Ukraine’s exports ups in money terms in July, while decreases in physical volume

Ukraine’s goods exports amounted to $2.969 billion in money terms in July 2024, 9% month-on-month, while in physical terns, the country’s exports decreased 0.6% in the same period, Ukrainian Deputy Economy Minister and Trade Representative Taras Kachka said.

“The main reason is the seasonal change of exported crops,” Ukrainian media quoted Kachka as saying on social media.

The corn exports continue to decline, as 1.56 million tonnes were delivered in July, down 44.4% month-on-month, and down 60% compared with April’s high of 4.1 million tonnes, Kachka said.

In this context, Kachka said it would be more appropriate to raise exports of wheat and rapeseed. Ukraine exported 1.58 million tonnes of wheat in July, up 44% month-on-month, and almost twice as much as last July, when 823,000 tonnes were exported. Ukrainian producers also supplied 277,000 tonnes of rapeseed abroad in July, up 13.5% year-on-year. Barley exports are also reviving, reaching 580,000 tonnes in July, which is almost twice as much as in June.

Kachka said that even in the core area, which everyone perceives as raw materials, there is always an opportunity to produce goods with a higher price and more added value. At the same time, the product that Ukraine manufactures in large quantities has the biggest impact on export parameters.

Ukraine’s exports include 38 categories of goods bringing more than $10 million, Kachka said. For instance, this is glassware, whose exports have not fallen below $10 million over the past 12 months, and for several months have reached $12 million, or carpentry and joinery products, whose exports usually range from $14 million to $16 million per month, as well as furniture, whose exports have gradually risen from approximately $34 million to $35 million to between $38 million to $40 million per month over the past year. In July, this category of goods saw exports worth $37.9 million.

“Metal industry also set records with 219,000 tonnes of semi-finished products, which is the best figure during the crisis, up 83% compared to June,” Kachka said.

The transport industry saw a change with regard to maritime transport exporting 6.25 million tonnes in July, down 0.4% month-on-month. Rail transport exported 2.609 million tonnes, down 3% month-on-month. The share of road transport continues to grow, up 5.5% compared to June, with 825,000 tonnes supplied.

At the same time, the geographical distribution of exports remains the same, with the European Union accounting for 56% of them ($1.67 billion), Kachka said. Poland ($358 million), Spain ($190 million), Germany ($178 million), the Netherlands ($147 million) and Italy ($136 million) are among the leading consumers of Ukrainian products.

Exports to China dropped 3.1%, but in this destination the largest volume of goods worth $175 million is still being shipped by non-EU countries. Exports to Egypt grew 17.5% in July month-on-month to $143 million. Exports to Turkey rose even higher, by 32.7% to $134 million. Trade with India showed a 137% growth with $89 million of products sold, Kachka said.

Kachka named Moldova ($87 million), Lebanon ($44 million), Algeria ($39.5 million), the United States ($39.2 million), Israel ($39 million), and Indonesia ($38.5 million) among the top 10 export destinations for Ukraine outside the EU.

Kachka estimated Ukraine’s imports at $5.3 billion in July 2024. Along with the already usual fuel ($604 million), cars ($306 million), and medicine ($156 million), the supplies from abroad include such important import items as complex fertilizer ($102 million) and electricity ($120 million).

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