On July 3, 2025, a meeting of the Committee on Finance, Tax and Customs Policy was held, which supported the second reading of amendment No. 90 to draft law No. 13157, which provides for amendments to the Law of Ukraine "On Export (export) duties on seeds of certain oil crops" and offers to establish export duty rates on oil crops: soybeans, crushed or uncrushed - 10%; rapeseed or colza seeds, crushed or uncrushed - 10%.
The UAC emphasizes that the introduction of export duties will result in temporary enrichment of large processors due to falling purchase prices, a gradual reduction in soybean and rapeseed acreage, and a reorientation of producers toward exporting independently or through cooperatives. This will also lead to a physical shortage of raw materials—processing capacity will exceed production—and to overall losses for the country due to inefficient use of resources, which experts estimate will amount to UAH 9.3 billion for soybeans and UAH 7.7 billion for rapeseed.
"The attempt to reimpose export duties is a blow to farmers, especially small and medium-sized ones. Ukraine must maintain competitiveness, not destroy it with its own hands. In 2017, we already went down this path when the Verkhovna Rada adopted amendments to the Tax Code, providing VAT refunds on exports of soybeans and rapeseed for companies that are not direct producers. In effect, measures equivalent to 20% export duties were introduced, with an exception for large agricultural companies that were able to export independently. These legislative changes led to a 34% reduction in soybean acreage from 1.99 million hectares (2017) to 1.32 million hectares (2021). According to experts, farmers' losses amounted to USD110 million per year," commented Andrii Dykun, Chairman of the Ukrainian Agri Council.
In May 2020, Ukrainian President Volodymyr Zelenskyi signed Law No. 466-IX, which abolished the “soybean amendments” and restored equal conditions for all soybean and rapeseed exporters. After the abolition of the “soybean amendments,” the acreage, production volumes, and processing volumes of soybeans and rapeseed began to grow simultaneously.
"Despite past experience, parliamentarians are once again returning to discriminatory amendments that directly violate Ukraine's obligations under the Association Agreement with the EU, creating the possibility of the European Union imposing retaliatory duties on imports of vegetable oils from Ukraine, which would be a disaster for the industry," the UAC Chairman emphasized.
The UAC calls on Deputies to make a balanced decision that will protect the industry from losses and prevent the decline of communities that support small and medium-sized farmers: creating jobs, paying local taxes, supporting village infrastructure, and the Armed Forces of Ukraine in all hot spots.
Tuesday, 8 July 2025