency

UkrAgroConsult

The essence of the problem: from October 2020, the EU will lower the Maximum Residue Levels (MRLs) of chlorpyrifos and chlorpyrifos-methyl in food and feed to 0.01 mg/kg (ppm), including those in oilseeds and grains and products made therefrom. 

The use of chlorpyrifos and chlorpyrifos-methyl in Ukraine’s agricultural sector. According to market estimates, roughly 35-45% of Ukrainian crops are sprayed with chlorpyrifos and chlorpyrifos-methyl insecticides. After the imposition of the restrictions by the EU, growers are going to only use chlorpyrifos and chlorpyrifos-methyl for the first treatment, as these chemicals degrade within 20 days. Plant protection products based on other active substances are to be applied after then.  

The impact on grain exports from Ukraine. This impact is substantial. In the 2020/21 season, grain deliveries from the country to the EU may total 12-14 MMT. Ukrainian grain growers are amending their crop protection practices to meet the EU requirements, UkrAgroConsult reports.

For reference: In July-March 2019, Ukraine supplied some 10.7 MMT of grains to the EU market (up to 25% of the country’s total grain exports). 

More detailed information on the latest trends in grain exports, supply and demand balances with breakdown by crop, price behavior, crop conditions and progress in harvesting/planting in the countries of Black Sea Region is available to subscribers for Online Analytics "Black Sea Grain" in the new innovative tool for agri market participants – AgriSupp by UkrAgroConsult. Subscribe to a 14-day free trial!!

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UkrAgroConsult

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