Grain Exports Reach $11.9 Billion in 2024

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Grain Exports Reach $11.9 Billion in 2024

The total export of the grain, legumes, oilseeds, and their products sector, which includes basic food products such as wheat flour, pasta, vegetable oils, biscuits, and sugary and chocolate products, has been announced as 11.9 billion dollars for 2024. In this period, the total grain export was realized at 13.5 million tons, with average export prices per kilogram increasing by 3.5% to 0.88 dollars. Due to the wheat import ban implemented from June to October, the share of wheat flour, which saw a 20.9% decrease in exports to 1 billion 159 million dollars, fell to 9.7% of total grain exports. The export of sweet biscuits and wafers reached 973 million dollars, showing a 9.1% increase, ranking second in the overall sector. Iraq emerged as the largest market for grain exports, accounting for over 2.1 billion dollars, followed by the US with 651.6 million dollars and Syria with 517.5 million dollars. This year, Germany, with a 16.7% increase in grain exports, closely followed Algeria, which ranked fourth.

“We believe that the wheat import ban will ease in 2025” Ahmet Tiryakioğlu, Chairman of the TIM Grain Legumes Oilseeds and Products Sector Board, pointed out that the wheat import ban implemented under the Inward Processing Regime was one of the most significant developments that affected the total grain exports in the past year. He evaluated the year as follows: “Our sector, which raised its exports from 1 billion dollars in 2002 to 12 billion dollars over the years, and increased its share in Turkey's total exports from 2.7% to over 5% today, had a year with results below the high performance level we are accustomed to. The strict application of the wheat import ban during the summer and its relaxation to a 15% quota on October 15 led to a decrease in the quantity of our flour exports. As a country that can produce an average of 250 KG of wheat per capita domestically, and has held the top positions in wheat flour exports for the last 11 years, our restrictions have contributed to global wheat prices becoming cheaper. We recently communicated our demands and needs in this area to our Ministry of Agriculture and Forestry, and we expect a relaxation to expand in 2025. We believe that our sector will break a new record this year, achieving over 12.5 billion dollars in exports, with an increase of around 7%.”

“The end of the Russia-Ukraine war could positively affect our trade” Tiryakioğlu emphasized the importance of developments in the Black Sea region, which has become the center of global grain production, for Turkey's agricultural trade: “With President Trump's assumption of office in the US, it is expected that the Russia-Ukraine war will reach a conclusion more quickly and that food trade will be positively affected due to the softening of diplomatic relations. These two countries, which account for a total of 24% of global grain exports, also need our cooperation to open up to foreign markets. With the conclusion of the war, important ports like Odessa, Mariupol, and Sevastopol in the Black Sea and Sea of Azov will become active again. The products from this region, which diverted to alternative routes during the war, will again turn their attention to our country for trade. Turkey will stand out further in regional trade with its increasing logistics investments and its central position in trade with the Middle East and Africa. If the EU and the US start to relax their sanctions against Russia based on the war conditions, we think we will be among the fastest responders to the demand in these countries. Our bulgur promotion project that started in Russia last year continues, and we believe that our investments in communication will yield high returns.”

“Improvements in our agricultural production will become more evident” Pointing out that access to raw materials is as important as domestic exports, Tiryakioğlu expressed their satisfaction with the supportive measures for agricultural production and producers: “We are leaving behind a year in which our Ministry of Agriculture and Forestry made direct support payments exceeding 90 billion TL for the support of agriculture and livestock. We value these supportive measures greatly in this period, where the annual increase in the producer price index for agricultural products approached 50%, as they help producers against negative conditions such as cost increases and price instabilities. In the new year, where support payments are expected to reach 135 billion TL, we might see that improvements in our agricultural production become more evident under conditions of production planning, increasing yield and quality. According to TÜİK data, the production of grain products in 2024 is projected to decrease by 7.5% compared to the previous year, reaching approximately 39 million tons. The decrease in wheat production is estimated at 5.5%, while the decrease in barley is 12%, and in rye, it reaches 15.7%. We predict that 2025 will witness a higher yield thanks to the increase in planting areas and improvements in rainfall, and we expect to achieve the 22 million tons production target in wheat production, which we could not reach in 2024.”