The abolition of all duties and quotas on products from Ukraine in the UK will give some competitive advantages to Ukrainian farmers compared to other suppliers of agricultural products. This was reported by AgroTimes.
According to the results of 2021, $ 553 million worth of agricultural products were exported from Ukraine to the United Kingdom. The largest share in the structure of Ukrainian exports to the UK was occupied by sunflower oil, traditional for Ukraine (31% of export revenue), rapeseed (28%) and corn (24%). However, there are a number of Ukrainian products whose exports are present in the UK, but its volumes are still insignificant.
In particular, UCAB notes the following areas that have significant export potential in Ukraine and still occupy a small share in the export of certain products to the UK. Ukrainian farmers should focus on them. Such products include:
– Poultry. The volume of exports in 2021 – 2.6 thousand tons. Ukraine’s share in British imports – 1%. Main competitors: the Netherlands, Poland, Belgium;
– Walnuts without shell. The volume of exports in 2021 is 0.7 thousand tons. Ukraine’s share in British imports is 6%. Main competitors: USA, Germany, China;
– Honey. The volume of exports in 2021 is 0.8 thousand tons. Ukraine’s share in British imports is 1%. Main competitors: China, Poland, Mexico;
– Cranberry, blueberry. The volume of exports in 2021 – 0.2 thousand tons. Ukraine’s share in British imports – 0.3%. Main competitors: Spain, Peru, Chile.
I would like to single out peas. The volume of exports in 2021 of these products amounted to 4.9 thousand tons with Ukraine’s share in imports from the UK – 12%. However, our main competitor is Russia, which automatically adds advantages for Ukrainian suppliers.
“In general, there are more than enough opportunities to export Ukrainian goods to the UK market, but they are significantly limited by logistical problems, because due to Russia’s invasion of Ukraine and blockade of ports by Russian troops, export shipments have been almost suspended. Now all the efforts of the government, farmers are aimed at building alternative routes across the western borders of the country, but these opportunities are limited. The railways and seaports of neighbouring countries are heavily loaded due to the export of grain crops, the volumes of which are the largest in our country. Therefore, in order to increase export revenue, it is necessary to focus on the export of goods that have a higher price at a lower weight and thus export by road, “explains Svitlana Lytvyn, an analyst at UCAB.
Only after a more productive establishment of alternative export routes and the unblocking of ports, Ukraine will be able to expand trade and increase supplies of traditional goods: sunflower oil, rapeseed, corn and wheat to the country. But it takes more time.