19 October 2020

We know how to operate successfully even in a challenging year

EXPERT VIEW to the news

Current year turned to be very challenging for both global economy and Ukrainian in particular. It was impaired by grain harvest decrease. We expect to get the last 4 years’ lowest crop yields in Ukraine due to drought, cut-back in production and negative impacts of pandemic.

However, let the weak players groan and complain. Alebor Group of companies gained solid experience of business conduct both under favorable conditions and in challenging environment. We have highly qualified dedicated team, allowing our entities and what is more important – our partners – to be on a firm ground. Herein we present current grain market overview and some useful advice.

Alebor Group provides full range of grain harvesting, post-harvest treatment, storage and shipment services. We deal with early and late grain crops and oilseeds. We know – if the harvest is lower than expected, the main concern is to preserve it.

Sunflower and corn harvesting campaign started 10 days later y-o-y, but we managed to step it up free of losses for farmers due to our efficient field logistics (combine harvester – truck – silo), – Vadym Ishchuk, Deputy Director for Combine Harvesters Line points out.

There was one more important aspect – crops quality. Dry weather conditions prevented grain from gaining its weight.

This year, if compared to the previous one, was too challenging for Ukrainian agriproducers, – Iryna Tsurkan, Grain Crops Quality Manager of Alebor Group adds.

— Strong drought made farmers review their expectation as for harvested crop volumes and quality. Due to lack of sufficient moisture during ripening stage, grain failed to gain its required natural weight. It was the reason of getting big volumes of harvested wheat and barley of extremely poor grain unit characteristics, containing a lot of immature and spare kernels. However, protein content, gluten content and falling number of food-grade wheat were very high, if compared to the crops harvested during the last five years. As for corn, we can state that dry weather didn’t allow producing efficient crops.

Our grain silos specialists and lab technicians know the ropes. And their main task now is to store the grain without any losses in terms of quality.

We are committed to intake and maintain quality characteristics of grain which will be stored at our silos.

— We have good technological base and all necessary equipment to provide efficient cleaning and drying operations to let the grain quality be perfect for long-term storage, – Iryna Tsurkan tells.

Of course, farmers’ supply also decreased in number due to reduced harvest volumes. And now they need to choose the best strategy: whether to sell the grain now, just after the harvest, or store it at the elevators and try to benefit from higher selling prices in spring. Alebor Group’s specialists also prove the fact of potential profitability increase of grain selling operations in spring.

It would be better to save the crops considering the fact of lower volumes harvested this year.

— Potentially, its price has all chances to further increase due to low supply, – Svilana Vasylkivska, Head of Purchase Department of Voronovytske GCS states.

Anyway, our partners can be sure: Alebor Group will support any of their decisions and make all efforts to gain mutual benefits. Feeling optimistic about the future!

Alebor Group purchases the whole range of grain and oilseeds. It also provides full range of services from harvesting to sales.

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