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FINANCESIn the context of unstable economic situation, the financial results of agriproducers demonstrate fairly good dynamics. Banks continue to actively credit Ukrainian agribusiness. At the same time, agrarians are expecting changes in the state support system.

LIVESTOCK FARMINGPoultry farming preserves and improves its position as a steadily developing sector. At the same time, there is a decline in performance in other sectors of livestock farming.

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PROCESSINGINDUSTRYSunflower oil production and export are among the most profitable directions. Increasing the production of high value-added products is a priority for the industry development.

INFOGRAPHICREPORT2019/20

HOW TO READ THIS REPORT?The purpose of this report is to underscore the magnitude of the agro-industrial complex of Ukraine, the basic market trends, and to enable tracking of potential opportunities for its development.

WHY INFOGRAPHICS?

Infographics does not take much time to read and shows large volumes of data on Ukrainian and world market in an easy and understandable way.

DATA SOURCES:

• Latifundist Media (Latifundist.com, Elevatorist.com, AgroPolit.com)

• State Statistics Service of Ukraine

• United States Department of Agriculture (USDA)

• CFTS-Consulting

• Ukrainian Sea Ports Authority (USPA)

• Ministry of Finance of Ukraine

• National Bank of Ukraine (Bank.gov.ua)

• Your total market

• bankier.pl

• londonstockexchange.com

• UkrOilProm Association

• UkrSugar

• meatbalance.org.ua

• IFOAM

• organicukraine

• Institute of Water Problems and Land Reclamation (IWPLR)

• State Water Resources Agency (SWaRA)

• AgroPogoda

• Cema-agri.org

• Agro.me.gov.ua

• Foodagri.in.ua

The role of agribusiness in Ukraine’s and world economy 4

Main products of the agro-industrial complex in 2019mln t 5

Development of Ukraine’s agro-industrial complex 6

Export of Ukrainian agricultural products 7

Land fund 8

Land reform 9

Agricultural specialisation of regions 11

Corn production in Ukraine and worldwide 12

Wheat production in Ukraine and worldwide 13

Barley production in Ukraine and worldwide 14

Sunflowerseeds production in Ukraine and worldwide 15

Soybean production in Ukraine and worldwide 16

Rapeseed production in Ukraine and worldwide 17

Vegetables 18

Fruit and berries 19

Niche crops 20

Organic production 21

Irrigation 22

Livestock farming 24

Meat production 25

Poultry farming 26

Feed production 27

Fish industry 28

Apiculture 29

Production of basic foodstuffs 31

Vegetable oil industry 32

Meal and cake 33

Meat-processing industry 34

Dairy industry 35

Sugar industry 36

Bread and bakery 37

Agricultural machinery and equipment 39

Seeds 40

Crop protection products (CPP) 41

Fertilizers 42

Grain storages 43

Bioenergy 44

Agrologistics 45

Investment in agricultural sector 47

Ukrainian agribusiness on stock exchanges 48

Crediting of agribusiness 49

State support of agricultural sector 50

Taxes in agricultural sector 51

CROP PRODUCTION

LIVESTOCK FARMING

PROCESSING INDUSTRYAGRIBUSINESS IN MY2019/20

INFRASTRUCTURE AND SERVICES

FINANCES

2

Please note that data may vary due to different estimation

methods each company uses.

UKRAINIAN AGRIBUSINESS

AGRIBUSINESS IN MY2019/20

Honey Rapeseed oil Poultry meat

Ukraine's place in the world agricultural commodities market in MY2019/20

Labour productivity,per 1 worker of agricultural production

at constant prices of 2016, UAH thou.

