Starches market Ukraine

Earlier Report Observations

The Ukrainian starch market saw its size decline from 740 thousand tons in 2018 to 690 thousand tons by 2020. This contraction was primarily driven by the bankruptcy of four out of six domestic starch plants in 2020, preceded by the closure of the producer Agrointekh in 2019. Intense competition from low-priced starch imports from Belarus further pressured the industry. These challenges occurred despite the 2018 launch of Vimal's new and largest potato starch plant, backed by an EBRD loan, and the formation of a starch producers' cooperative aimed at deepening potato processing.

In 2021, the market rebounded sharply, expanding to 968 thousand tons. This surge was fueled by a historic record in potato starch exports, with a major breakthrough into the Chinese market which became the key export destination. Reduced imports and state support programs for industrial potato farming also contributed to the production increase and positive trade balance for the sector.

Beginning in 2022, the market collapsed, falling to 534 thousand tons that year and to 442 thousand tons in 2023. Russia's full-scale invasion of Ukraine severely disrupted logistics, production capabilities, and export channels, leading to the steep decline. The war's impact overshadowed other industry developments, such as Vimal's international recognition and ongoing investment plans for deep processing and capacity expansion by other players.

Production starches Ukraine

In kind, 2017-2020, K t

Between 2017 and 2020, Ukraine ranked 17th globally in starch production.

Top producers of starches, 2017-2020

World map of production of starches, 2017-2020

Ukraine's starch production declined for the second consecutive year. In 2020, the country produced 761.7 thousand tons of starch, marking a 1.9% decrease compared to 2019. Production peaked in 2018 at 786.2 thousand tons, with the largest annual increase of 2.8% also occurring that year.

Annual dynamics of production Ukraine in kind, 2017-2020, K t

In value, 2017-2020, M $ US

Starch production in Ukraine increased for the third consecutive year. In 2020, the output was valued at 292.9 million US dollars, representing an 8.6% year-over-year rise. From 2017 to 2020, production grew by 25.3%, with a compound annual growth rate of 7.8%.

Annual dynamics of production Ukraine in value, 2017-2020, M $ US

Exports starches to Ukraine

Exports in kind, t

In 2020, Ukraine exported 75,874 tons of starch, an 8.5% decline from 2019. Exports reached their lowest point in 2018 at 60,864 tons and peaked in 2019 at 82,935 tons, with the largest annual increase of 36.3% recorded that year. Over the 2017-2020 period, exports rose by 23.6%, corresponding to a 7.3% compound annual growth rate.

Annual dynamics of product's exports to Ukraine in kind, 2017-2020, t

From 2017 to 2020, Indonesia, the United Arab Emirates, and Saudi Arabia were the primary destinations for Ukraine's starch exports by volume. Indonesia accounted for 33.8% of exports, the United Arab Emirates for 15.9%, and Saudi Arabia for 11.5%, together making up 61.1% of total export flows.

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

World map of product's exports to Ukraine in kind, 2017-2020

Exports in value, K $ US

Ukraine's starch exports increased in value for the third consecutive year. In 2020, exports totaled 29.179 million US dollars, up 1.3% from the previous year. Between 2017 and 2020, export value grew by 55.4%, equivalent to a 15.8% annualized rate.

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

From 2017 to 2020, Indonesia, the United Arab Emirates, and Saudi Arabia led Ukraine's starch exports by value. Indonesia represented 30.6% of export value, the United Arab Emirates 15.1%, and Saudi Arabia 10.9%, collectively accounting for 56.7% of total export flows.

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

World map of product's exports to Ukraine in value, 2017-2020

Imports starches in Ukraine

Imports in kind, t

Ukraine's starch import volume declined for the third consecutive year. In 2020, imports amounted to 3,879 tons, a sharp 40.5% drop from the prior year. Over the 2017-2020 period, imports decreased by 74.5%, with a compound annual growth rate of -36.6%.

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

From 2017 to 2020, Russia, Belarus, and Poland were the main sources of Ukraine's starch imports by volume. Russia accounted for 40.6% of imports, Belarus for 18.2%, and Poland for 10.8%, together representing 69.7% of total import flows.

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

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

Imports in value, K $ US

Foreign starch supplies to Ukraine declined in value for the second consecutive year. In 2020, imports totaled 3.771 million US dollars, a steep 30.4% decrease from a year earlier. Imports peaked in 2018 at 7.558 million US dollars, with the largest annual increase of 2.1% also recorded that year. Over the 2017-2020 period, import value fell by 49.1%, corresponding to a -20.1% compound annual growth rate.

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

From 2017 to 2020, Russia, Belarus, and Germany were the primary sources of Ukraine's starch imports by value. Russia accounted for 22.8% of import value, Belarus for 22.3%, and Germany for 14.4%, together making up 59.5% of total import flows.

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

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