The establishment of the first Ukrainian agri-hub in Ghana is a positive step toward expanding Ukraine’s presence in the African market, however, to establish a foothold in the region, Ukraine must engage international financial institutions as guarantors of security and transition from exporting raw materials to supplying value-added products, stated Leonid Kozachenko, President of the Ukrainian Agrarian Confederation (UAC).
“Africa is a complex region, but at the same time, it is the continent that suffers most from food shortages in the world. Ukraine produces five times more food than it consumes itself. Therefore, expanding our presence in the African market means both saving lives and opening up enormous economic prospects,” he said on Ukrainian Radio.
According to him, previous attempts by Ukrainian businesses to invest in production in Africa or to independently supply grain often resulted in financial losses and incidents of piracy due to political instability. To minimize such risks, Kozachenko proposes involving UN agencies, particularly the FAO, and global financial institutions that can act as intermediaries and guarantors of trade transactions.
Currently, Ukrainian goods account for less than 5% of total imports to African countries. To increase volumes, the expert advises drawing on the experience of Turkey and the UAE, which supply the continent not with raw materials but with finished products—flour, pasta, and grains.
According to Kozachenko, the state’s strategic goal should be to attract approximately $85–90 billion in investments over the next 10 years specifically for domestic processing. This would allow annual agricultural exports to increase from the current $27 billion to over $120 billion.
When assessing potential locations for a hub, the head of the UAC noted that West Africa is a challenging region due to internal conflicts. He considers North Africa, particularly Morocco, to be a more promising destination for logistics centers, as it has a more stable economy and opportunities for further distribution of products across the continent.
