Ukraine - 2.7 Milling Assessment

Ukraine - 2.7 Milling Assessment

Milling Assessment

Since having outstanding fundamentals for grain cultivation, Ukraine has also been a grain processing country. Today it has an enormous, well-developed, and up-to-date system for milling.

The war, however, has created sizable challenges to Ukrainian milling. The Russians are specifically targeting elevators and grain storage facilities throughout Ukraine. The attacks have destroyed hundreds of thousands of tonnes of grains in Ukraine along with the grain storage and transportation infrastructure. Moreover, due to many war-related factors, the quality of Ukrainian wheat is declining. In 2023 a significant share of the harvested wheat will be of sub-standard quality and, therefore, the grade of the final milling product will remain low, which will lead to a decrease in the final price of the product. Lastly, due to the partial blockade of the seaports on the Black Sea, there is a minimal possibility to export Ukrainian wheat or flour. In case farmers are unable to sell their harvest in 2023, they will not be able to sow in 2024 creating a threat to the entire industry. However, under moderately optimistic scenarios the export will continue in smaller volume and the industry in general survives the crisis.

Ukraine mills, processes, and exports millions of MT of various foods per year. The majority of mills are privately owned, though some are still state-owned and incorporated in the State food reserve. The overwhelming majority of Ukrainian mills are powerful following a tradition of Soviet industry to create large enterprises, but small milling entities producing high-quality grindings are also emerging.

A basic group of commodities comprises the following variety of groats: wheat groats, yellow peas polished (whole, split), defatted corn grain, corn flour, millet polished, unground buckwheat, grain pearl-barley as well as pulses.

Milling Companies 

At the forefront of the milling landscape lies the Union "Millers of Ukraine". Its member list is hosted on its website. Also, Europages and List of Companies Worldwide are the information sources for that matter.