Agricultural production,% of GDP

State support received byUkrainian agrarians, UAH mln

10.8%

10.0%

624

929

66.2

4 3402015

2019 2015

20192019

2015

4.7

3.2

1.3

12.9

Export of agriculturalcommodities, USD bln

22.1

14.6

20152019

Net margin, %

41.7%

15.6%

2015 2019

1 2 3 4 5 6 8 9

Sunflowerseed

Sunflowerseedoil

Wheat

Walnut

OatBarleySunflowerseedmeal

Rye

Sorghum

Corn

Rapeseed Rapeseed meal

Butter

Milk

Milk powder

Cheese

Soybean

Soybean mealSoybean oil

4Sources: State Statistics, USDA

THE ROLE OF AGRIBUSINESS IN UKRAINE’S AND WORLD ECONOMY


Grains and legumes35.9 Corn

2.0 Other

29.2 Wheat

9.5 Barley

Fruit and vegetables9.7 Vegetables

2.2 Fruits,

0.4 Grape

berries

20.3 Potato

32.5

Industrial crops

10.2 Sugar beet

16.5 Sunflowerseeds

4.5 Soybean

3.5

Rap

esee

d

34.7

Derived products7.1 Sunflowerseed oil

1.8

Bee

r

1.5 Sugar

1.7 Flour

0.85 Bakery products

12.9

13

Livestock products9.7 Milk

2.3 Meat¹

0.9 Eggs

0.1 Honey

From 2015 to 2019, grain and leguminous crops posted the highest growth in production — by 25% or 15.3 mln t. Production of industrial crops increased by almost a quarter — by 24% or 6.79 mln t.

Derived products, fruit and vegetables production slightly increased — by 7% or 0.83 mln t, and 1% or 0.47 mln t, respectively. Livestock products were the only product group that showed negative results: -6% or 0.90 mln t.

76.6

1 Meat in slaughter weight5

Sources: State Statistics, USDA

MAIN PRODUCTS OF THE AGRO-INDUSTRIAL COMPLEX IN 2019, MLN T


Comparison of the agro-industrial complexwith other industries in Ukraine,dynamics since 2010, USD bln

20112010 2012 2013 2014 2015 2016 2017 2018 2019

Machinery, equipment,optical instruments

Base metals andproducts based thereon

3.2

1.3

4.7

12.9

4.9

1.2

2.7

1.21.80.40.9

TOP 10 export commodities with the highest growth, USD mln

174Soybean 1 166

578Poultry meat andedible co-products 41

1.7 305Cake and othersolid waste

40 241Soybean oil

119Canola, rapeseed,mustard oil

Birds' eggs 112

119Natural honey

93Wheat flour, meslin

85Sugar

Butter and other fats 77

Live cattle 54

Other vegetableproducts 51

44Cattle meat

0 6 000

0 1 500

0.2

28

20

22

0.2

5.3

0.8

0.1

0.7

3 658906Wheat and meslin

5 218786

2010 2019

Corn

In nine years, the revenue from the export of agricultural commodities increased by 123% (USD 12.2 bln), demonstrating the highest export growth among other types of goods. Second place is held by goods such as pearls, gems, various industrial goods, works of art, etc. which grew by 114% (USD 0.62 bln) in total. The opposite trend is most evident in land transport means, aircrasts, watercrasts — a 73% decrease (USD 2.38 bln) and in base metals -41% (USD 7.07 bln).

