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PANKOBİRLİK Expects 2.8 Million Tons of Sugar Production

· Pankobirlik

PANKOBİRLİK Expects 2.8 Million Tons of Sugar Production

PANKOBİRLİK Chairman Ramazan Erkoyuncu announced that 2.8 million tons of sugar are expected from 21 million tons of sugar beet this season, and that carryover stocks are creating a surplus.

Beet and Sugar Production Expectations

According to statements by Ramazan Erkoyuncu, Chairman of the Union of Agricultural Cooperatives (PANKOBİRLİK), sugar beet production and sugar yield across Turkey have followed a positive trend throughout the season. PANKOBİRLİK Chairman Ramazan Erkoyuncu stated that the polar values, reflecting the sugar content in beets, have maintained their high levels from last year and expressed his expectations for the sector with the following words:

PANKOBİRLİK Expects 2.8 Million Tons of Sugar Production

"Overall, we can say it has been a good year, a good season. Approximately 21 million tons of sugar beet are expected to be produced. From this, about 2 million 800 thousand tons of sugar are expected. Consequently, over 500,000 tons of sugar stock are being carried over from last year to this year. This will again create a surplus in the supply-demand balance."

Surplus and Foreign Trade Balance

According to PANKOBİRLİK data, Turkey's annual sugar consumption is around 3 million tons. Ramazan Erkoyuncu stated that consumption and production are close to each other, and that the market is experiencing a surplus due to over 500,000 tons of stock carried over from previous seasons. Touching upon the import exemption under the inward processing regime, PANKOBİRLİK Chairman Ramazan Erkoyuncu described the developments in the foreign trade process as follows:

PANKOBİRLİK Expects 2.8 Million Tons of Sugar Production

"That has been lifted. So, those who produce sugar have made a commitment. We, the sugar producers, have committed to meeting all the figures arising from the right to import from abroad. No sugar is entering Turkey from abroad. We will meet all of it. Therefore, we are not spending any money abroad for sugar. Perhaps this year, due to our sugar surplus, we are in a position to export a bit more at an export price, not at the domestic market price, for the quantity to be sold in the domestic market, which is quota A rather than quota C. Perhaps this is a first in its history."

Producer Support and Quota Applications

Ramazan Erkoyuncu, who is also the Chairman of the Board of Directors of the Konya Beet Growers' Cooperative, stated that 17% of Turkey's annual sugar need is met by the cooperative. Touching upon the applications for producers within Konya Şeker, Erkoyuncu stated that all the pulp obtained from the beets delivered by the farmers is given to the producer. Expressing that the institution considers producer costs and field conditions, Erkoyuncu shared with the public that the previously mandatory seed requirement has been terminated and new regulations have been introduced in favor of the producer regarding beet quotas.

Factory Capacity Increase and Exports

Ramazan Erkoyuncu stated that they aim to shorten the campaign period by increasing the beet processing capacity, thus aiming to minimize sugar loss. He provided information that as a result of the investments made, the daily total beet processing capacity of the Konya and Çumra factories has been increased from 26,000 tons to 32,000 tons, and announced that the company's domestic market sales quota is 454,000 tons. Erkoyuncu emphasized that the surplus production exceeding the quota should be exported or the sugar needs of manufacturers and exporters should be met domestically.

Sugar Sector and Facility Capacity Data

Source: PANKOBİRLİK, Konya Pancar Ekicileri Kooperatifi, Konya Şeker

Carried Over Sugar Stock
500 thousand tonnes
Old Beet Processing Capacity
26 thousand tonnes
New Beet Processing Capacity
32 thousand tonnes
Domestic Market Sales Quota
454 thousand tonnes

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