{"id":273594,"date":"2020-07-08T15:32:21","date_gmt":"2020-07-08T12:32:21","guid":{"rendered":"https:\/\/vsisumy.com\/agro_sumy\/agrarnaja-sumshhina-2020\/"},"modified":"2026-01-02T20:26:54","modified_gmt":"2026-01-02T18:26:54","slug":"agrarnaja-sumshhina-2020","status":"publish","type":"agro_sumy","link":"https:\/\/vsisumy.com\/en\/agro_sumy\/agrarnaja-sumshhina-2020\/","title":{"rendered":"Agrarian Sumy Region – 2020"},"content":{"rendered":"
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\tThe Agricultural Sector of Ukraine Under Quarantine Conditions<\/h2>\n

Despite the pandemic, agribusiness continued to operate, which allowed it to largely smooth out the negative consequences of the epidemic. Already today, high hopes are placed specifically on the agricultural sector to ensure the growth of the Ukrainian economy \u2014 it is predicted that the decline in agricultural GDP may be smaller than in other industries.<\/p>\n

\tAgrarians Remain Calm<\/h3>\n

The agricultural sector suffered the least from quarantine, according to a labor market study. Under quarantine conditions, more than 70% of surveyed agricultural companies managed to maintain stability. This is evidenced by the results of a survey of agricultural companies published on the Rabota.ua resource, comments from market participants, and explanations from recognized industry experts. At the same time, less than a third of respondents described the situation as alarming.<\/p>\n

\u201cAccording to our observations, the agricultural sector suffered the least from quarantine. This applies to manufacturing enterprises, seed suppliers, crop protection products, and other goods. Agriculture is one of the most invested sectors, so most large companies do not experience financing problems,\u201d Rabota.ua analysts noted.<\/p>\n

\tA Bonus from the Cabinet of Ministers<\/h3>\n

The Cabinet of Ministers of Ukraine approved an economic stimulation program to overcome the consequences of the COVID-19 epidemic. It is noted that the presented Program provides a set of anti-crisis measures aimed at overcoming negative consequences across six key sectors of Ukraine\u2019s economy caused by restrictions introduced due to the spread of the coronavirus epidemic.<\/p>\n

Measures aimed at developing the agricultural sector include simplifying the registration of plant protection products, creating conditions for the development of organic production, and changing the procedure for issuing quarantine certificates.<\/p>\n

\tThe Coronavirus Factor<\/h3>\n

\u201cUkraine is an agricultural state, so we can undoubtedly feed ourselves, and at the same time several dozen million more people: according to various estimates, our \u2018food ceiling\u2019 is about 600 million people. Therefore, there will be no empty shelves,\u201d is convinced Ivan CHAIKOVSKYI, founder of \u2018Agroprodservice\u2019.<\/p>\n

In his opinion, only one serious risk is possible for the agricultural sector \u2014 the closure of transnational borders for food products: \u201cOur main international trade partners are operating normally in terms of transit and acceptance of products, including agricultural ones. Therefore, there is no need to panic that exports will stop for now. Nor should one panic over information that the government has obtained the right to restrict food exports \u2014 this is an extreme measure that should be in the arsenal. It is unlikely to be used, because everyone knows that the agro-industrial complex generates 40% of the country\u2019s foreign currency revenue.\u201d<\/p>\n

\tGrain Is More Expensive Than Oil<\/h3>\n

Andrii YARMAK, economist of the investment department of the Food and Agriculture Organization of the United Nations (FAO), for hromadske.<\/p>\n

– Will grain become the new oil after quarantine?<\/p>\n

– It already has. Perhaps that is why its production is subsidized worldwide more than any other goods or services. And such a level of direct and indirect subsidies makes this business not very profitable for producers. After all, the money passes through the producer to landowners and the companies that service agribusiness. If there were no subsidies, farmers would be significantly wealthier, and food prices worldwide would be more balanced.<\/p>\n

– Will grain production become a more profitable business after quarantine?<\/p>\n

– No, not for all types of grain crops, but the rise in prices for food grain, especially wheat, is already evident.<\/p>\n

At the same time, cheap oil and the corona crisis will hit prices for feed (non-food) grain, because they are directly linked to energy prices due to bioethanol, where the main raw materials are sugarcane and corn.<\/p>\n

Most bioethanol production plants in the United States have stopped because it is not needed at such oil prices. To restart them, corn prices must be reduced. This means more corn will enter feed markets. But there is also less demand there now, because demand for meat is falling.<\/p>\n

Along with forecasts of declining demand for red meat, the drop in corn prices may be the largest, and this is the main grain crop of Ukraine. We have not yet fully felt this trend; it is only beginning.<\/p>\n

Project Partner \u201cAgrarian Sumy Region – 2020\u201d<\/strong><\/span>:<\/p>\n

Urozhaina Kraina LLC
Sumy Region, Romny, Sumy Street, 5E
+38 (05448) 5-77-16<\/strong>
www.ur-kraina.com.ua<\/a>
Article “Make Way for the Young: How to Become a Chief Agronomist at 28<\/a>“<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

The Agricultural Sector of Ukraine Under Quarantine Conditions Despite the pandemic, agribusiness continued to operate, which allowed it to largely smooth out the negative consequences of the epidemic. Already today, high hopes are placed specifically on the agricultural sector to ensure the growth of the Ukrainian economy \u2014 it is predicted that the decline in […]<\/p>\n","protected":false},"author":2,"featured_media":250593,"menu_order":0,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"tags":[],"class_list":["post-273594","agro_sumy","type-agro_sumy","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/vsisumy.com\/en\/wp-json\/wp\/v2\/agro_sumy\/273594","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vsisumy.com\/en\/wp-json\/wp\/v2\/agro_sumy"}],"about":[{"href":"https:\/\/vsisumy.com\/en\/wp-json\/wp\/v2\/types\/agro_sumy"}],"author":[{"embeddable":true,"href":"https:\/\/vsisumy.com\/en\/wp-json\/wp\/v2\/users\/2"}],"version-history":[{"count":0,"href":"https:\/\/vsisumy.com\/en\/wp-json\/wp\/v2\/agro_sumy\/273594\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vsisumy.com\/en\/wp-json\/wp\/v2\/media\/250593"}],"wp:attachment":[{"href":"https:\/\/vsisumy.com\/en\/wp-json\/wp\/v2\/media?parent=273594"}],"wp:term":[{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vsisumy.com\/en\/wp-json\/wp\/v2\/tags?post=273594"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}