Nibulon Joint Venture LLC invested $22.5 million in the modernization and digitization of agricultural production between 2023 and 2025, including securing EUR12.8 million in long-term financing from the Danish Export and Investment Fund (EIFO), the company’s press service reported.
As part of the modernization, the company upgraded its fleet of agricultural machinery, implemented digital solutions for managing production processes, and adopted a new soil cultivation model, which reduced the number of passes by machinery across the field—a practice that leads to soil compaction—and also lowered fuel consumption and production costs.
The company reported that as a result of the modernization, fuel consumption decreased by 10 liters per hectare, the use of crop protection products was reduced by up to 50%, seed usage was reduced by 10–20%, and nitrogen use efficiency (NUE) increased by 30%.
The report notes that the implemented measures led to a 50% increase in gross yield and a 65% increase in agricultural machinery productivity.
According to published data, the agricultural division’s EBITDA in 2025 amounted to $329/ha. At the same time, approximately 40% of the agricultural holding’s land bank is located in southern Ukraine, which has been hardest hit by climate change following the destruction of the Kakhovka Hydroelectric Power Plant. The financial results also include $4.6 million in losses from sunflower crop failures due to drought.
The company also reported that, as part of its efforts to adapt to climate change, it is reviewing its crop rotation structure and testing alternative drought-resistant crops, including sorghum, chickpeas, lentils, and flax.
In addition, during the 2025/26 marketing year, the agricultural holding launched a pilot project for contract farming of corn and sunflowers on an area of approximately 100 hectares, and is also working with seed material for other specialty crops.
It is also noted that the company is developing an irrigation model for the southern regions of Ukraine, which involves irrigating approximately 1,000 hectares of agricultural land.
Currently, Nibulon’s agricultural division cultivates 52,000 hectares of land, comprises 14 branches across four clusters, and operates 41 units of farm equipment.
Prior to the war, Nibulon Joint Venture LLC cultivated 82,000 hectares of land across 12 regions of Ukraine and exported agricultural products to more than 70 countries worldwide. In 2021, the grain trader exported 5.64 million metric tons of agricultural products—the highest volume in its history. After the war began, the company was forced to relocate its headquarters from Mykolaiv to Kyiv. In addition to 23 grain elevator complexes, Nibulon has its own road and rail transport capabilities, as well as a fleet built at its own shipyard. During wartime, this fleet continues to provide river transport services.
The company is also actively developing its own humanitarian demining unit to restore safety on leased lands and assist Ukraine’s agricultural sector. Nibulon is a certified mine action operator.
AGRICULTURAL PRODUCTION, EIFO, INVESTMENT, MODERNIZATION, NIBULON
Agricultural production in Ukraine increased by 1.7% in January–April 2026 compared to the same period last year, while growth for the first three months stood at 1.2%, according to the State Statistics Service (SSS).
According to the published data, the positive trend was driven exclusively by the livestock sector, as crop production data is not traditionally compiled until June.
The main driver of growth was agricultural enterprises, which increased production volumes by 10.5%. The best performance in this sector over the four-month period was demonstrated by Chernivtsi (+32.2%), Donetsk (30.8%), Zakarpattia (30.0%), and Lviv (29.4%) regions, while a decline in performance was recorded in four regions: Kherson (by 35.4%), Sumy (by 7.6%), Vinnytsia (by 3.6%), and Mykolaiv (by 3%).
In private households, the decline in production remained at the first-quarter level—15.7%. The largest declines in the private sector were observed in Donetsk (67%), Zakarpattia (48.4%), and Ternopil (35.9%) regions.
A slight increase in private households was recorded in only two regions—Kyiv (1.0%) and Odesa (0.1%).
As reported, by the end of 2025, agricultural production in Ukraine had decreased by 6.8% compared to 2024. In January 2026, growth of 3.2% was recorded, but for the period January–February, it slowed to 1.7%.
