Cooperation in agriculture
30 October 2020 15:47

Ukraine is holding:

The 1st place in the ranking of growth of agri-exports to the EU MSs.

The 1st place in production of sunflower seeds, the 3rd place on export of honey, the 4th place of export of corn in the Global Food Market.

Ukraine has exported to foreign markets a record amount of grain – 49,7 mln tons – during last marketing year (01/07/2018–30/06/2019).


Important data on development of agricultural business in Ukraine: 

12% of GDP and about 40% of total exports earnings.

33% of the world’s black soil concentrated in Ukraine.

68.7% of Ukraine – agri-land (= 41.5 mln hectares).

Almost 50,000 undertakings engaged in the agribusiness.

49 208 agri-enterprises, including 33 164 farms.

308 producers of livestock products, including 128 food products for human consumption, have export permission to the EU.


Ukraine has entered the TOP-3 largest countries exporting agricultural products to the European Union.

The extort in 2018-2019 agricultural year reached EUR 7.3 billion.

Major export commodities include cereals and oilseeds, fats and oils, processing industry residues.

 

Institutional framework:

The Ukraine-EU agriculture cooperation is regulated, in the first place, by the Ukraine-EU Association Agreement (AA) which includes a Deep and Comprehensive Free Trade Area (DCFTA), and, in particular, by its Chapter 17 “Agriculture and rural development” of the Title V “Economic and Sector Cooperation”.

The key areas of bilateral cooperation in the field of agriculture are: organic farming, plant trade standards and food quality policy.

The Parties cooperate within the Cluster V "Agriculture and Rural Development, Fisheries and Maritime policies, Danube river, Cross-border and Regional cooperation" of the Subcommittee on Economic Affairs and Other Sector Cooperation of the Ukraine-EU Aassociation Committee.


The AA/DCFTA aims at boosting the trade in goods and services between Ukraine and the EU by gradually cutting tariffs and bringing Ukraine's rules in line with the EU's in certain agricultural products.

To better integrate with the EU market, Ukraine is harmonizing its norms and standards of agricultural products with European ones. Ukraine is also aligning its legislation to the EU's in trade-related areas such as: competition, technical barriers to trade (TBT), sanitary and phytosanitary (SPS), customs and trade facilitation, protection of intellectual property rights.

Another basis for Ukraine-EU cooperation on agriculture is the Memorandum of Understanding for Establishing a Dialogue on Agriculture and Rural Development.

 

Ukraine, insofar it concerns agriculture, is committed at:

promoting the development of modern and sustainable agricultural production, with due respect of the environment and the welfare of wildlife, including the spread of the use of organic production methods and biotechnologies, in particular through the introduction of best practices in these areas;

increasing the competitiveness in the agricultural sector, the efficiency and transparency of markets, as well as investment conditions;

promoting innovation through research and stimulation of the expansion of services to agricultural producers;

promoting harmonization in terms of the matters considered within the framework of international organizations;

implementation of quality policy for agricultural products in the field of standardization, production requirements and quality programmes.

 

Expected results:

Greater opportunities for companies in the context of cooperation and sharing of knowledge, experience and technology;

Adapting the standards of agricultural products and infrastructure of agricultural markets and increasing the access of Ukrainian agrarian companies' products to the EU and third countries market;

Improvement of agrarian products quality by implementing higher environmental standards;

Modernization of the state agrarian policy in accordance with the requirements of EU legislation and, in particular the European Green Deal ambitions;

Development of standards and infrastructure of the agricultural market.


Useful Links: 

Ukraine-EU Association Agreement: https://eur-lex.europa.eu/legal-content/EN/ALL/?uri=CELEX%3A22014A0529%2801%29

Tariff quota data: https://ec.europa.eu/taxation_customs/dds2/taric/quota_consultation.jsp?Lang=en

State Service of Ukraine on Food Safety and Consumer Protection: https://dpss.gov.ua/en

SME supporting programme EU4Business: https://eu4business.eu/ukraine

Information and analytical portal of the agro-industrial complex of Ukraine (in Ukranian): https://agro.me.gov.ua/ua

Ministry of Economic Development, Trade and Agriculture of Ukraine: https://www.me.gov.ua/?lang=en-GB

Ukrainian Agribusiness Club: http://www.ucab.ua

European Commission’s Directorate-General for Agriculture and Rural Development: http://ec.europa.eu/dgs/agriculture/index_en.htm

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