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KSG Agro starts exporting rapeseed, sunflower oil to EU

KYIV. Sept 22 (Interfax-Ukraine) – Agricultural holding KSG Agro has begun exporting sunflower oil to Poland and Italy, and the first batch of 2,000 tonnes of rapeseed has been sent to Slovakia, according to a press release from the agrarian group on Thursday.

"Currently, there are very good conditions for agricultural producers to export to the EU. In fact, there are no taxes (in particular, VAT) and import duties. So, if you solve problems with transportation, establish efficient logistics, you can have a good source of replenishment of foreign exchange income," the agricultural holding quoted its owner Serhiy Kasianov.

According to him, the export of agricultural products to the EU makes it difficult to increase the cost of logistics and increase its time. So, if earlier one delivery to the EU was carried out on average in five or seven days, then in the conditions of the Russian military invasion and queues at border crossings, delivery can last 20-30 days.

Sunflower oil to Poland and Italy will be supplied with the help of flexitanks – polymer containers designed for the transportation of liquid cargo on conventional trucks.

In addition, KSG Agro is currently negotiating with partners regarding the possibility of bottling and refining sunflower oil in the EU countries to quickly increase its exports and sell products ready for consumption.

"We managed to build effective supply chains for export supplies of both grain and high value-added products (vegetable oil) to the markets of the EU countries, despite the blockade of seaports. In 2022-2023, we plan to focus on developing the export of our products to increase foreign exchange earnings. There are all the prerequisites for this, for example, high demand in the EU for grain and the same rapeseed," Kasianov said.