Ukraine last year exported, according to preliminary data, agricultural products worth at least $20 billion, which is about half as much as in 2021, Ukrainian Minister of Agrarian Policy and Food Nikolay Solsky said on the air of the national telethon on Wednesday.
He also stressed that this is still a very significant amount, especially taking into account the Russian Federation’s aggression and other circumstances under which Ukraine has performed external deliveries.
Solsky noted that in 2021 most of the foreign exchange earnings went to the Ukrainian agribusiness sector, while in 2022, infrastructure and logistics companies, including foreign ones, received a significant portion of the margin from crop exports.
“The ships that go with Ukrainian grain, insurance services and everything else, because of military risks and the conditions in which we live, have gone up significantly. But it is still the No. 1 item in foreign exchange earnings of the country, and there is a good chance that next year the situation will be similar,” the minister stressed in a video interview.
As reported, according to preliminary data Deputy Minister of Economy – Trade Representative of Ukraine Taras Kachka last year Ukraine exported 99.8 million tons of products and goods of all kinds totaling $ 44.1 billion, which is respectively 38.4% and 35% less than in 2021.
Most of the revenue was received from the export of agricultural products – corn at $5.94 billion (+1% compared to 2021), sunflower oil at $5.46 billion (- 14.4%), wheat – $2.6 billion (-44.7%), rapeseed – $1.54 billion (-8.6%), sunflower seeds – $1.26 billion (33 times growth), soybean – $862 million (+43%), poultry – $852 million (+19%).
According to the preliminary results of the implementation of the state program of financial support for activities in the agro-industrial complex by reducing the cost of loans in 2020, almost UAH 1.05 billion out of UAH 1.2 billion planned for 2020 was compensated to agrarians, the Ministry of Economic Development, Trade and Agriculture said in a statement, published on its website on Tuesday.
“This year, under the program on reducing the cost of loans in the agricultural sector, UAH 24.8 billion were attracted. During the reporting period, more than 4,200 agricultural enterprises took advantage of the program. Due to this additional funding, they were able to update lines for the production and processing of agricultural products, build storages for vegetables, fruits and berries, and cover other production costs,” Minister of Economic Development, Trade and Agriculture Ihor Petrashko said.
According to the ministry, the top five regions in terms of loan compensation included Odesa (UAH 91.6 million), Kharkiv (UAH 71 million), Ternopil (UAH 68.9 million), Vinnytsia (UAH 66.5 million) and Cherkasy (UAH 65.4 million).
The Economy Ministry said that in October this year, the parliament adopted in the second reading bill No. 3295, which allows farmers to receive partial compensation for loans raised to replenish working capital. In pursuance of this law, the Economy Ministry is preparing appropriate amendments in the procedure for the use of funds (resolution of the Cabinet of Ministers No. 300).
As reported, under the budget program of financial support for agricultural producers in the direction of financial support for activities in the agro-industrial complex by reducing the cost of loans in 2020, some UAH 1.2 billion are provided.
Of the total number of authorized banks that signed a memorandum on general principles of cooperation with the Economy Ministry (36 banks), some 33 banks participate in providing compensation for loans.
The Ministry for Development of Economy, Trade and Agriculture of Ukraine allocated UAH 762 million of partial compensation for loan interest to agricultural producers out of UAH 1.2 billion, the amount of state support planned for these needs in 2020.
According to a report on the ministry’s website, the total amount of loans attracted by agro-industrial complex exceeded UAH 74 billion, of which soft loans (subject to compensation) are UAH 17.6 billion, including the types of loans: short-term 45.8%, medium-term 24,5%, long-term 29.7%; and the types of activities of borrowers: livestock industry 17.1%, and other industries 82.9%.
The average interest rates of banks, at which the subjects of the agro-industrial complex attracted loans, amounted to 14-16% per annum.
As reported, under the budget program of financial support for agricultural producers in the direction of financial support for activities in the agro-industrial complex by reducing the cost of loans in 2020, some UAH 1.2 billion are provided. For the period of January-September, 63.5% of the planned was actually used.
Of the total number of authorized banks that signed a memorandum on general principles of cooperation with the Ministry of Economy (34 banks), 32 banks participate in providing compensation for loans.
Ukrainian agrarians as of November 5 had sowed 7 million hectares with winter grains with the projected area being 7.2 million hectares for the 2019 harvest.
According to a report on the website of the Ministry of Agrarian Policy and Food, 6 million hectares of the area were sown with winter wheat, with the forecast being 6.2 million hectares, 120,000 hectares with rye with the forecast standing at 150,000 hectare, and 870,000 hectares with winter barley with the forecast being 870,000 hectares.
In addition, one million hectares were sown with winter rapeseeds, with a forecast of 890,000 hectares.
“We are reaching the projected result of 7.2 million hectares under winter crops for grain. As of November 5, about 150,000 hectares more were sown than on the same date last year,” First Deputy Minister of Agrarian Policy and Food Maksym Martyniuk said on Facebook.
According to him, the work was carried out within the best terms, the level of soil moisture was sufficient both for sowing and to ensure the best conditions for growth and development.
“The availability of material and technical resources was at the level or above the need. The availability of mineral fertilizers for the autumn field work amounted to 776,000 tonnes or 108% of the application, in particular phosphate fertilizers amounted to 207,000 tonnes (109% of the need),” Martyniuk reported.
