Beet molasses market in Romania

Earlier Report Observations

From 2018 to 2020, the Romanian beet molasses market experienced significant volatility. In 2018, drought and the closure of several sugar factories limited sugar beet processing, affecting molasses output. The abolition of EU sugar production quotas in 2017 also contributed to a liberalized market with increased competition. The market volume then surged to 55 837 t in 2019, aided by higher imports, while domestic farmers grappled with low prices and import competition. A sharp contraction followed in 2020, with production falling to 42 022 t and market volume dropping to 37 787 t, directly impacted by the COVID-19 pandemic's effect on global sugar prices and a spring drought that reduced beet yields.

After a data gap, the market faced continued pressures in 2022. Production declined to 31 080 t and market volume stood at 34 547 t, primarily due to renewed drought and higher production costs driven by elevated global energy and agricultural input prices. Industry consolidation, leaving only two major sugar plants owned by the Austrian group Agrana, further shaped processing capacity. A recovery emerged in 2023 despite dry conditions, with production rising to 40 246 t and market volume climbing to 49 762 t. This turnaround was supported by the Premium Luduș sugar factory's active promotion of molasses for animal feed and its strategy to export by-products to Hungary. In 2024, production continued its growth to 47 953 t, but market volume receded to 42 256 t as imports fell sharply.

Throughout the period, the Premium Luduș plant was a central actor, investing in retooling and green energy to maintain competitiveness. Its efforts to develop export channels for molasses, particularly in animal nutrition, provided an outlet for production despite periodically weak domestic demand. However, recurring drought conditions remained a persistent challenge for sugar beet cultivation and the resulting molasses supply.

Production beet molasses in Romania

In value, 2017-2020, K $ US

Beet molasses production in Romania has declined for the third year in a row. In 2020, output was valued at 3 717 thousand US dollars, marking a 27.4% drop compared to 2019. Between 2017 and 2020, production fell by 45.8%, which translates to an annualized decline rate of 18.5%.

Annual dynamics of production in Romania in value, 2017-2020, K $ US

In kind, 2017-2020, t

In 2020, Romania produced 42 022 tonnes of beet molasses, a sharp decrease of 29.6% from 2019. Over the 2017-2020 period, production dropped by 31.2%, with a compound annual growth rate of -11.7%. The only increase during this time was in 2019, at 2.4%.

Annual dynamics of production in Romania in kind, 2017-2020, t

Exports beet molasses from Romania

Exports in kind, t

Beet molasses exports from Romania have fallen for the third consecutive year. In 2020, Romania exported 16 449 tonnes, down 36.9% year-over-year. From 2017 to 2020, exports decreased by 53.3%, with a compound annual decline rate of 22.4%.

Annual dynamics of product's exports from Romania in kind, 2017-2020, t

Between 2017 and 2020, Hungary and Czechia accounted for the majority of Romania's beet molasses exports in volume, while other markets played a smaller role.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Romania in kind, 2017-2020

Exports in value, K $ US

Beet molasses exports from Romania have declined for the third year running. In 2020, export value stood at 1 841 thousand US dollars, showing a significant drop of 22.7% from the previous year. From 2017 to 2020, exports fell by 50.9%, equivalent to an annualized rate of 21.1%.

Annual dynamics of product's exports from Romania in value, 2017-2020, K $ US

From 2017 to 2020, Hungary and Czechia were the main buyers of beet molasses from Romania in value terms, together making up 89.2% of total exports, with other countries accounting for the rest.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Romania in value, 2017-2020

Imports beet molasses to Romania

Imports in kind, t

The market showed notable fluctuations during this period. Imports reached their lowest point in 2020 at 12 214 tonnes, a 45.0% decrease year-over-year, while the peak was in 2019 at 22 207 tonnes, resulting in a 1.8-fold difference between these years. The largest increase occurred in 2019, at 80.0%.

Annual dynamics of product's imports to Romania in kind, 2017-2020, t

During 2017-2020, Moldova was nearly the sole supplier of beet molasses to Romania, representing 97.5% of total imports in volume.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Romania in kind, 2017-2020

Imports in value, K $ US

Market performance varied significantly over these years. Imports hit a low in 2018 at 1 278 thousand US dollars and a high in 2019 at 2 309 thousand US dollars, with a 1.8-fold variation. In 2020, cross-border shipments were valued at 1 750 thousand US dollars, a strong decline of 24.2% from 2019. The largest increase was in 2019, at 80.6%.

Annual dynamics of product's imports to Romania in value, 2017-2020, K $ US

From 2017 to 2020, Moldova dominated Romania's beet molasses imports in value, capturing 85.3% of the total, while other countries made up the remaining share.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Romania in value, 2017-2020