On behalf of its members - the Ukrainian Agrarian Forum (the Ukrainian Agricultural Council (UAC), the Agrarian Union of Ukraine, the Ukrainian Agribusiness Club, the Ukrainian Agrarian Confederation and the Ukrainian Association of Village and Settlement Councils) have sent an official request for the President of Ukraine Petro Poroshenko to sign bill No. 7403-d as soon as possible. This bill abolishes the non-reimbursement of VAT when exporting soybeans and rapeseed to producers who independently supply these crops abroad.

"For domestic farmers, the adoption  of the bill number 7403-d is an intermediate result of a long struggle for fair rules of the game. In case of vetoing this bill and the lack of a budget reimbursement of VAT when exporting soybeans and rape, farmers will be harmed. This will lead to a fall in purchasing prices for crop data by an average of 16.7% and, as a result, will make their cultivation unprofitable. It will also contribute to the growth of profits of large soybean and rapeseed companies that are owned by the richest Ukrainians and transnational companies," the report said.

Agrarian associations reported that there is already a decrease in sowing area in Ukraine, and according to preliminary forecasts, the reduction will amount to about 10%. According to the Ministry of Agrarian Policy, as of May 23, only 83% of previously allocated sites were laid by the Union, which significantly coincides with last year.

The appeal notes that in the absence of VAT refunds for exports, a number of companies, entrepreneurships and farmers will be forced next year to reduce the area of ​​agricultural crops for soybeans and rape. Associations point out that the reduction in the area of ​​harvest this year is not so significant as most farmers began to prepare soybeans in autumn. If they changed the structure of crops, they would suffer additional losses (about 800 - 1350 UAH/Ha).

In addition, the abolition of VAT reimbursement for the export of oilseeds is a gross violation of the commitments made by Ukraine at the time of its accession to the WTO and the signing of the Association Agreements with the European Union.

Recall that on May 22, 249 deputies voted for the adoption of the bill number 7403-d with a minimum of 226 votes. However, the return of VAT refunds to exporters only, as foreseen by draft law No. 7403-d, is only a partial solution to the "issue of oil", since small farmers can not make large batches of soy for export.

Deputies also considered draft law No. 7403-2, on adoption of which agrarians insisted. In this draft law they asked to abolish discriminatory changes and return export refunds to all oil producers. It was supported by 15 regional councils, international organizations, leading industry experts. But, in the end, only 110 deputies voted for its adoption.

In order to restore justice and protect the rights of small agricultural producers, when the president signed the adopted bill No. 7403-d, and its norms will be included in the Tax Code, the UAC will draft a bill according to which small farmers will be able to integrate into cooperatives and export oil through these objects, receiving VAT refunds.