Ukraine war exacerbates shortages of mustard and honey

mustard

There is currently no risk of an acute shortage of mustard, but prices are likely to continue to rise.

(Photo: dpa)

Dusseldorf Honey and mustard are likely to become more expensive in the future due to the war in Ukraine. With an annual volume of around 65,000 tons, the country is one of the largest honey producers in the world. A third of the EU’s imports come from there. For Germany, Ukraine was the most important supplier of honey in 2021 with 13,500 tons, followed by Mexico and Argentina.

With a self-sufficiency rate of 33 percent, Germany is dependent on importing honey. According to the Federal Agency for Agriculture and Food, every German consumes an average of one kilogram per year.

The honey association is alarmed because the war has caused regular truck transports from Ukraine to be interrupted. According to the association, buyers often do without storage. “In general, it is uncertain when and if deliveries can be made again at all.”

“The raw material situation for honey has been very tense for months, there are many reasons for this,” says Susanne Ruther, Head of Marketing at the Munich honey specialist Breitsamer & Ulrich. Honey is a natural product that cannot be produced and multiplied at will. The company assumes that the dramatic developments in Ukraine will further aggravate the situation.

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honey

Germany gets most of its honey imports from Ukraine. The degree of self-sufficiency is one third.

(Photo: dpa)

The prices for the raw material had already risen significantly recently. The reasons are strong demand from the USA, a lack of capacity for ship transport and higher freight rates. “The lack of honey volumes from Ukraine will change prices and temporarily affect the ability to deliver,” expects the honey association. The missing quantities from the Ukraine could not be adequately compensated by other countries in the short term.

Händlmaier throttles mustard production

The supply situation for mustard is similarly tense. Almost 52 percent of German imports of mustard seeds recently came from Russia and almost 28 percent from Ukraine. Already at the beginning of March, the Kulinaria association, which represents other mustard manufacturers, observed a shortage of raw materials. This will get worse – up to complete delivery failures.

Franz Wunderlich, head of Haendlmaier

The entrepreneur is worried: “Currently there are no more mustard seeds to buy on the world market.”

(Photo: Haendlmaier)

There are still inventories in the silos of many manufacturers. “The sowing for mustard would normally have to take place in the next two weeks,” said Kulinaria Managing Director Markus Weck. Because of the war, the focus in Ukraine is certainly more on the cultivation of vital crops.

The German market leader for mustard, Develey from Munich, obtains its mustard seeds from the Ukraine, Canada and Germany, among others. “Due to the crop failure in Canada in 2021, the world market for mustard seed was already very tight,” said the company, which also owns the Löwensenf, Bautz’ner and Reine de Dijon brands.

Develey is a major supplier of McDonald’s mustard and sauces in some 40 countries. There is currently no standstill in production, the company explained, one is capable of production. But the prices have risen significantly. The situation will worsen significantly in the second half of the year.

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The Regensburg mustard manufacturer Händlmaier is already informing trading partners that mustard could become twice as expensive as before. The reason for this is the exploding cost of raw materials, said Managing Director Franz Wunderlich. “And that will surely only be the beginning.”

So far, Händlmaier has imported two thirds of the 10,000 tons of mustard seed required each year from Russia or the Ukraine. Everything has been done to get seeds from Canada, for example, said Wunderlich. But: “Currently there are no more mustard seeds to buy on the world market.” Starting next week, Händlmaier will therefore reduce his mustard production. As a result, the manufacturer could probably remain able to deliver until August.

With agency material

More: Why the Germans hoard oil and flour.

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