KSG Agro started export deliveries of rapeseed and sunflower oil to EU
KSG Agro started export deliveries of rapeseed and sunflower oil to three EU countries. This was reported by the press service of the agricultural holding.
KSG Agro started export deliveries of rapeseed and sunflower oil to three EU countries: Poland, Slovakia and Italy.
As part of the signed contract with KSG Agro for raw rapeseed supplies, 2,000 tons of this crop will be exported to Slovakia. In addition, trial deliveries of sunflower oil to Poland and Italy using flexitanks – polymer containers designed for the transportation of liquid cargo and installed on ordinary trucks – have begun. The transportation of oil by flexitanks on traditional trucks allows to reduce transport expenses and the cost of supplies.
At the moment, KSG Agro is negotiating with partners regarding the refining and bottling of sunflower oil in EU countries with the aim of rapidly increasing its export and sale of ready-to-consume products.
In order to develop the export direction in the EU, the agricultural holding attracted two export managers to work in the European Union. With their help, in particular, the possibilities of practical steps for further processing of agricultural products, both produced by the agricultural holding itself and those that can be purchased on Ukrainian markets, are being considered.
“We managed to build efficient logistics chains for export deliveries of both grain and products with a high added value – oil – to the markets of the European Union countries, despite the blockade of sea ports,” comments the Chairman of the Board of Directors at KSG Agro Sergiy Kasianov. – In 2022-2023, we plan to focus on the development of the export of our products in order to increase foreign exchange earnings. There is every reason for this, for example, the high demand in the EU for grain and rapeseed. Currently, there are very good conditions for agricultural producers regarding export to the EU – there are virtually no taxes (in particular, VAT) and import duties. So if you solve the problems with transportation, establish effective logistics, you can have a good source of replenishment of foreign exchange income. Of course, it is not good for us that transport rates are increasing. But transporters can also be understood, because if one delivery to the EU used to take 5-7 days, in the current conditions of queues at the borders, it can take 20-30 days.”
