Today, one of the main problems of farmers is the lack of working capital. This problem is the most acute in the de-occupied territories of the south. With the start of the autumn sowing campaign, the situation will worsen.

"Speaking about the problems of the agricultural sector, today we should focus on the lack of working capital among farmers. Commodity producers grew crops with certain expectations of exporting and selling them at market prices. However, the blockade on the Black Sea and uncertainty about alternative routes, when there is a ban on imports through the western borders, have made logistics much more difficult. Accordingly, farmers are suffering enormous losses today," emphasized the UAC Deputy Chairman Denys Marchuk.

The state of the agricultural sector is particularly critical in the south of the country, in the de-occupied territories, particularly in Kherson and Mykolaiv regions, because these regions are virtually unable to get loans today.

"Farmers in the southern regions are in a situation where they have no material assets that can be used as collateral, meaning that bank loans are not available to them. They need financial support. A new fall campaign for sowing winter crops will start soon, and they will need funds for sowing. The UAC helps farmers with fertilizers and seeds, raises funds on an interest-free basis: farmers support their colleagues from the southern regions so that people can work. Therefore, financing is one of the issues on the agenda for producers," added Denys Marchuk.

The Ukrainian Agri Council has already provided winter crops to about 20 enterprises in Kherson, Mykolaiv, and Kharkiv regions, with a total of over a thousand tons of wheat and barley.

Wednesday, 9 August 2023

 

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