4.6

10.3

Mineral products

Chemical industry

Other

Live animals, livestock products

Prepared foods

Fats and oils

Vegetable products

Textile, animal skin, clothing, umbrellas

Stone, gypsum, cement productsTransport

Wood, wood products and mass timber

6Source: State Statistics

DEVELOPMENT OF UKRAINE’S AGRO-INDUSTRIAL COMPLEX


Vetegableproducts

12.9USD bln

Fats and oils

Preparedfoods

Live animals,livestockproducts

4.7USD bln

3.2USD bln

1.3USD bln

Ireland

Portugal

France

France

Belgium

Belarus

Italy

Italy

Poland

PolandGermany

Spain

Spain

Netherlands

Netherlands

YemenPhilippines

Thailand

Iran

Other

OtherOther

Other Other

Lebanon

Iraq

Saudi Arabia

Azerbaijan

UAE

Netherlands

Slovakia

Belarus

SaudiArabia

Bangladesh

IsraelIndonesiaTurkey

India China

China

Libya

Morocco

Egypt

134

184

204

475

264

381

171

240734

313

812

458

816

170

157190

265

209

431

3455511244

1447

FranceBelarus

Poland

Japan

Other

Other

Georgia

AzerbaijanTurkey

China

306

165

251

290

741

887

242

198

1547

Africa AmericaAsia Europe OceaniaExport from Ukraine in 2019, USD mln

Key export products in 2019, USD mln

4273Sunflowerseed,safflower

and cotton oil

710Barley

5218Corn

3658Wheat and meslin

1282Rapeseed andcanola seeds

1166Soybean

578Co-productsand poultry

meat

335Cigars,

cigarettes305Soybean

cake

1012Cake and other

solid waste


EXPORT OF UKRAINIAN AGRICULTURAL PRODUCTS


Agricultural lands structure in 2019, mln ha

Type of plantings Usage Ownership

5.3

2.3

0.90.2

32.7

1.7

8.7

31.0

12.0

3.3

2.9

23.2

Pastures

Hayfields

Perennial plantingsFallow

Arable land

Municipal

State property

Private property

Cultivated by owners

Rented from state

Uncultivated land

Rented from owners

Sown areas by farms size

Total area, mln haNumber of farms

31 097

2 688

4 130

353

92

59

9

3

1.9

8.5

2.4

1.2

1.7

0.6

up to 0.5 ha

0.5-1 ha

1-5 ha

5-10 ha

10-20 ha

20-50 ha

50+ ha

No companies having land bank over 100 thou. ha are included, as large agricultural holdings comprise several legal entities, which are represented here by a number of companies, depending on their land bank

Dynamics of sown area, mln ha

2017 2018 2019

Farm enterprises, agricultural enterprises, incl. agroholdings

Households

19.2

8.4

18.9

8.1

19.4

8.4

Top 10 agricultural holdings by landbank area, thou. ha

20152014 2016 2017 2018 2019

Kernel530

Ukrlandfarming500

Agroprosperis396

MHP370

Astarta-Kyiv250

Continental Farmers Group195

HarvEast127IMC124Epicentr K121Ukrprominvest-Agro120

Land fundof Ukraine

41.4mln ha

8Sources: State Statistics, Latifundist.com

LAND FUND


Land reform phases in Ukraine

1991

Resolution of the Verkhovna Rada "On Land Reform".

Adoption of the law "On Collective Agricultural Enterprise". Arable land of state enterprises is allowed for dividing into shares, and debt recovery in the form of land plots.

Bans on land sale

Municipal and state lands are not for sale, only for rent. Territorial communities do not have the right to sell the received state land, they can only rent it. That is, the law adopted by the Verkhovna Rada (Parliament) extended the moratorium on the sale of those 10.4 ha that are in state ownership (except for the state sea border).

Legal entities, whose founders or ultimate beneficiaries are foreigners, may acquire the right of ownership provided that this is approved by referendum.

Excluded from property rights to land plots

Legal entities the participants or beneficiaries of which are foreigners cannot buy the lands of state and municipal property, as well as the lands allocated to unit-holders, and which are located closer than 50 km to the state border of Ukraine.

Legal entities, participants or ultimate beneficiaries of which are citizens of a state recognized by Ukraine as an aggressor or an occupant state, or who belonged or are members of terrorist organizations.

Natural and legal entities sanctioned or having beneficiaries registered in offshore zones.

Legal entities registered in countries listed as non-cooperating in the fight against the laundering of proceeds of crime.

1992

Land Law

The right of private ownership of land was received only by citizens of Ukraine, no more than 50 ha of arable land per person. Only local councils were sellers.

1995

Presidential decree on the order of land division. The land of collective and state farms was transferred into ownership. The right to a land share may be the object of purchase and sale, grant, exchange, inheritance, and pledge.

2001

Adoption of the law "On Moratorium Period" of the 2001-2011 land reform.

2002

Adoption of the Land Law of Ukraine prohibiting the land market.

Ownership restrictions per person

For natural persons up to 100 ha

For legal entities up to 10 thou. ha

Preferential right

The preferential right to purchase a land plot may be transferred by the subject to another person, on which such subject shall notify the owner of the land plot in writing.

