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Agriculture Minister Gechev Says Bulgaria Also Mulling Ban on Ukrainian Grain Imports, European Commission Warns against Unilateral Steps

'Sapere aude'

by Oui (Oui) on Sun Apr 16th, 2023 at 06:14:17 PM EST
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EU Says Poland, Hungary Halts on Ukraine Grain 'Unacceptable' | Bloomberg |

Kyiv's eastern neighbors had agreed that grain from the war-torn country could be transshipped through their territory after Russia blockaded Ukraine's Black Sea ports for months following the February 2022 invasion. Exports from Ukraine's Odesa-region ports resumed in August but remain below usual levels. 

Although the grain was supposed to be shipped on from Europe to Africa and the Middle East, logistical bottlenecks meant some supplies started to pile up in eastern Europe. 

In a letter to European Commission President Ursula von der Leyen this month, Bulgaria and four EU states adjacent to Ukraine pushed for the bloc to increase financial support to farmers, consider buying the surplus grain for humanitarian aid or even restrict imports from Ukraine. 

"If current market trends continued, that would cause serious damage to Hungarian agriculture," Hungarian Agriculture Minister Istvan Nagy said on Saturday. Ukraine's lower-cost agriculture is undercutting Hungarian producers of poultry, eggs, honey, grain and oilseeds, he said.

Hungary called on the European Union to reconsider "the full duty-free treatment of Ukrainian goods and the functioning of the solidarity corridors."



'Sapere aude'
by Oui (Oui) on Sun Apr 16th, 2023 at 06:16:46 PM EST
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https:/www.reuters.com/world/europe/ukraine-overhaul-legislation-genetically-modified-crops-2022-10 -20
by Oosterbeek on Sun Apr 16th, 2023 at 09:22:32 PM EST
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https://www.moonofalabama.org/2023/04/the-moa-week-in-review-not-ukraine-ot-2023-91.html?cid=6a00d83 41c640e53ef02b7517c4da6200b#comment-6a00d8341c640e53ef02b7517c4da6200b
by Oosterbeek on Sun Apr 16th, 2023 at 09:30:23 PM EST
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Update on Foreign Investment in Ukrainian Agricultural Land

The moratorium on alienation of Ukrainian farm land has long prevented meaningful foreign investment into the Ukrainian agricultural sector. To somehow obtain access to agricultural land, instead of outright ownership foreign investors had to register Ukrainian companies that entered into lease agreements with landowners, most with a "right to buy" option if and when the moratorium will be lifted.

However, if the current amendments to the legislation will be approved, the lifting of moratorium will not allow any legal entities to purchase their leased land despite any provisions to the contrary in their lease agreements. To add insult to injury, the suggested taxes and other mandatory payments to the state, will decrease any profits generated from the leased land.

By way of background, at the end of 2012, the Verkhovna Rada (the Parliament) adopted Law №11315, further extending the moratorium on selling agricultural land until January 1st, 2016, right after the next Presidential elections. Under the draft law, privatization of farm land will benefit the Ukrainian government first and foremost, followed by select Ukrainian citizens. For instance, potential buyers of farm land can only be (a) the Ukrainian government; (b) regional state authorities; (c) the State Land Bank; or (d) Ukrainian citizens. Moreover, only the first three categories have the priority right to purchase any agricultural land that is offered for sale. All individuals who wish to own more than 100 hectares will need to obtain permission from GosZemAgenstvo (the State Land Agency). This is a highly controversial requirement because it allows government bureaucrats to decide which Ukrainian individuals can own large parcels of farm land.

The Corporate Takeover of Ukrainian Agriculture | Country Fact Sheet - Dec. 2014 |

'Sapere aude'

by Oui (Oui) on Sun Apr 16th, 2023 at 10:10:21 PM EST
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Ooops ...

This fact sheet provides details on the transnational agribusinesses that are increasingly investing in Ukraine, including Monsanto, Cargill, and DuPont, and how corporations are taking over all aspects of Ukraine's agricultural system. This includes circumventing land moratoriums, investing in seed and input production facilities, and acquiring commodity production, processing, and transportation facilities.

'Sapere aude'

by Oui (Oui) on Sun Apr 16th, 2023 at 10:11:22 PM EST
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The United States Announces $100 Million Ukraine Agriculture Resilience Initiative (AGRI) - Ukraine
18 Jul 2022
...USAID seeks to raise an additional $150 million for the Initiative from fellow donors and the private sector with an overall target of $250 million. AGRI-Ukraine builds on a range of support USAID is providing to Ukraine's agriculture sector in the wake of Russia's full scale invasion, including providing over 8,000 Ukrainian farmers with seeds, fertilizers, pesticides, and more, reaching approximately 14% of the country's registered agriculture enterprises, to help them deliver this year's harvest despite the devastation caused by Russia's invasion....
USAID Announces New Private Sector Partnerships to Help Ukraine Continue Feeding the World
4 Mar 2023
Today, the U.S. Agency for International Development (USAID) announced three new partnerships to help Ukraine overcome immediate and long-term export logistics challenges caused by Russia's full-scale war. USAID,
Grain Alliance,
Kernel, and
Nibulon
...The name of the company "NIBULON" consists of the first letters of the names of the cities of the founders: Mykolaiv, Budapest, London. The main activity of the established enterprise is the production and sale of hybrid seeds of corn and sunflower of foreign selections....
plan to make combined investments of more than $44 million to support storage and infrastructure expansion in Ukraine's agriculture sector. The investments are projected to increase Ukraine's grain shipping capacity by more than 3.35 million tons annually, bolstering Ukraine's economy and bringing much-needed grain to the global market.  
USTR | Ukraine - Country Commercial Guide (11.01.23)
...Despite the current challenges, the CS Ukraine holds a positive long-term view on sales prospects for U.S. agricultural machinery and equipment manufacturers in Ukraine...
The ["]co-investments["] include $8 million from the USAID Agriculture Resilience Initiative-Ukraine (AGRI-Ukraine) and more than $36 million from these three private sector partners. The transshipment investments will increase grain export operations at three terminals: Izmail and Reni in Ukraine, both on the Danube, and Čierna nad Tisou in Slovakia. Kernel and Nibulon investments cover a range of expansion needs.
archived The Bystroye Canal: is Ukraine illegally dredging and how is this affecting the Danube Delta?
This includes design and construction to renovate berths at the Port of Reni and to expand the Port of Izmail operations capabilities. Grain Alliance will be purchasing a transshipment storage facility in Slovakia which will include building silos and procuring transport equipment such as trucks and railcars.
[...]
dimsumdaily.hk | Slovakia destroys 1,500-ton shipment of Ukrainian grain contaminated with EU-banned pesticide (15.04.23)
USAID's partnership with these three companies, two Ukrainian and all with deep ties to the local agricultural economy, will help support Ukraine and its people as the country continues to defend itself against Russia's unjust and unprovoked full-scale invasion. USAID has contributed an initial $100 million to AGRI-Ukraine, and, with these new partnerships, has leveraged more than $70 million in private sector investments. USAID seeks to leverage an additional $80 million from fellow donors, the private sector and foundations, with an overall investment target of $250 million.
by Cat on Mon Apr 17th, 2023 at 12:28:32 PM EST
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by Cat on Tue Apr 18th, 2023 at 01:05:17 AM EST
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