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The Ukrainian agricultural holding company Kernel has reported a significant 48% decline in its edible oil sales during the July-September 2026 period. This downturn is primarily attributed to severe shipping disruptions caused by targeted attacks on Black Sea ports, which have hindered the group's primary export routes.
During the same timeframe, the company's grain exports plummeted by 54% to 574,000 tonnes. In response to the maritime challenges, Kernel has been forced to adapt its logistics strategy, redirecting a portion of its shipments through the Danube river ports and across Ukraine's western land borders. Additionally, transshipment volumes through the group’s dedicated export terminals fell by 59% to 742,000 tonnes.
Despite the logistical strain, the company's industrial processing segment remained resilient. Oilseed processing volumes were largely unchanged year-on-year, standing at 564,000 tonnes. Sunflower seeds represented 59% of the total processing volume, with the remainder consisting of soybeans and rapeseed.
However, compared to the previous quarter, processing volumes were 13% lower due to a pre-scheduled, month-long maintenance shutdown of facilities ahead of the new harvesting season. The quarter-on-quarter data reveals a sharp contraction, with oil sales falling by 52% and grain exports dropping by 71%.
This operational crisis follows the suspension of activities at Kernel’s Chornomorsk terminals in July 2026. The infrastructure sustained considerable damage during the attacks, which impacted vital equipment, electrical networks, grain silos, and edible oil storage tanks.
Source: Українська правда