Payment is made in cashless form.

It will not be allowed to acquire ownership rights under repayable contracts in the absence of documents confirming the sources of funds origin or other assets involved in the transaction.

Until January 1, 2030, the sale price of agricultural land plots may not be less than their normative monetary value.

Procedure for price formation and calculations on land acquisition

2011

Adoption of the law "On State Land Cadastre".

2020

On March 31, 2020, the Verkhovna Rada of Ukraine adopted the Drast Law No. 2178-10 "On Amendments to Certain Legislative Acts of Ukraine Regarding the Turnover of Agricultural Land" in the second reading.

2021

The launch of the land market in Ukraine in accordance with the law No. 552-IX. Since July 1, 2021, citizens of Ukraine will have the right to buy agricultural land.

2024

Legal entities, whose founders or ultimate beneficiaries are Ukrainians, will be able to acquire the right of ownership.

Since 2024, legal entities established and registered under the laws of Ukraine, whose members are only citizens of Ukraine, the state, territorial communities will be authorized to buy land.

Natural persons will be able to buy land from July 2021

Banks may obtain the ownership right to land plots in the order of recourse to them as the subject of a pledge. Such land plots shall be sold by banks at auctions within 2 years from the date of acquiring the ownership right.

Entities authorized to redemptionCitizens who own the right of permanent use, the right of lifetime inherited possession of land plots of state and municipal property intended for agricultural production.

Lessees of land plots that acquired the right to lease land by reissuing the right of permanent use until 2010.

The right of redemption withoutholding a land auction

Terms of redemption1. The price is equal to the normative monetary value

of such land plots without holding a land auction.

2. Payment installments up to ten years.

3. If the installment plan is used, the ownership shall transfer to the buyer aster the first payment.

Who can acquire land ownership?

9Source: AgroPolit.com

LAND REFORM

CROP PRODUCTION

Vegetables

30.0 30.0

Potato

20.8 20.3

Industrialcrops

27.332.5

Sugar beet

10.3 10.2

Sunflower-seeds

11.9 16.5

Soybean

3.9 4.5

Rapeseed

1.73.5

Grains andlegumes

60.1

75.1

Corn

23.3

35.9

Wheat

27.329.2

Barley

8.8 9.5

Oat

0.5 0.4

Rye

0.4 0.3

Crop production, mln tProduction by regions

Industrial crops

Vegetables

30 mln t

30 mln t

— 2015

— 2019

1 1.5 2 mln t

2 3.5 5.0 mln t

1 1.5 mln t2.5

Grains andlegumes Grains

11.8%

0

50%

Potato15.4%

Fieldvegetables

7%0

50%

Sunflower-seeds

23.5%

Sugar beet(industrial)

