Ukrainian producers continue to suffer from losses and the war, while European farmers put up logistical obstacles for Ukrainian goods. Denys Marchuk, the UAC Deputy Chairman, explained what was the biggest problem of the agricultural sector today, export problems or the land issue.
"It is no coincidence that European farmers started protests against Ukrainian agricultural products not in 2022, but in 2023. Because at the beginning of the war, the price peak was extremely high, European farmers received excessive profits, because then prices rose enormously. But now, global agricultural prices are returning to pre-war levels, and Ukraine has become the third party to be blamed. Along with the export issue, the land issue is no less important for us today. Because, unfortunately, there is no dialog with the authorities. January 1 has come, but we have not seen any progress. Although on the eve of the new year, a petition to the President to postpone the increase in land limits, initiated by the UAC, gathered more than 25,000 votes. The President instructed the Prime Minister to take action. We expected the executive branch of Ukraine to engage in a dialogue with the legislature, to which industry associations would be invited, but this did not happen," said the UAC Deputy Chairman Denys Marchuk.
Ukrainian producers continue to suffer significant losses during the war and are unable to buy agricultural land.
"Our arguments against raising the limits on the sale of agricultural land are more than clear. The country is at war, there are no decent prices for agricultural products, a significant territory is occupied or farms are destroyed. The total direct and indirect losses of commodity producers amount to more than USD40 billion. In 2203, losses reached USD3 billion in the absence of normal selling prices. Farmers who are not at war are supporting united territorial communities and helping the Armed Forces of Ukraine. In such circumstances, Ukraine should not sell its land, but rather concentrate its efforts. Meanwhile, while some of them are at war, "a field of miracles" is being organized in the country by another ones – 10,000 hectares of land are being sold. Military farmers are outraged that large plots of land are being sold. We are losing the desire of these people to protect the land. It is very important for the agricultural sector to keep the current limits of 100 hectares per person," Denys Marchuk emphasized.
In the EU, there are significant restrictions on the agricultural land market.
"We see the example of the Poles and Lithuanians who sell a maximum of 500 hectares of farmland to one enterprise. Ukraine has created the way that it will become part of the EU. If so, then by allowing the sale of large plots of land, we are creating an additional burden on European farmers. They are already complaining about the dominance of Ukrainian products, and this is only when it comes to small and medium-sized businesses. Imagine that in the next 2-4 years, a powerful cluster of large latifundia will be formed in Ukraine, which will be much more intense in their efforts to dominate at the European market, and thus small and medium-sized farmers in Europe will suffer even more. I believe that the dialog on the land issue in Ukraine, namely the increase in land sales limits, is not yet complete," summarized the UAC Deputy Chairman.
Wednesday, 31 January 2024