Corn became Ukraine's most exported commodity this year

Since the beginning of the year, in January-February, corn has become Ukraine's most exported commodity. According to the State Customs Service, exports since the beginning of the year amounted to 4.7 million tons of corn worth $982 million. Thus, corn has become a key commodity for export, accounting for 26.5% of agricultural exports and 16% of Ukraine's total exports.

Most of the corn was exported to Spain (933 thousand tons), Italy (725 thousand tons), Turkey (639 thousand tons), Egypt (593 thousand tons) and the Netherlands (514 thousand tons). At the same time, Ukraine can further increase corn sales to Spain during the period from March to June, before the appearance of the Brazilian harvest on the market.

However, the level of uncertainty regarding the development of the situation remains high. At the same time, prices for Ukrainian corn are again breaking seasonal records. This growth is happening despite a 10% drop in corn quotations on the Chicago Stock Exchange in the spot market over the past month. In total, as of mid-March, Ukraine exported less than 13 million tons of corn, which is significantly less than the USDA forecast of 22 million tons for the 2024/25 season. One of the key factors supporting prices is Turkey's decision on an import quota of 1 million tons of corn, which provided new opportunities for Ukrainian exporters. Also, Ukrainian corn remains one of the few in Europe that meets the standards required by importers. At the same time, the trade war initiated by Trump continues to change global corn flows. Major buyers such as Mexico, the EU and China are reducing their dependence on American corn, while Brazilian supplies will only be available in early summer. In this context, Ukrainian traders have already signed contracts with China at favorable prices.

It is worth noting another enhancer of the competitiveness of Ukrainian corn. This is the increase in freight costs, as global sea freight rates have increased over the past month, making supplies from distant regions less attractive. As a result, Ukrainian corn becomes more profitable for neighboring markets, such as the Mediterranean and Europe.