Ukrainian soybean exports reached record levels in January

In January, Ukrainian companies exported 406,000 tons of soybeans, which is the highest monthly export figure in recent years.

Compared to last month, the export of soybeans increased by 50,000 tons, compared to the figure of January last year – three times (in January 2022, Ukrainian soybean exports amounted to only 135,000 tons).

In general, soybean exports have significantly increased since November 2022, their monthly dynamics are shown in the following graph:

The main reason for the increase in Ukrainian soybean exports, we see an increase in the total soybean harvest in 2022 to 3.7 million tons, which is the highest indicator since 2017. We should also note that due to the higher cost of 1 ton of soybeans compared to grain crops, the share of logistics costs per 1 ton of soybeans is lower than for grains – the same corn or wheat.

We will remind that in 2022 Ukraine exported about 2 million tons of soybeans, which immediately exceeded the figure of 2021 by 80%.

The structure of soybean exporters is significantly different from grain exporters, among the list of the largest exporters there are large Ukrainian agricultural holdings – Agroprosperis and Salic, among international traders we can single out ADM.

According to our estimates, the export potential of soybeans in the 2022/23 season is about 2 million tons, another 1.6-1.7 million tons will be processed. Active soybean exports at the beginning of the season mean less supply of soybeans for processing in the following months, which will negatively affect processing margins in the second half of the season.

So far, the export of soybean oil remains quite stable – in January it amounted to 24,000 tons, which corresponds to the figure of the previous month (on average, in 2022, Ukraine exported about 20,000 tons per month).

Tags: Ukraine, export, soybean