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06.07.2016

Growing export of Ukrainian grain

Good outlook for Ukraine's agriculture

The International Fair of Agricultural Techniques Euro-Agro in Lviv; Targi Kielce's joint-venture in cooperation with the Ukrainian partner - GalExpo is a golden opportunity to exchange experiences and establish international cooperation.
The International Fair of Agricultural Techniques Euro-Agro in Lviv; Targi Kielce's
joint-venture in cooperation with the Ukrainian partner - GalExpo is a golden opportunity
to exchange experiences and establish international cooperation.

Nearly 70 percent of the Ukraine's arable lands are chernozem, up to six-meters deep. Coupled with crops-friendly climate, this makes Ukraine the country of high agricultural potentials. According to agravery.com agricultural portal, Ukraine with its resources may produce up to 80 million tons of grain a year . However, if Ukraine wishes to exploit its soil and climate potentials, the whole sector requires a thorough modernisation.   The Ukrainian government has already launched the strategy for agriculture and rural development for the years 2015-2020. Therefore the agricultural technology exhibition organised by Targi Kielce and GalExpo and presence of Polish companies at the expo provide good prospects for business development and international cooperation.

The Ministry of Ministry of Agrarian Policy and Food of Ukraine in its recent reports informs that export of agricultural products from the country on the Dnieper has reached a record-breaking value this year and exceeded last year's results by almost 5 million tons. 2015/2016 has been in line with the expert forecasts - export has exceed 39 million tonnes and amounted to 39, 415 million tons. Ukraine is one of the key grain suppliers for Mediterranean countries - Spain, Italy, Morocco, Egypt, Tunisia.

 

Farming in line with European standards - development investments

The Ukrainian government has already launched the strategy for agriculture development. The 10 strategic areas have been delineated, which require necessary changes. The objective, i.e. productivity increase in this sector is strongly associated with the necessary financial outlays.  These areas encompass farms equipment upgrading, introduction of new technologies for crops production and processing. The exports growth which has been observed is not synonymous with increased crops productivity. Rich and fertile soils have been grossly neglected. In order to secure rational control over grain supply to the world's markets, it is necessary to enhance technical facilities, implement new machines, modernise and develop irrigation systems and expand storage capacity. The latter is the greatest impediment.

In order to meet the demand, the government intends to introduce low-interest loans. Farms can use the money to purchase modern equipment. In many regions of Ukraine individual plans designed to support agro-industry have been developed. The overriding goal are: to achieve a 10 percent increase in Ukraine's agricultural production in 5-year period;  adapt Ukraine's agricultural sector to EU requirements and standards.

 

Prospering for cooperation partners 

Such changes induce opening of Ukrainian markets; not only does it signify export but also imports. Modern equipment and technologies will be in demand. The government also provides incentives to invest in Ukraine's agri-food sector.

Targi Kielce - an experienced organizer of AGROTECH agricultural fair - the biggest indoor agricultural technology expo in conjunction with GalExpo invite you to join the agricultural technology expo Euroagro in Lviv. The event is held from 17 to 19 November.  Polish companies will find the expo an outstanding opportunity to enter into lucrative contracts and supply new equipment to one of Europe's  largest agricultural markets.


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