INDICATORS OF THE UKRAINIAN CONFECTIONERY MARKET

Authors

DOI:

https://doi.org/10.56197/2786-5827/2024-3-3-3

Keywords:

modeling, forecasting, market, confectionery, indicators, potential, war

Abstract

Introduction. The Ukrainian confectionery market is a complex and multi-level system of business relations between various Ukrainian business entities. During the last two years, in connection with the armed aggression of the Russian Federation against Ukraine, the Ukrainian confectionery market faced certain difficulties, which negatively affected its development.

Materials and methods. The article was prepared using open and publicly available sources of information, data from the State Statistics Service of Ukraine and the State Customs Service of Ukraine, as well as expert assumptions and calculations were used to analyze general market trends.

Results and discussion. The start of active hostilities in some regions of Ukraine became the main factor in the significant reduction in the volume of confectionery production by almost all national manufacturers (production decreased by 18.8%). At the same time, the main type of confectionery products remains flour products (59.9% in the production structure), while the share of cocoa-rich/chocolate and sugary products is 20.2% and 19.9%, respectively.

The full-scale war led to certain adjustments in the export-oriented commercial plans of Ukrainian confectioners. During 2022, a decrease in the export of sweets by 34.9% in physical terms is noted, despite the fact that the receipts of foreign exchange revenue have halved. The commodity structure of exports in 2022 was as follows: sugar confectionery – 32.0%, flour – 41.1% and cocoa-rich/chocolate – 27.0%.

Despite the presence of developed domestic production of confectionery products in Ukraine, the volume of imported supplies has traditionally been high. In 2022, there is a decrease in imported supplies of confectionery products of all categories by 3.6%, while foreign exchange costs decreased by 12.6%. The main suppliers were the EU and Eastern European countries. During 2022, the total consumption of confectionery in Ukraine decreased by 10.3%. At the same time, the apparent consumption of flour confectionery decreased by 4.3%, cocoa-rich and chocolate confectionery - by 21.7%, and sugar confectionery - by 14.6%.

Conclusion. In recent years, despite the military operations in certain territories of Ukraine, destruction and constant shelling, interruptions in the supply of energy carriers and raw materials, the national confectionery industry as a whole managed to maintain its production potential. The study made it possible to evaluate the main indicators of the Ukrainian confectionery market of all categories, as well as its volumes and trends. There is a fairly high level of competition in the Ukrainian domestic flour, chocolate and sugar confectionery market. A fairly developed level of the production infrastructure of the confectionery market as well as raw materials for their production is also maintained, despite the fact that currently some of the enterprises are destroyed, damaged or under occupation. The transport infrastructure serving the industry is also quite developed, but limited due to the state of war in the country.

References

Ivanov S.V. (2019), Economic recovery and development of countries after armed conflicts and wars: lost opportunities for Ukraine. Economy of Ukraine, no. 1 (686), pp. 75-89, https://doi.org/10.15407/economyukr.2019.01.075

Melnyk T. (2022). State support and business development stimulation in Ukraine during the state of martial law. Economics, Management, and Administration, 2(100), 3-11, https://doi.org/10.26642/ema-2022-2(100)-3-11

Rybalchenko S., Lukianykhina O., Alamanova C., Saienko V., Sunduk T. (2022), Anti-crisis management of banking institutions: current problems and prospects for improvement. Financial and Credit Activity-Problems of Theory and Practice. 5(46), 29-39, https://doi.org/10.55643/fcaptp.5.46.2022.3907

Zhou X.-Y., Lu G., Xu Z., Yan X., Khu S.-T., Yang J., Zhao J. (2023), Influence of Russia-Ukraine War on the Global Energy and Food Security. Resources, Conservation and Recycling, 188, 106657, https://doi.org/10.1016/j.resconrec.2022.106657

Kronikovskyi D. O. (2019), Ukraine’s confectionery industry trends. Efektyvna ekonomika, Vol. 10, http://www.economy.nayka.com.ua/?op=1&z=3460

