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Business met with the Minister of Agrarian Policy

16/ 07/ 2021
    On July 16, EBA representatives met with Roman Leshchenko, Minister of Agrarian Policy and Food of Ukraine. The discussion was focused on the separation of powers between the Ministry of Economy and Minagro. It was reported that crop, livestock, food processing, irrigation areas, etc., remain will be under the scope of the Ministry of Agriculture. The same is true for the development of green tourism, viticulture, aquaculture, agricultural engineering. Also, the Minister said that initiatives on irrigation, soil conservation, state support, a partial loan guarantee fund for small and medium-sized businesses, the introduction of additional financial instruments to capitalize the agricultural sector, land bank decisions, etc. will be given a priority. In the context of the State Service of Ukraine on Food Safety and Consumer Protection, it was stated that the authority would be fully transferred to the Ministry of Agrarian Policy. It is not planned to break the functionality into several ministries. The full transfer process is scheduled for September this year. During the meeting, we also discussed certain sectoral issues. For example, it was mentioned that today in Ukraine there is an acute shortage of raw milk. It was stressed that as a solution, as an option, measures are needed to support both producers and processors of dairy products. Thus, the EBA Dairy Committee will consolidate and send relevant proposals of support to the Ministry. Furthermore, there was talk of an initiative to reduce the VAT rate for certain products of the agricultural sector. We also discussed digitalization in the agricultural sector, for example, the transfer of the circulation of warehouse documents for grain in electronic form. The Minister noted that the relevant Law of Ukraine on the State Agricultural Register has already been adopted. The register will be presented in September. The register, in particular, will help solve the issue that currently exists in business, namely, the existence of warehouse documents in paper form, which creates corruption risks. Meanwhile, it was emphasized that the budget declaration was adopted this week, and the formation of budget requests for 2022 continues until September. Therefore, the Ministry has agreed on accepting the relevant proposals from the business community to further consider them. Other issues related to attracting investments and fostering the production with high added value which are the mission of the Ministry, etc. were also discussed. On behalf of the European Business Association, we sincerely thank Roman Leshchenko for the productive dialogue and the proposal to have such discussions on a permanent basis.
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On July 16, EBA representatives met with Roman Leshchenko, Minister of Agrarian Policy and Food of Ukraine.

The discussion was focused on the separation of powers between the Ministry of Economy and Minagro. It was reported that crop, livestock, food processing, irrigation areas, etc., remain will be under the scope of the Ministry of Agriculture. The same is true for the development of green tourism, viticulture, aquaculture, agricultural engineering. Also, the Minister said that initiatives on irrigation, soil conservation, state support, a partial loan guarantee fund for small and medium-sized businesses, the introduction of additional financial instruments to capitalize the agricultural sector, land bank decisions, etc. will be given a priority.

In the context of the State Service of Ukraine on Food Safety and Consumer Protection, it was stated that the authority would be fully transferred to the Ministry of Agrarian Policy. It is not planned to break the functionality into several ministries. The full transfer process is scheduled for September this year.

During the meeting, we also discussed certain sectoral issues. For example, it was mentioned that today in Ukraine there is an acute shortage of raw milk. It was stressed that as a solution, as an option, measures are needed to support both producers and processors of dairy products. Thus, the EBA Dairy Committee will consolidate and send relevant proposals of support to the Ministry. Furthermore, there was talk of an initiative to reduce the VAT rate for certain products of the agricultural sector.

We also discussed digitalization in the agricultural sector, for example, the transfer of the circulation of warehouse documents for grain in electronic form. The Minister noted that the relevant Law of Ukraine on the State Agricultural Register has already been adopted. The register will be presented in September. The register, in particular, will help solve the issue that currently exists in business, namely, the existence of warehouse documents in paper form, which creates corruption risks.

Meanwhile, it was emphasized that the budget declaration was adopted this week, and the formation of budget requests for 2022 continues until September. Therefore, the Ministry has agreed on accepting the relevant proposals from the business community to further consider them.

Other issues related to attracting investments and fostering the production with high added value which are the mission of the Ministry, etc. were also discussed. On behalf of the European Business Association, we sincerely thank Roman Leshchenko for the productive dialogue and the proposal to have such discussions on a permanent basis.

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