Despite overall narrowing of Indonesian flour import due to development of internal milling facilities, Ukraine has increased supplies of this products group and thus, Ukraine has overcome its competitors from Turkey and India.

During 2013-2015 Indonesian flour import has declined by 52%. Major suppliers of flour to Indonesia are Turkey, Ukraine or India. Thus, Ukraine has increased export volumes to Indonesia and along with its share in import structure from 5% in 2011 to 32% in 2015 which is accounted in 23 k tons of flour. This year export of wheat flour to Indonesia has reached 9.9 k tons valued in money term at the level of 1.8 M USD.

Role of Indonesia as trade partner of Ukraine on agro commodities market has increased. Thus, during last five years Ukraine has increased significantly export of wheat to Indonesia from 1.1 k tons in 2011 to 973 k tons in 2015, whereas in first half of 2016 Ukrainian suppliers have delivered wheat valued at 124 M USD which is 12.3% of all sold wheat by Ukraine and making Indonesia second most important trade partner on wheat market.

One of the major advantages of trade with Indonesia is low import custom duty on processing grains products: 5% for wheat flour, 5.4% for other grains flour, 5% for cereals, 0% for soybean meal, 2.9% for sunflower meal. Based on recent trends, Indonesia is a perspective market not only for Ukrainian wheat but also for flour which will allow increasing export volumes of products with high added value.

Note. Due to information of the State Fiscal Service of Ukraine, overall volume of wheat flour export from Ukraine has reached 196.4 k tons during first seven months of 2016 which is 71.9% less comparing to the previous year. Nevertheless, in money terms Ukrainian export has increased by 13.6% and reached 40 M USD. Along with, major customers of Ukrainian wheat flour are China, Panama, Libya which aggregated demand accounted for some 42.4% of supplies.