-15.4%0

50%

2010 11 12 13 14 15 16 17 18 2019

Production profitability in 2015-19, %


AGRICULTURAL SPECIALISATION OF REGIONS

CROP PRODUCTION

35.9

10.5

30.5

5.1

10

20

30

40

09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20

Corn production and export from Ukraine, mln t

8.7

9.3

4.93.6

8.4

5.8

5.5

6.9

8.3

6.3

4.5

8.1

4.44.3

7.0

8.08.0

9.2 5.4

8.3

9.47.7

6.3

8.0

Yield,t/ha

5.0 7.0 8.5

3.6

0.3

1.50.2

1.7

0.3

0.2

0.3

2.8

2.4

0.3

0.5

0.50.6

4.6

0.73.2

0.9 1.5

0.4

1.93.2

0.4

3.9

Production,mln t

0.5 2.0 3.5

Top 5 export directions from Ukraine, USD mln

929 569 508 506 323China Spain Egypt Netherlands South Korea

11.4South Korea

11.5Vietnam

Largest producers, exporters, importers, mln t

USA

China

Brazil

EU

Argentina

Ukraine

India

Mexico

South Africa

Russia

345.9

260.8

102.0

66.7

50.0

35.9

28.7

25.0

16.3

14.3

EU

Mexico

Japan

Egypt

Iran

China

Colombia

Algeria

19.5

17.0

16.0

10.6

8.5

7.0

6.2

5.2

USA

Brazil

Argentina

Ukraine

EU

Russia

South Africa

Serbia

Paraguay

Myanmar

47.0

38.5

35.0

30.5

4.8

4.2

2.8

2.5

2.3

2.2

Production ImportExportCompared with

MY2018/19


CORN PRODUCTION IN UKRAINE AND WORLDWIDE IN MY2019/20

CROP PRODUCTION

12.7Egypt

10.5Indonesia

Turkey 11.0

7.0Philippines

7.2Brazil

7.2Algeria

6.8Bangladesh

Japan 5.7

5.1Mexico

5.4China

1.8

0.7

1.91.4

0.7

0.1

2.4

0.3

1.0

1.4

1.0

0.9

1.62.0

1.1

0.50.9

1.2 2.3

1.6

1.41.1

0.2

0.8

Production ImportExport

1.0 1.5 2.0

4.0 4.5 5.0

China

India

Russia

USA

Canada

Ukraine

Pakistan

Argentina

Turkey

154.9

133.6

103.6

73.6

52.3

32.3

29.2

24.3

19.7

17.5

EUEU

Russia

USA

Canada

Ukraine

Argentina

Australia

Turkey

Kazakhstan

Mexico

38.4

34.2

26.3

23.5

21.0

13.6

10.1

6.9

6.2

1.2

29.2

21.0

10

20

30

09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20

Wheat production and export from Ukraine, mln t

5.5

4.4

3.73.7

4.8

3.4

3.6

4.5

5.2

4.4

3.6

4.8

3.63.1

4.8

4.44.8

5.1 4.2

3.4

5.75.4

4.2

4.6

705 536 417 251 188TunisiaEgypt Indonesia Bangladesh Turkey

20.9

9.3

Yield,t/ha

Production,mln t



Compared withMY2018/19


WHEAT PRODUCTION IN UKRAINE AND WORLDWIDE IN MY2019/20

CROP PRODUCTION

486

114

732335

109

8

589

125

353

433

118

256

9671017

334

193208

538 522

629

438223

74

116

4.5

3.4

2.92.8

3.5

2.7

3.0

4.3

4.4

3.4

2.4

4.6

3.22.9

3.5

3.83.9

4.6 3.3

3.3

4.34.2

3.5

4.0

9.5

4.7

4

8

12

09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20

300 500 900

3.0 3.5 4.5

Production ImportExport

EU

Russia

Canada

Ukraine

Australia

Turkey

Kazakhstan

Argentina

USA

Iran

63.0

19.9

10.4

9.5

9.0

7.9

3.8

3.8

3.7

3.6

Saudi Arabia

China

Iran

Japan

Turkey

Morocco

Brazil

Libya

Thailand

EU

7.5

5.3

3.0

1.2

1.0

1.0

0.8

0.7

0.7

0.2

EU

Ukraine

Russia

Australia

Argentina

Canada

Kazakhstan

USA

7.8

4.7

4.0

3.2

2.6

2.4

1.4

0.13

247 161 63 55 44AlgeriaSaudi Arabia China Spain Turkey

Moldova 0.06

Uruguay 0.07

11.8

6.2

Barley production and export from Ukraine, mln t

Yield,t/ha

Production,thou. t





BARLEY PRODUCTION IN UKRAINE AND WORLDWIDE IN MY2019/20

CROP PRODUCTION

846

94

1449686

325

8

1021

61

508

1540

861

73