Bochko O. Yu., Balyk U. O., Karpiy О. P. (2022), Studying the confectionery market: impact of the pandemic and war, The actual problems of regional economy development. Vol. 2, Is. 18, рр. 264-273, https://doi.org/10.15330/apred.2.18.264-273

Kosteniuk Y., Molozh Y. (2020), Current state of the confectionery market of Ukraine: analysis of the development and prospects for introducing a new product. Economiсs and organization of management, 2(38), рр. 156-163, https://doi.org/10.31558/2307-2318.2020.2.13

Smahliuk A. A., Nadtochiiy A. O. (2020), Analysis of the confectionery goods market in Ukraine and the perspectives of its development, International Scientific Journal “Internauka”. Series: “Economic Sciences”, Vol. 2, https://doi.org/10.25313/2520-2294-2020-2-5659

Trofymenko O.O., Zolotoper M.A. (2019), Economic and organizational principles of development of confectionery enterprises in Ukraine, Modern problems of economy and business, vol. 24, рр. 165–171, https://ela.kpi.ua/handle/123456789/46321

Voronin A. (2019), Problems and prospects of development of the confectionery industry of Ukraine, Socio-economic research bulletin, Vol. 2-3 (70-71), pp. 198–207, https://doi.org/10.33987/vsed.2-3(70-71).2019.198-207

Zahrychanska A.V., Holiuk V.Ya (2021), Analysis of the current confectionery market of Ukraine, Actual problems of economy and management, vol. 15, http://ape.fmm.kpi.ua/article/view/226703.

Arkolakis C. (2010), Market Penetration Costs and the New Consumers Margin in International Trade, Journal of Political Economy, Vol. 118, N. 6, pp. 1151–1199, https://doi.org/10.1086/657949

Baldwin R., Harrigan J. (2011), Zeros, Quality, and Space: Trade Theory and Trade Evidence, American Economic Journal: Microeconomics, 3 (2), pp. 60–88, https://doi.org/10.1257/mic.3.2.60

Bernard A. B., Redding S. J., Schott P. K. (2011), Multiproduct Firms and Trade Liberalization, The Quarterly Journal of Economics, Vol. 126, Issue 3, рp. 1271–1318, https://doi.org/10.1093/qje/qjr021

Eckel C., Neary J.P. (2010), Multi–product firms and flexible manufacturing in the global economy, Review of Economic Studies, Vol. 77, Issue 1, pp. 188–217, https://doi.org/10.1111/j.1467–937X.2009.00573.x

Hallak J. C., Sivadasan J. (2013), Product and process productivity: Implications for quality choice and conditional exporter premia, Journal of International Economics, Vol. 91, Issue 1, pp. 53–67, https://doi.org/10.1016/j.jinteco.2013.05.001

Johnson R. C. (2012), Trade and prices with heterogeneous firms, Journal of International Economics, Vol. 86, Issue 1, pp. 43–56, https://doi.org/10.1016/j.jinteco.2011.09.004

Melitz M. J., Ottaviano G. I. P. (2008), Market Size, Trade, and Productivity The Review of Economic Studies, Vol. 75, Issue 1, рp. 295–316, https://doi.org/10.1111/j.1467–937X.2007.00463.x

Venger V., Romanovska N., Chyzhevska M. (2022), Integration of Ukraine to the Global Value Chains, Comparative Economic Research. Central and Eastern Europe, Vol. 25, Number 2, pp. 137–161, https://doi.org/10.18778/1508–2008.25.17

Published

2024-08-30

How to Cite

Venger, V., Romanovska, N., Romanovska, T., Sheiko, O., & Savchenko, I. (2024). INDICATORS OF THE UKRAINIAN CONFECTIONERY MARKET. Scientific Bulletin of International Association of Scientists. Series: Economy, Management, Security, Technologies, 3(3). https://doi.org/10.56197/2786-5827/2024-3-3-3

Issue

Section

Scientific bulletin of the International Association of scientists. Series: Economy, management, security, technologies

Most read articles by the same author(s)