Kyrgyzstan could resume export of sugar in small volumes when the sugar beet harvest arrives at the factories. The Minister of Agriculture Askarbek Dzhanybekov announced on the air.
According to him, the country’s need for the product for this year is provided.
«Let me remind you that we received quotas from third countries for duty-free imports and imported about 105,000 tons of sugar. Now we are forced to make a decision on the partial opening of borders for exports, because the volume dominates in the market. After all, from October 1, we will start harvesting sugar beets. In this situation, we need to look not only at the counter, but also at the interests of our farmers and processors,» Askarbek Dzhanybekov said.
Based on his words, it can be assumed that the promised reduction in prices for the product will not happen.
According to the National Statistical Committee, the average cost of a kilogram of sugar at the end of August was 98 soms, which is half as much as in August 2021. Then the average price in the republic was at the level of 65 soms. Since the beginning of 2022, the cost has increased by more than a third (38 percent).
In mid-spring, beet sugar stocks were exhausted in Kyrgyzstan. Then the product began to be produced from raw sugar. It was imported from Brazil. Due to the difficulties with logistics, price of sugar sharply increased.
At that time, two of the three existing plants could process the raw material: Koshoi in Chui region and Talas sugar factory. The third company Kaindy-Kant had to take two loans totaling $13.9 million to launch a new production line. This was one of the first prerequisites for the fact that the price of the product would not go down, because the large manufacturer has large financial obligations.
The minister, speaking about the protection of the interests of farmers and processors, may have had this in mind. At the same time, he announced the possibility of extending the ban on the export of a number of vital products until the end of the year, including eggs, corn, sugar and oil.
