In 2013, winter grain yields on farms of the Luxembourg-based agroholding KSG Agro with assets in Ukraine will exceed the average over several years, the company said on Wednesday when commenting on the forecast in its exchange notice. According to the forecast, winter wheat yield is expected at 4.2 MT/ha, winter rape yield at 2.6 MT/ha and winter barley yield at 3.6 MT/ha. The company points out that, due to adverse weather conditions in 2012, it is incorrect to compare the 2013 yield estimates for early crops with last year’s ones.

Reportedly, KSG Agro planted 45.3 Th ha of winter crops for the 2013 harvest against 30.1 Th ha last year. In particular, winter wheat plantings expanded to 23.8 Th ha from 21.5 Th ha seeded for the current year’s harvest, and rape plantings increased from 1.8 Th ha to 15.3 Th ha, respectively. At the same time, the planted area of winter barley shrank to 6.2 Th ha from last year’s 6.8 Th ha. The vertically integrated holding KSG Аgro produces, stores, processes and sells cereals and oilseeds, vegetables and fruits. The company’s land bank now equals 92 Th ha, and KSG Agro is planning to complete a deal for increasing it to 100 Th ha in the near future.

By late September 2012, the agroholding’s cereal and oilseed storage capacity totaled 120 KMT. In addition, the holding has mills (180 KMT of grain a year), animal feed facilities (100 KMT a year) and sunseed crushing facilities (14.4 KMT a year). In the middle of April 2011, the holding made an IPO on the Warsaw Stock Exchange (WSE), where it placed a 33% stake valued at $39.6 Ml.

In January-September 2012, KSG Аgro’s net profit amounted to $10.455 Ml, or down 42.9% year-over-year, while revenue grew by 55.8% to $18.576 Ml.

UkrAgroConsult