Ukraine’s seed exports, particularly corn seed, have experienced significant growth in European markets since Russia’s invasion, marking a rare positive development for the country’s war-affected agricultural sector, Reuters reports.
Russia’s 2022 full-scale invasion of Ukraine reduced Ukrainian seed demand, with Ukraine’s corn planting area dropping by a quarter, while also cutting off the Russian market that some firms had previously supplied from Ukraine.
According to the Seed Association of Ukraine, the country’s total seed exports reached $121 million last year, a dramatic increase from pre-war levels of $22 million in 2021. The French corn growers’ group AGPM estimates that Ukraine’s share in the EU corn seed market has grown from zero to approximately 10% since 2021.
While seeds represent a small portion of Ukraine’s agricultural exports compared to grain, they offer significantly higher profits for farmers.
“It was exports that allowed seed producers to last in 2022-23,” Siuzana Hryhorenko, head of the Seed Association of Ukraine, told Reuters, referring to EU shipments.
However, the trade shift has created tensions with European farmers. The CEPM (European corn growers association) is seeking measures to limit corn seed imports which they describe as “extremely destabilising for our market,” according to Arthur Boy, their economic affairs advisor. Reuters says the impact is particularly noticeable in France.
Ukrainian Agriculture Minister Vitaliy Koval told Reuters that the country’s primary goal is to cover more of their domestic demand rather than focusing solely on exports. Ukraine still heavily relies on imports for oilseeds, with imports worth $346.5 million in January-September.
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