Agriculture

The agricultural sector of Ukraine, the basic component of which is agriculture, acts as a system-forming component of the national economy, forms food and economic, environmental and energy security within the defined boundaries, ensures the development of technologically related sectors of the national economy and creates social and economic conditions for rural development. According to the World Bank in Ukraine, the land allotted for agriculture is 71.2% of the entire territory. A mild climate and highly productive land resources are determinants that define favorable conditions for agriculture. The agro-industrial complex provides about 16% of jobs, is one of the main budget-forming, export-oriented sectors of the economy, part of which in the consolidated budget of Ukraine in recent years has averaged 20%, forms about 10% of GDP and about 30% of goods exports.

According to U.S. Geological Survey Ukraine has 32 million hectares of chernozem, which is one third of the arable land throughout Europe! The area of ‚Äč‚Äčagricultural land is 43.375 million hectares (6th place in the world).

According to the results of January-June 2019, exports of agricultural products amounted to 10.3 billion dollars, which is 1.6 billion dollars more (or 18.6%) compared to the same period in 2018. The foreign trade turnover of agricultural products reached 13.1 billion dollars, or 25.1% of the total foreign trade turnover of Ukraine.

The most significant factors of such results remain the volume of grain exports – 44.2%, oils – 22.9% and oilseeds – 6%.

Crop production exports grew by $ 1.5 billion (19.3%) to $ 9.5 billion. The volume of exports of livestock products also increased by 73.2 million dollars (10.9%) and amounted to 742.5 million dollars.

According to the regional structure of Ukrainian agricultural exports, the first place is occupied by Asian countries with a share of 41.9%, the second place is by the countries of the European Union – 33%, and the third place is taken by African countries – 15.4%. The top 5 countries for the export of our products were headed by China (9%), Egypt (8.2%), India (7.9%), Turkey (7.7%), and the Netherlands (7.1%).

Such data give hope for cautious optimism. The Ukrainian agricultural sector has a large supply of growth in production volumes due to the introduction of new technologies, as well as increased exports through the search for new markets.

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