KYIV. July 20 (Interfax-Ukraine) – Ukraine’s Cabinet of Ministers has expanded a list of banks, which can pay compensations for the cost of agricultural machinery to farmers. 75% and more shares in these banks belong to the state.
According to the decision made by the government on Wednesday, agricultural producers will be able to receive partial compensation for the cost of agricultural machinery and equipment made in Ukraine not only at the fully state-owned banks, but also at the banks where the state holds 75% and more shares.
As reported, farmers, starting from 2017, will receive partial compensation for agricultural machinery in the amount of 20% of its cost if the production localization level for sophisticated machinery in Ukraine exceeds 35%. UAH 550 million was allocated for these purposes in 2017, and in 2018 the government support under this program could expand to UAH 1 billion.
A list of 40 enterprises which machinery can be bought with compensation of 20% of its cost by the state has been posted on the website of the Economic Development and Trade Ministry.
KYIV. July 20 (Interfax-Ukraine) – Ukraine’s Cabinet of Ministers has approved a concept for development of rural areas, the implementation of which would improve the quality of life and welfare of rural residents.
According to the decision made at a meeting on Wednesday, the concept will help to implement measures aimed at reforming the rural areas development governance system, stirring up proactivity and responsibility of rural territorial communities in the regions and increasing employment rate in rural areas.
The government will provide support to residents who decide to build houses in rural areas, develop healthcare center network and improve medical care, draw up and approve local sports development programs, regional cultural and historic heritage maintenance and restoration programs and ensure their financing, restart and modernize engineer networks and water purification facilities.
The action plan will be implemented using national and local budgets funds.
Central and local executive power agencies are to inform the Agricultural Policy and Food Ministry every year before April 1 on the implementation of the plan. Generalized information is to be submitted to the government by April 15.
KYIV. July 19 (Interfax-Ukraine) – Ukrainian lawmaker Maksym Mykytas (not a member of any parliamentary faction) has proposed to the Verkhovna Rada to approve the procedure for duplication of land auctions on the electronic platform and allow bidders to take part in online auctions.
The bill amending the Land Code of Ukraine was registered on July 14, 2017.
“The bill proposes amending Chapter 21 of the Land Code of Ukraine, envisaging the duplication of the auctions in the electronic land trading platform and the possibility of taking part in the auctions online,” the explanatory note to the bill said.
The author of the document believes that the absence of the online trading create conditions for corruption and restricts competition among bidders.
The lawmaker also registered a bill proposing the publication of announcements on the start of land auctions not only on the official website of the central executive power agencies, but also on websites of local self-government agencies and the executive agency of the administrative and territorial unit where the land parcel is located.
He said that this would allow raising public awareness about land auctions.
KYIV. July 19 (Interfax-Ukraine) – Ukrainian Prime Minister Volodymyr Groysman at a government meeting on Wednesday said that a new targeted program to support farms could be launched.
“Financial support of agriculture via cheapening of loans [in the amount of UAH 300 million] is not enough, but this step was right. We plan to approve a new program to support farms in August. This would allow developing agriculture in the small and medium segments and in the micro business segment,” he said.
Groysman added that in 2017, agricultural producers would be able to receive partial compensation for purchase of agricultural machinery in the amount of 20% of its cost if the production localization level for sophisticated machinery in Ukraine exceeds 35%. UAH 550 million was allocated for these purposes in 2017, and in 2018 the government support under this program could expand to UAH 1 billion.
The prime minister said that in January-March 2017 capital investment in agriculture grew by 60%, to UAH 10.9 billion. In January-May exports of agricultural products rose by 31.4%, to $7.5 billion.
He said that agriculture accounts for 12% of Ukrainian GDP, with processing it is almost 17%, but the potential of the sector remains huge.
