We should not restrict the export of agricultural products, but on the contrary - to take measures to increase the volume of exported goods, and to delay the introduction of the land market at least until the beginning of 2021, - in this address the Ukrainian Agri Council called to the President and Prime Minister.

The appeal emphasizes that today small and medium-sized agricultural enterprises face one of the most serious challenges in decades:

"The working capital of the agrarians is depreciated due to the devaluation of the hryvnia, inventory - due to the fall in commodity markets of agricultural products, banks are tightening credit policy, expecting an increase in the number of defaults. All this threatens to disrupt the successful sowing campaign in Ukraine."

That is why, agrarians are convinced, today the government should give a clear signal to the agricultural producers that all possible measures will be taken to support the agrarian sector.

"The government should ensure uninterrupted shipment through ports, as well as the ability of the Agrarian Fund to financial interventions to buy back surplus agricultural products from the domestic market, as well as to stimulate export through export credits. The announced restriction on the export of agricultural products can only lead to a flourishing of corruption, falling purchase prices, robbery of agrarians and enrichment of dealers who are allowed to allocate quotas. This is exactly what agrarians encountered when the Yanukovych regime introduced export quotas in 2010, "the statement reads.

Given the current situation when Ukraine and the world are on the cusp of an economic crisis, it is clear that the issue of land market implementation needs more consideration. It is clear that access to credit will be sharply restricted for small and medium-sized farmers, and the cost of credit itself will increase.

"That is why we urge the Government to initiate the postponement of the land market introduction at least to early 2021,  at a time when the Government will be able to fully assess the magnitude and impact of the economic crisis and the COVID-19 pandemic for the economy, the financial sector and the country's budget, "the note said.

 

 

 

 

 

 

 

 

Thursday, 19 March 2020

 

SaveUA_eng

Partners