News
16.11.2017
Agribusiness stability is expected in 2018, - Roman Hrab
On 15 November, at AGRITECHNICA 2017 in Hanover, Roman Hrab, Deputy Director General for Government Affairs, made a presentation on “Ukrainian agricultural machinery market: conditions and prospects”. The event was organized within the framework of the Conference “Ukraine, Russia, China - Potential for large-scale farming”.
According to the expert, 30% of agricultural technology of independent agricultural enterprises is outdated and needs to be replaced. The updating of existing technology base comes is due to import supplies. In 2016 the market volume in monetary value is estimated at about USD 600 mln.
Roman also spoke about state support in the form of 20% cost compensation when buying domestic agricultural machinery: “As a result of state support in 2017 96 farms received compensation, 149 units of machinery and equipment were purchased and USD 439 thous. were offset. In addition, in 2018, the state support for agrarians will continue to operate, including the purchase of agricultural machinery”, - noted Roman Hrab.
According to Roman Hrab, access to financial resources for many agrarians in 2018 will remain difficult due to high interest rates offered by crediting institutions, at the same time, the level of investments in the sector, both external and internal, continues to grow. “In the run-up to the 2019 general elections, it is expected political stability in the country during 2018. Since land market opening is postponed for some time, in 2018 the agrarians will be able to invest in equipment instead of buying land”.
