Ukraine: High sugar prices will provoke a record rise in prices for confectioners - experts

Published 2021년 7월 12일

Tridge summary

The 2020 sugar beet harvest led to a raw material shortage and a surge in sugar prices, which has resulted in a significant increase in the cost of confectionery products by 15-20%. This has led to part of the industry operating with negative profitability, causing a shift towards imports of European sweets, with imports growing by 20% in 2021. The rise in sugar prices has also impacted bakery enterprises and soft drink producers, leading to losses. Producers are seeking a temporary ban on customs duties on imported sugar to stabilize the market.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

In 2020, the sugar beet harvest was not the best, and this year there is also a shortage of raw materials. Agrocenter tells about it in more detail. As a result, sugar prices soared to record levels. Confectioners suffer from high sugar prices because it makes up a significant portion of all products. As a result, prices for domestic confectionery products increased by as much as 15-20%. However, the rise in prices did not compensate for all the losses, so part of the industry operates with negative profitability. As a result, imports of European sweets are growing, in 2021 the figure increased by as much as 20%. Also, the bakery enterprises lost 200 million hryvnias due to the rise in sugar prices, and soft drink ...

Source: Agro-center