1063693

979

78

777

216 1481

641

513674

34

634

3.4

3.0

2.42.2

2.8

2.1

1.9

2.6

3.2

2.7

2.3

2.9

2.11.9

3.0

2.83.3

3.6 2.8

1.8

3.73.3

2.7

3.0

16.5

0.06

4

8

12

16

09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20

Production ImportExportCompared with

MY2018/19

500 700 1200

2.0 3.0 3.5

Ukraine

Russia

Argentina

China

Turkey

Kazakhstan

USA

Moldova

South Africa

16.5

15.3

9.6

3.3

3.3

1.8

0.9

0.9

0.8

0.8

Turkey

EU

China

USA

Iran

Bosnia and Herzegovina

Egypt

Serbia

Russia

Belarus

1.15

1.0

0.2

0.2

0.12

0.09

0.08

0.07

0.06

0.05

Russia

EU

EU

Moldova

China

Kazakhstan

Serbia

Argentina

Ukraine

Turkey

USA

1.4

0.6

0.5

0.5

0.4

0.2

0.2

0.08

0.06

0.05

3.4 2.2 2.0 1.8 1.6Turkey Finland Germany Georgia Netherlands

7.6

0.35

Sunflowerseeds production and export from Ukraine, mln t

Production,thou. t



Yield,t/ha


SUNFLOWERSEEDS PRODUCTION IN UKRAINE AND WORLDWIDE IN MY2019/20

CROP PRODUCTION

4.5

2.8

2

4

6

09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20

Brazil

USA

Argentina

China

Paraguay

India

Canada

Russia

Ukraine

Bolivia

126.0

96.7

49.7

18.1

9.9

9.3

6.0

4.5

4.4

2.8

Brazil

USA

Argentina

Paraguay

Canada

Ukraine

Uruguay

Russia

EU

Serbia

93.5

45.7

10.3

5.9

3.9

2.8

1.9

1.1

0.3

0.2

Production Export

China

EU

Mexico

Japan

Thailand

Taiwan

Turkey

Indonesia

98.0

15.7

6.0

Egypt 4.5

Argentina 4.7

3.6

3.4

3.0

2.9

2.6

Import

276

89

9

323

24

38

65

285

171

160

912

306

121

233

227 57

299

476219

120

179

2.4

2.5

2.4

2.1

2.2

3.6

2.2

2.1

1.8

2.8

1.21.8

1.9

2.5

2.2

2.5 1.6

3.4

2.72.1

2.1

2.1

120 250 300

2.0 2.5 3.0

265 135 118 78 51Turkey Egypt Belarus Italy Greece

1.0

0.26

Soybean production and export from Ukraine, mln t

Yield,t/ha

Production,thou. t





SOYBEAN PRODUCTION IN UKRAINE AND WORLDWIDE IN MY2019/20

CROP PRODUCTION

3.5

3.0

1

2

3

4

09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20

243

154

28167

128

168

73

147

149

185

198376

35

10042

227 19

192

238143

29

81

3.1

3.0

2.52.1

2.8

2.4

2.6

2.7

2.5

2.8

2.32.0

2.9

2.93.0

3.1 2.1

2.2

3.23.0

2.3

2.5

100 150 250

2.5 2.8 3.0

Canada

China

India

Ukraine

Australia

Russia

USA

Belarus

Pakistan

19.5

16.9

13.1

7.7

3.5

2.3

2.0

1.6

0.6

0.4

EU

EU China

Japan

Mexico

Pakistan

UAE

USA

Belarus

Bangladesh

Canada

6.3

2.8

2.3

1.3

1.0

0.7

0.6

0.3

0.2

0.2

Canada

Ukraine

Australia

Russia

USA

Kazakhstan

Moldova

EU

Argentina

Chile

10.2

3.0

1.8

0.4

0.2

0.09

0.08

0.03

0.01

0.01

Production Export ImportCompared with

MY2018/19

402 330 167 163 63Germany Belgium Netherlands France Poland

1.9

1.8

Rapeseed production and export from Ukraine, mln t

Production,thou. t



Yield,t/ha


RAPESEED PRODUCTION IN UKRAINE AND WORLDWIDE IN MY2019/20

CROP PRODUCTION

Production in 2015-19, thou. t

501 mln t — 2019 Zucchini — Niche crops499 mln t — 2015

Vegetables and potato production, mln t

Onion

957 998

Carrot

823 869

Beet

835 857

Cucumberand gherkin

9591 034

Pumpkin

565713

Cabbage

1 677 1 755

Tomato

2 274 2 224

Potato

20 839

20 269

Zucchini

496 633

Green peas

26 20

Garlic

176 215

Sweet andhot pepper

167 173

