Source: Oleoscope (Russia)
This year, it is anticipated that Ukraine will decrease the area allocated for soybean cultivation by 10-13% compared to last year, driven by falling prices for soybeans this season and more appealing prices for corn and sunflower.
The overall area for this crop is projected to be around 2.3-2.35 million hectares. Additionally, soybean production is expected to drop to 5.7-5.8 million tons; however, this figure will still rank among the highest in the industry. This projection was shared by Svetlana Kirichok, an analyst of oilseed markets at IA “APK-Inform,” during the “Soybean and Meal Market” conference held in Kiev.
The analyst pointed out that the current soybean prices “are not satisfactory for farmers.” In contrast to last season, when soybean prices were among the highest for oilseeds in Ukraine, this season has seen a reversal.
Furthermore, the expert highlighted a rise in demand for soybeans in both domestic and international markets for the 2024/25 season, marking a significant difference from the sunflower market, which is primarily serviced by local processors. She also emphasized that the oilseed processing capacity in Ukraine continues to grow, providing soybeans as a viable option to enhance facility utilization. This factor, in her opinion, is likely to help maintain soybean acreage at relatively high levels in the long run.
“We anticipate a slight decrease in acreage in the central regions and the south, where adverse climatic conditions prevent the crop from reaching its full potential. However, the primary production of soybeans will continue to be centered in central, western, and northern Ukraine,” the speaker concluded.
Currently, Russia and Ukraine are minor players in the global soybean market; however, analysts from IGC predict that for the 2024/25 season, these countries will yield a combined total of 13.1 million tons of oilseeds, representing a 10% increase from the previous year. Over the last five years, Ukraine has remained the leading exporter of soybeans in the post-Soviet space, accounting for nearly 70% of the region’s exports.