AGRICULTURAL PRODUCTION, AGRICULTURE, livestock farming, State Statistics Service
The cost of agricultural production in Ukraine could increase by 20% by the end of 2026, which is double previous expectations, said Oleg Khomenko, CEO of the Ukrainian Agribusiness Club (UABC), during the Center for Economic Strategy’s (CES) economic review on Friday.
“The forecast of a 5–10% increase in costs is too optimistic a scenario. In fact, we are preparing for a 20% increase. The main factors are the surge in diesel and gas prices. The latter is critical not only for grain drying but also for fertilizer costs,” he emphasized.
Khomenko explained that farmers began the planting season using reserves from last year, having purchased fuel and fertilizers at old prices. However, to complete field work, they will have to purchase additional resources at high market prices, which will “eat into” the farms’ financial reserves.
The head of the UAC identified the shortage of mineral fertilizers as a separate problem. Due to the war, domestic production has halved—to 1 million tons per year—which has already caused a shortage of ammonium nitrate before the start of the season.
“Less fertilizer is a direct path to lower yields. Right now, the situation is somewhat mitigated by good soil moisture reserves, but if the summer is dry, especially in the south, weather risks will only amplify the impact of cutting corners on technology,” added the association’s CEO.
Touching on the topic of global prices, Khomenko noted that Ukraine, despite its large export volumes, is not a “game-changer.” The domestic costs of Ukrainian farmers do not influence global prices, so it will be difficult for farmers to pass on increased production costs to buyers. In his opinion, countries where governments provide compensation or eliminate excise taxes for farmers, as is practiced in the EU, will have a competitive advantage.
As previously reported, CES analysts predicted that rising logistics and fuel costs could add up to 10% to the final price of food.
Alviva Group, owner of Ukraine’s leading bakery products company Kyivkhlib LLC, harvested 5,419 tons of its first winter wheat and sunflower crop in its pilot season for its agricultural division in 2025, the group’s press service reported on Facebook.
It is recalled that in 2024, it began operations in the Kyiv and Chernihiv regions, where it has 4,000 hectares of agricultural land.
“5,419 tons is the total volume of the first harvest (winter wheat and sunflower). The total area of land that has been restored and recultivated is 1,300 hectares. 204 hectares have been demined and 760 hectares have been cleared of trees to return the land to economic use,” Alviva Group shared its achievements.
Next season, 2025–2026, the company plans to expand its acreage by 26% to 3,510 hectares through demining and recultivation. In addition, Alviva Group’s agricultural division intends to diversify its crop structure and add rye, corn, and rapeseed to its crop rotation.
Alviva Group is an international group of companies in the food technology and services sector. It produces bakery products under the brands Kyivkhlib, Tarta, Tendi, Norden Brod, British Sandwich, Mr Snex, Naturavo, Honey Moon, and Kyivmlyn.
The group exports to 30 countries around the world. Its land bank covers more than 4,000 hectares in the Kyiv and Chernihiv regions.
Conducting agricultural production in Ukraine in January-March this year became more expensive by 30.4%, while the total cost index in crop production increased by 25% compared to the first quarter of 2020, in animal breeding – by 42%.
According to the State Statistics Service, the price index for material and technical resources of industrial origin consumed by agriculture has grown by 25.4% since the beginning of the year compared to the same period in 2020.
According to the agency, in March 2021, the cost of agricultural production in Ukraine increased by 6.9% compared to March 2020, while in crop production by 7.4%, livestock – by 5.6%.
The cost of agricultural production in Ukraine in January-September 2020 decreased by 4.1% compared to the same period in 2019.
According to the State Statistics Service, the cost of crop production in January-September decreased by 6.2%, livestock products by 1.3%, material and technical resources of industrial origin used in agriculture by 10.3%.
At the same time, according to the service, the cost of agricultural production in September increased by 3.9% compared to the previous month. Thus, the cost of crop production grew by 2.9%, livestock products by 6.3%, but at the same time, the cost of material and technical resources grew by 2.3%.
As reported, the cost of agricultural production in Ukraine in 2019 decreased by 0.64% compared to 2018.
