Molasses market in Finland

Earlier Report Observations

The Finnish molasses market expanded significantly in 2019, reaching 57 299 t, following the 2018 alcohol law reform that increased sales limits for alcoholic beverages in grocery stores and extended Alko's operating hours, boosting alcohol sector competition and likely raising demand for molasses. Sucros Oy's sugar beet cultivation and processing at its Säkylä plant supported domestic supply, though market volume moderated to 52 810 t in 2020.

A market contraction to 48 313 t occurred in 2021 after the government raised the alcohol beverage tax, dampening alcohol consumption and molasses demand. Volume recovered to 52 823 t in 2022 when the reduced tax threshold for beer was lifted from 2.8% to 3.5% alcohol by volume, stimulating beer production. The 2023 evaluation of the 2018 reform confirmed increased alcohol market competition, while molasses consumption eased to 48 578 t.

A sharp drop to 29 083 t in 2024 was primarily driven by agricultural constraints, including crop rotation requirements and plant protection product restrictions that hampered sugar beet yields and molasses availability. The cost crisis and shifting consumer preferences affected demand, while alcohol tax adjustments in 2024—lower for beer, higher for wine and spirits—reshaped beverage sector dynamics. Lantmännen Agro Oy's promotion of molasses for calf feed illustrated diversifying applications, though these could not offset the overall supply-side contraction.

Production molasses in Finland

In value, 2017-2020, K $ US

Finland's molasses production has increased for the second consecutive year. In 2020, the output was valued at 4 879 thousand US dollars, marking a 23.1% increase compared to 2019. Production grew by 24.3% between 2017 and 2020, which translates to an annualized rate of 7.5%. The lowest value was recorded in 2018 at 3 616 thousand US dollars, with the largest decline of 7.8% occurring that same year.

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

In kind, 2017-2020, t

Top producers of molasses, 2017-2020

World map of production of molasses, 2017-2020

Finland's molasses production has risen for the second year in a row. In 2020, the country produced 19 048 tonnes of molasses, showing a gradual increase of 7.8% from 2019. From 2017 to 2020, production grew by 15.7%, equivalent to an annualized rate of 5.0%. The lowest output was in 2018 at 15 339 tonnes, with the largest decline of 6.8% that year. The most significant increase occurred in 2019, with a 15.2% rise.

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

Exports molasses from Finland

Exports in kind, t

Molasses exports from Finland have increased for the third consecutive year. In 2020, the export volume reached 1 476 tonnes, up by 90.9% compared to 2019. Between 2017 and 2020, exports surged by 325.4%, with a compound annual growth rate of 62.0%.

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

From 2017 to 2020, Sweden and Denmark were the dominant destinations for Finland's molasses exports in volume terms, jointly accounting for 89.9% of total flows, while other countries held much smaller shares.

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

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

Exports in value, K $ US

Exported molasses volumes from Finland have grown for the third year in a row. In 2020, Finland exported 968 thousand US dollars worth of molasses, representing a sharp increase of 210.0% over the previous year. Between 2017 and 2020, exports rose by 344.4%, with a compound annual growth rate of 64.4%.

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

Between 2017 and 2020, Sweden and Denmark clearly led the partner structure for Finland's molasses exports in value terms, while other countries together made up the remaining share.

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

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

Imports molasses to Finland

Imports in kind, t

After two years of growth, Finland's molasses import volume declined. In 2020, imports totaled 35 237 tonnes, a 12.8% reduction compared to 2019. Over the period from 2017 to 2020, imports increased by 35.6%, with a compound annual growth rate of 10.7%. The highest volume was recorded in 2019 at 40 395 tonnes, with the largest increase of 47.4% occurring that year.

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

From 2017 to 2020, Lithuania, Russia, and Denmark consistently held leading positions in Finland's molasses import structure by volume. Lithuania accounted for 21.2% of imports, Russia for 20.6%, and Denmark for 18.6%, together making up 60.5% of total flows.

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

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

Imports in value, K $ US

Finland's molasses imports have increased for the third consecutive year. In 2020, imports stood at 7 580 thousand US dollars, showing a robust increase of 22.3% over the past year. Between 2017 and 2020, imports grew by 98.9%, equating to an annualized rate of 25.8%.

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

Between 2017 and 2020, Finland's molasses imports in value terms relied on a diverse range of partner countries. Lithuania accounted for 17.8% of imports, Russia for 16.8%, and Morocco for 15.1%, together representing 49.7% of total flows.

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

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