For the fourth year of the war, Ukrainian farmers in the frontline regions continue to produce goods despite daily shelling. At the same time, they have to deal not only with the consequences of Russian aggression, but also with internal bureaucratic difficulties. This was stated by Denys Marchuk, Deputy Chairman of the Ukrainian Agri Council, during the telethon of the United News.
One of the current problems is the abolition of the discount on grain transportation for the frontline areas previously provided by Ukrzaliznytsia.
"During the year, the UAC has worked to reduce the rate by 30%, and we succeeded. However, in April, the discount was completely canceled. Now we are fighting for the Ministry of Agrarian Policy, the Ministry of Economy and the government as a whole to work out the possibility of introducing subsidies per hectare to compensate producers for losses due to higher logistics costs," explained the UAC Deputy Chairman.
Another important initiative that the UAC is working on is to promptly update the list of settlements that belong to the red zone. This affects the tax burden, access to financing and preferential terms.
"Businesses in Donetsk region operate under fire, sometimes even under evacuation, but not all areas are officially designated as red zones. As a result, they cannot claim tax benefits like companies in safer regions. To change the situation, the status of such territories should be promptly reviewed," said Denys Marchuk.
The UAC also insists on introducing a mechanism of risk insurance in the frontline areas at the expense of the state.
"Today we are talking about the possibility of introducing state insurance of risks, such as the destruction of products or the inability to sell them. This would allow producers to count on compensation. There is state insurance in Ukraine, but it covers only export-oriented groups of goods. This is unfair for farmers working, for example, in Kharkiv region, where farms and elevators are constantly destroyed by shelling, and losses of enterprises amount to millions of euros," emphasized Denys Marchuk.
The UAC pays special attention to the draft law No.12148, which has already been passed by the Verkhovna Rada and is now awaiting the President's signature. The law provides for the suspending of loan payments for farmers from the temporarily occupied and frontline territories until the end of the war and for another year after that.
"This law is critically important for farmers who find themselves in an extremely difficult situation - without the ability to work, without a stable income and without property to pledge. In the current environment, banks not only refuse to cooperate with such borrowers, but often initiate foreclosure and take away their property. The adoption of the law will create a protection mechanism for these producers and give them a real chance to survive. The UAC is looking forward to the President's signature. The deadline has already passed. We understand that the head of state has a lot to do, but this is a very important issue," emphasized Denys Marchuk.
The UAC is actively cooperating with MPs, the Ministry of Agrarian Policy and the President's Office to speed up the process of signing the draft law No. 12148.
Monday, 19 May 2025