USD 185 mln

USD 212 mln

30 mln tvegetablesharvested

1.8 mln haharvested area

18.4 t/haaverage yield

2.3

1.5

0.76

0.65

2.0

0.77

0.53

1.2

Households

Agricultural enterprises

Vegetables harvested, mln t1.2

2.1

0.79

0.202.3

0.69

0.70

1.6

1.61.2

1.2

1.6

1.8

1.3

0.99

0.83

1.4

Vegetables export and import to Ukraine, USD mln

14.8

16.4

5.2Egypt

5.5Kazakhstan

Italy 6.5

China 7.2

9.4Uzbekistan

Spain 10.1

15.7Netherlands

22.7Poland

38.4Belarus

63.4Turkey

Bangladesh 4.1

Malaysia 7.0

Sri Lanka 7.2

Belarus 9.6

Pakistan

Italy

Spain 16.7

Poland 17.7

Turkey 19.3

India 22.2

100

200

2015 2016 2017 2018 2019

Import

Export

Eggplant

80 66

Cauliflowerand broccoli

26 23


VEGETABLES

CROP PRODUCTION

1 180

1 154

Nuts

115 126

Cherry

193 167

Sweetcherry

77 69

Plum

184 181

Pear

171 155

Wild and gardenstrawberry

64 63

Apricot

6584

Peach

16 24

Currant

26 27

Melon

461442

Apple Grape

386 366 499 thou. t — 2015 501 thou. t — 2019

59

222

49206

18

5982

8090

124

34915

12360

33

65

54

59

160

48

85162

40

238

Production in 2015-19, thou. t

Fruit and berries production, thou. t

USD 260 mln

USD 673 mln

2015 2016 2017 2018 2019

200

400

600

Turkey

Ecuador

Costa Rica

Greece

Spain

Egypt

Colombia

USA

Azerbaijan

Italy

187.8

74.5

51.0

41.9

41.5

37.6

18.3

17.8

15.5

15.4

Poland

Turkey

France

Belarus

Greece

Italy

Netherlands

Germany

Austria

Lithuania

36.8

34.6

19.7

13.9

13.9

12.6

9.8

9.4

9.3

9.1

Import

Export

Fruit and berries export and import to Ukraine, USD mln

Watermelon

117 114

Households

Agricultural enterprises

Fruit and berries harvested,thou. t

90

Pear — Niche crops

2.5 mln tfruit and berriesharvested

267 thou. hafruit and berriesproduction area

10.1 t/haaverage yield


FRUIT AND BERRIES

CROP PRODUCTION

Tomato

Cabbage

Onion

Carrotand turnip

Root crops

Pumpkin,

zucchini

Peas

Garlic

Sorghum

Plum

Red

pepper

Cherry,sw

eet cherry

Pear

Buckw

heat

Apricot

Eggplant

Bean

Rice

Triticale

Chick-pea

Mustard

Berries

Peach

Lentil

Fiber flax

5.3

50

3.1

6.7

3.8

21

0.1

0.8

1.2

1.8

0.5

3.31.3

106 0.9

4.70.8

20 0.2

2.5

0.2

18

0.4

0.0002

0.03

5.8

0.5

4.5

0.004

5.9

0.02

2.6

0.01

0.003

4.5

35

2.5

1.0

11

0.4

15

1.0

0.07

0.04

0.003

35

4.3

0.8

7.3

0.2

Niche crops production in 2015-19, thou. t

501 thou. t— 2015499 thou. t — 2019

Niche crops export and import to Ukraine in 2019, USD mln

Mustard

44 40

Fiber flax

6915

Industrial cropsLeguminous crops

Peas

378

573

Bean

48 64

Chick-pea

1341

Lentil

1 8

Buckwheat

12885

Millet

213170

Rice

63 55

Sorghum

188

192

Triticale

56 42

Grains


NICHE CROPS

CROP PRODUCTION

133Grains

52Oilseeds

14 Legumes

3 Fruit and berries

15.0

13.4

10.0

6.9

6.7

6.3

5.8

5.3

5.1

4.9

Arnika Group

Galeks Agro

APC Rodina

Agroekologia

Allinfoody Group

AC Lenin

Sviatovyt-Eko

Agroinvest-NaturalProducts

Biocore Ogranic

Ros Agro

Top 10 companies by organic farmland area, thou. ha

Organic farmland area by crops in 2019, thou. ha

The organic sector of Ukraine is competitive

and constantly growing even without state

support. Organic production is particularly

attractive, given the higher prices on the

international market.

