About the most important agrarian industry problem questions the UAC Chairman Andriy Dykun told us during the online-meeting “Land reform in Ukraine: does the Government led by Zelenskyi do everything right?”. It was organized by The Royal Institute of International Affairs Chatham House, London.

One of these questions is a problem about illegal soil tillage:

“Nowadays, there are 3 types of soil tillage financing: agriholding, small and medium agrarian enterprises, and farmers who work illegal. Unfortunately, up to 50% of agriculture lands today are tilling without paying taxes, it means they do this illegally. Enterprises, (which work legal) have to pay in general 120-150 EUR for 1 hectare. So, it’s important now to pass a draft law №3131, because it obliges every agrarian of Ukraine to pay taxes.” – Andrii Dykun mentions.

At the same time, looking at the employment level in the enterprises, this level is the biggest in the medium agrarian companies, who till up to 10 thousand hectares.

“Ukrainian agriculture industry doesn’t have such subsidy rates as farmers have in Europe. So, we need a new business model, which stipulates more public employment and more taxes. Only enterprises with a total land bank  of 8-10 thousand hectares (medium one) can be the most effective. They need to be developed.” – the UAC Chairman says.

Also, among agriculture industry, relevant issues is logistic question and problem of grain saving, that need to be solved. Another topic is Ukrainian climate changing, that is why we need to use irrigation system in large areas.