id: 35218
Title: Ukraine's agricultural sector in times of war: turning challenges into opportunities
Authors: Mazur K., Alieksieieva O.
Keywords:
Date of publication: 2024-02-27 07:57:35
Last changes: 2024-02-27 07:57:35
Year of publication: 2023
Summary: The russian federation’s invasion of Ukraine on 24 February 2022 caused heavy civilian casualties, damage to infrastructure and production assets, and resulted in severe human, social and economic losses. In addition, since October 2022, Russia has caused significant damage to critical energy infrastructure using long-range weapons (missiles and drones). The agricultural sector has suffered significant losses as a result of russia`s fullscale aggression. The total number of business entities that suffered losses as a result of armed conflict aggression, is 2653 units. (arable area - 1.9 million hectares, perennial plantations - 9 thousand hectares). In addition, the territory of about 1 million hectares needs to be surveyed for availability explosive objects. In the conditions of unprecedented challenges, the proper collection was ensured harvest of 2022. According to the Ministry of Agriculture, in 2022, Ukraine collected more than 67 million tons of grain and oil crops, which became one of the five best indicators in 30 years. In general, the Ukrainian agricultural sector demonstrated high stability and adaptability to wartime risks. Threats to the stable functioning of the agricultural sector in the conditions fullscale war are as follows. Exit of part of economic subjects from agrarian business or changes in specialization due to significant economic losses, including loss of sales. Changing the structure production in favor of highly profitable agricultural crops instead of laborintensive crops (primarily borscht set, early seasonal products). The war is also changing the usual operational decisions of Ukrainian agricultural companies. Such changes include, first and foremost, limiting the use of agricultural inputs (e.g., fertilisers, pesticides, and seeds), diversifying business (e.g., exploring or starting new businesses) and changing markets (e.g., looking for new buyers). The aggression of the russian federation, the infrastructure destruction, the blockade of major export routes, and the unprecedented mining of agricultural land are just some of the struggles that Ukrainian farmers have been grappling with since 24 February 2023. Nevertheless, the resilience and unmatched ternational support has allowed agribusinesses in Ukraine not only to survive, but also to launch an active recovery in agricultural production and processing. The reconstruction and production processes in Ukraine`s agricultural sector are actively financed through international donor assistance and national government programmes. In this regard, the Ukrainian agricultural industry finds itself in a unique situation that has the potential to create huge opportunities for foreign and Ukrainian businesses.
URI: http://socrates.vsau.org/repository/getfile.php/35218.pdf
Publication type: Монографії видані за кордоном
Publication: In: Peculiarities of management of agricultural enterprises under martial law. Monograph. Primedia eLaunch,Boston, USA, 2023. P. 25-65. DOI: 10.46299/979-8-89269-753-8.2
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Published by: Адміністратор
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