OREANDA-NEWS. July 06, 2010. Agroton (FSE: A2TA GR) started harvesting its 134 ths ha of planted farmland in Luhansk and Kharkiv regions. The company forecasts a harvest of 328.3 ths mt of crops or +38.7% above last year’s result. The major collection increase is expected in corn, rape and barley, estimated by the management at 69 ths mt (+288% yoy), 8.2 ths mt (+525% yoy) and 5.5 ths mt (+135% yoy) respectively.

Concorde Capital: based on our estimates, management forecasts imply a substantial increase in crop yields (see table below), in particular for corn by 109% yoy to 6.1 mt/ha vs. 4.0 mt/ha average in Ukraine in 2009. This, as well as a 86% yoy increase in area sowed with corn to 11.4 ths ha should boost the share of corn in the new harvest by 13 pp yoy to 20.5%, which, in our view, drives the total planned harvest volume by 6% above our forecast of 308.9 ths mt.