Sugar production may decline in Russia

Experts predict that sugar beet acreage across the country may decrease, which will inevitably impact sugar production.

The Ministry of Agriculture estimates that sugar beet will occupy approximately 1.2 million hectares this year. This is a significant reduction compared to the previous season: the decline could be up to 2.5%, or 30,000 hectares.

Some experts, however, are even more pessimistic, fearing that the acreage could decrease by 6%, reaching only 1.13 million hectares.

At the same time, analysts note that the sugar beet sowing situation varies greatly across the country.

For example, in the southern regions, sowing is proceeding quite actively. As of April 28, the Krasnodar Territory exceeded its planned targets, having sowed 101.4% of the planned acreage.

Overall, sugar beet cultivation in the southern regions as of the end of April had been completed on 289,400 hectares, representing 96.8% of the planned area. This is also 6,300 hectares more than the same period last year.

Therefore, it is safe to say that sugar beet production in the southern regions is not only not declining, but is actually gaining momentum.

However, the Central Black Earth Region is showing a completely different picture. There, sowing is proceeding at a record pace: by the end of April, only 31,500 hectares had been sown—a mere 4.4% of the planned volume.

By comparison, 570,300 hectares had been sown in the Central Black Earth Region by the same date last year. This creates a significant risk that the final harvest will be significantly lower than the previous year.

This is largely due to the adverse impact of weather factors. A cold April meant that the soil didn’t have time to warm up and dry out, which is absolutely necessary for equipment to be able to operate in the fields.

Furthermore, the heavy rainfall that regularly falls in many regions of the country is also preventing the full start of the sowing season.

At the same time, we are currently seeing a decline, rather than an increase, in sugar prices. This may be due to the fact that companies need to sell their sugar as quickly as possible to raise funds for sowing, including the purchase of seeds, fuel, and crop protection products.

Nevertheless, despite the current difficulties, Russia still maintains high potential for sugar exports, having built up significant reserves in previous years.

In the first quarter of this year, Russia exported approximately 190,000 tons of sugar, 37% more than in the same period last year.