OREANDA-NEWS. November 13, 2009. On 11 November 2009, the Economy Ministry published a draft decree, which includes sugar products in the list of goods subject to exports quotation. Namely, the Ministry intends to limit the export of sugar by 3.3kt in 2009, sugar beet exports to 103t, and molasses exports to 36.2kt.

Millennium Capital sees the news to be negative for sugar producers, since, by our estimation, those of the producers that export sugar have already exhausted their quotas. Still, regarding the time needed to pass the law, we expect that most of the contracts will have been fulfilled by then. In addition, Millennium Capital has not expected a significant drop in the domestic sugar prices, the expected sugar deficit in Ukraine amounting to around 0.5mnt in the 2009/10 marketing year.