As announced, we will briefly outline the situation at the moment.
Cleaning of early cereals is over. According to the preliminary data, we received a yield of spring barley at 18% below and winter wheat at 23% lower than last year. Early dry summer did give an opportunity for our grains to develop at full strength. And drought did not hit Ukraine only. In a matter of days, about 30% of plants and about 40% of vegetables in such countries as France, Germany, Netherlands, Great Britain, Poland and others fell. Even in Switzerland, famous alpine pastures were irrigated with the help of military helicopters. Experts already say that such an extreme drought has not happened for 40 years. The International Grains Council (IGC) has recently revised the outlook for global wheat harvesting downward by 16 million tons to 721 million tons. This will be the lowest crop after the season 2013-2014 years. Regarding Ukraine, according to the Ministry of Agrarian Police and Food of Ukraine, the country harvest forecast for this year remains at the level of 2017 year – in the amount of 60 million tons and more (in 2017 61.3 million tons of cereals were collected). Anomalous heat greatly reduced crop forecast not only on the one hand, quality of the harvest itself on the other hand (in some varieties of cereals already observed decrease on 10% of protein, vitamins and minerals), but also inflated the prices from the third. And the crop we harvest was already contracted at prices significantly higher than last year’s by at least 20%.
At the same time, at a stage, when harvesting barley and wheat was already in full swing, a powerful cyclone has brought desired moisture. That gives us great hope, that sunflower and corn crops have absorbed all the necessary resources for excellent growth and development. And in a short time we will start the harvest season for our leading crops.
As for the meteorological insurance program in which we debuted, according to the weather station, we could not claim any payments. But considering the fact that precipitation was received after the end of insurance period, we plan to compensate for the losses by profit from sunflower and corn harvest.
At this stage, the agronomical service is preparing for the planting of winter rape and carries out the whole range of preparatory work. Mind, last year autumn was so arid that the realization of this kind of planting had to be abandoned. And as time has shown – not in vain. The final decision on sowing winter rapeseed will be taken until August 20, depending on the availability of productive moisture in the soil.
Soon expect material on our new oil extraction plant.
Traditionally, we are optimistic about the future.
With kind regards, team of GC “Agroliga”.