Wheat bran, sharps and residues market in CIS

Earlier Report Observations

Between 2018 and 2023, production of wheat bran and residues in the CIS increased from 6.6 million tons to nearly 7 million tons. However, the domestic market volume contracted from 5.7 million tons to 5.2 million tons, as exports grew at an even faster pace, diverting supply from the home market. A key driver was the legalization of the milling industry following the introduction of a grain traceability system (FGIS 'Grain'), which improved control and transparency, stimulating both output and overseas shipments.

The expansion was supported by new milling capacity, including the launch of additional plants, particularly evident in 2020. Concurrently, robust external demand, notably from Turkey, fueled exports of bran, which reached 1.8 million tons by 2023. In 2021-2022, production costs were affected by wheat price volatility, while government-imposed quotas on fertilizer exports introduced challenges for the raw material base.

By 2023, unfavorable weather conditions reduced grain harvests, putting pressure on input costs and availability. Despite this, production continued to rise, and high export volumes were maintained, leading to a further decline in domestic market volume. The development of new deep-processing segments for grain, such as modified starches, also emerged, although it did not directly alter the bran market dynamics.

Production wheat bran, sharps and residues in CIS

In kind, 2017-2020, K t

Top producers of wheat bran, sharps and residues, 2017-2020

World map of production of wheat bran, sharps and residues, 2017-2020

After two years of decline, wheat bran, sharps, and residues production in the CIS has rebounded. In 2020, production reached 6 844 K t, marking a 4.5% increase from the previous year. The lowest production level was recorded in 2019 at 6 547 K t, while the largest decline occurred in 2018 with a 1.7% drop.

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

In value, 2017-2020, M $ US

Wheat bran, sharps, and residues production in the CIS has grown for the third consecutive year. In 2020, the output was valued at 1 050 M $ US, reflecting a moderate gain of 8.1% compared to the previous year. From 2017 to 2020, production increased by 24.7%, translating to an annualized growth rate of 7.6%.

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

Exports wheat bran, sharps and residues from CIS

Exports in kind, K t

In 2020, the CIS exported 1 039 K t of wheat bran, sharps, and residues, representing a substantial advance of 11.2% from the previous year. The lowest export volume was recorded in 2019 at 934 K t, which saw the largest decline of 8.3%. Over the period from 2017 to 2020, exports increased by 3%, equating to an annualized rate of 1.0%.

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

From 2017 to 2020, Turkey, China, and Mongolia were the primary destinations for wheat bran, sharps, and residues exports from the CIS, accounting for 77.7% of total exports in kind. Turkey led with 67.9%, followed by China at 7.7%, and Mongolia at 2.1%.

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

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

Exports in value, M $ US

In 2020, the value of exported wheat bran, sharps, and residues from the CIS amounted to 159.3 M $ US, up by 15.0% compared to the previous year. The largest decline was recorded in 2019 with a 2.6% drop. Over the 2017-2020 period, exports increased by 26.5%, with a compound annual growth rate of 8.1%.

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

From 2017 to 2020, Turkey dominated as the main destination for wheat bran, sharps, and residues exports from the CIS in value terms, accounting for 76.1% of total flows. The remaining share was distributed among various smaller markets.

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

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

Imports wheat bran, sharps and residues to CIS

Imports in kind, K t

Wheat bran, sharps, and residues imports into the CIS have declined for the second consecutive year. In 2020, imports totaled 55 K t, which is 33.3% lower than the previous year. The highest import volume was recorded in 2018 at 123 K t, which also saw the largest increase of 67.4%. Between 2017 and 2020, imports decreased by 24.5%, equating to an annualized decline of 8.9%.

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

From 2017 to 2020, Ukraine was the main supplier of wheat bran, sharps, and residues to the CIS, accounting for 9.9% of total imports in kind.

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

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

Imports in value, M $ US

Wheat bran, sharps, and residues imports into the CIS have fallen for the second year in a row. In 2020, imports were valued at 8.7 M $ US, representing a steep decrease of 42.2% compared to 2019. The highest import value was recorded in 2018 at 20.8 M $ US, which also experienced the largest increase of 32.8%. From 2017 to 2020, imports decreased by 44.5%, equating to an annualized decline of 17.8%.

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

From 2017 to 2020, Ukraine, Poland, and Georgia accounted for the largest share of imports in value terms, together comprising 14.4% of total flows. Ukraine led with 12.0%, followed by Poland at 1.5%, and Georgia at 1.0%.

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

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