Ukraine to Reduce Sugar Exports by 19.7% in 2025/26 Marketing Year, Says UCAB

In Ukraine, the Ukrainian Club of Agrarian Business (UCAB) has projected a considerable decline in sugar exports for the 2025-2026 marketing year (MY), which runs from September to August. The anticipated export volume is expected to reach 505,000 tons, representing a 19.7% decrease compared to the previous season. This reduction is attributed to several factors that have significantly impacted the country's agricultural sector.

According to UCAB data, the forecasted sugar production for the current marketing year is approximately 1.3 million tons. This figure is 26.3% lower than last year's output and 12.6% below the average sugar production over the past five years. The primary reason for this decline in production is the reduction in the area planted with sugar beets, which has decreased to 199,000 hectares, a 21.6% drop from the previous marketing year. This reduction has been a consequence of the quotas imposed on sugar supplies to the European Union, as well as logistical challenges that complicate access to markets.

Despite the decrease in acreage, UCAB noted that the yield of sugar beets has increased to 49.3 tons per hectare, which is 2% higher than last year. The total beet harvest is projected at 10.2 million tons, indicating some positive trends in the agricultural sector, despite the overall reduction in production.

Domestic sugar consumption in Ukraine is also continuing to decline. In the 2025/26 MY, it is projected to be at 0.9 million tons, down from 1.1 million tons prior to the onset of Russia's full-scale invasion. This reflects changes in consumer habits and potential economic difficulties that are affecting the demand for sugar in the country.

According to the association, following the introduction of restrictions by the European Union, Ukrainian sugar producers have been forced to reorient their sales markets. In the 2024/25 MY, the primary export destinations became African countries, which received 32% of Ukrainian sugar, and Middle Eastern countries, which accounted for 29%. Meanwhile, the share of the European market has decreased to 17%, indicating significant changes in Ukraine's export policy.

Experts from UCAB assured that the presence of substantial carryover stocks at the beginning of the season, amounting to 620,000 tons, will allow Ukraine to fully meet domestic demand for sugar and maintain its export potential in traditional markets. This is a crucial factor for the stability of the country's agricultural sector amid global economic changes and challenges faced by the Ukrainian economy.