Within the exhibition ‘Green Week’ (Grune Woche) taking place in Berlin on 20-29 January, a conference ‘Sustainable Development, Success Factors and Strategy Options for Agribusiness in Ukraine’ was held. Taras Vysotskyi, General Director of the Association ‘Ukrainian Agribusiness Club’ participated in the panel discussion.

Taras Vysotskyi noted that in 2016 there was recovery of agricultural machinery market by 70% reaching sales figures of 2013. ‘In 2014 machinery market reduced by 40% comparing to 2013, in 2015 it reduced by 30% comparing to 2014. But in 2016 we could observe its rapid recovery by 70%’, he noted. To the opinion of UCAB General Director, the main reason for this increase is a pent-up demand for agricultural machinery that was formed during 2014-2016.

2014-2016 years were profitable for agricultural producers due to favorable natural and climatic conditions as well as devaluation of hryvnia which had mostly a positive impact on the income of agricultural enterprises, even in dollar terms. Accordingly, over the last three years a demand for machinery should be the same as in 2012-2013. However, owing to such macroeconomic factors as conflict in the Eastern Ukraine, uncertainty about the future, there was a pent-up demand. In 2016 the situation slightly settled down, and stabilization of hryvnia played an especially important role. Therefore, agricultural producers have realized the demand for renewing agricultural machinery’, commented Taras Vysotskyi. The General Director of UCAB does not expect the same growth dynamics of the market in 2017 but forecasts that the sales could increase by 15-20%.

For reference, Green Week is an international exhibition for the food, agriculture and gardening industry in Berlin (Germany) where manufacturers from around the world present their products. Within the framework of exhibition, the product presentations for agriculture, forestry and landscape design take place, there are also various symposia, seminars, forums and other events.