597

294411

182164

142118

7231

Total area of organic farmland in Ukraine, thou. ha

100

200

300

400

2002 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 2019

200

400

600

Number of certified organic farms in Ukraine

2002 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 2019

The organic sector of Ukraine has come a long way

from several target-oriented "pioneers" in the 70s

to almost 600 certified organic operators in 2019.

309

411

273270242

164

289

6 Vegetables

21Sources: IFOAM, organicukraine

ORGANIC PRODUCTION

CROP PRODUCTION

Problems

Significant degradation of the technical condition of the main pumping stations, main and distribution channels, etc.

Insufficient supply of modern high-tech irrigation equipment on the area of more than 650 thou. ha

Irrigation systems irrecoverably lost

Unsatisfactory technical condition of the existing pumping and power equipment and high power intensity of water supply for irrigation

Poor technical condition of engineering infrastructure. Up to 40-50% of water is lost during transportation

Solution

Innovative and high-tech irrigation methods (drip irrigation, micro-irrigation, low pressure sprinkler systems and sprinkling machines)

Water and energy-saving, environmentally friendly irrigation and water consumption regulation modes

Implementation of filtration control measures at main and distribution melioration canals, water reservoirs, containment pools

Modern high-performance pump units equipped with sost-start and adjustable capacity

Equipping all water management systems with water flow monitoring and accounting devices

Planned and irrigated land in Ukraine,thou. ha

Area of restored irrigationsystems in Ukraine, thou. ha

2014 2015 2016 2017 2018 2019

13.612.4

10.1

15.8

4.44.7

1.5-2USD bln

needed for irrigationsystems restoring

in Ukraine

Irrigated land area by crops in Ukraine in 2017-19, thou. haIrrigated agricultural land, mln ha

1.77Planned irrigated land

Irrigated in fact

0.51 0.49 0.48 0.46 0.46 0.53

2014 2015 2016 2017 2018 2019

2017: 134 2018: 126 2019: 96121136 163

Grains and legumes

134 12696

Soybean

4562 63

Sunflower

23 25 26

Vegetables and potato

15.5

322.5

8.95.5

37.0

33.0

0.6

3.5

10.5

56.6

5.429.3

4.1

Planned but notirrigated

Irrigated land,thou. ha1.2

1.8mln ha

planned forirrigation

532thou. hairrigated in 2019

22Sources: Institute of Water Problems and Land Reclamation (IWPLR), State Water Resources Agency (SWaRA), AgroPogoda, State Statistics

IRRIGATION

LIVESTOCK FARMING

4 6 18mln head

Poultry

211.7 mlnhead

200 280 450thou. head

Pigs

6.0 mlnhead

120 160 220thou. head

Cattle

3.3 mlnhead

Regional livestock structure at the end of 2019

30 50 300thou. head

Sheepand goats

1.3 mlnhead

150 280 450thou. head

Rabbits

4.7 mlnhead

80 100 120thou. head

Cows

1.9 mlnhead

Livestock by farm types,mln head

Livestock export and importto Ukraine, thou. head

128 93 844710.1

0.722.7

0 00.25 0.250.5

1.05 2.04

3.3 2.4

0.2 1.04

3.4107Cattle

21.910.4Pigs

Sheep and goats

Poultry

Cattle

Pigs

Sheep and goats

Poultry

Agricultural enterprises HouseholdsExport Import

Livestock dynamics, mln head

Pigs

3.15.7

1.2

5

10

15

20

25

1990 2000 2016 17 18 19

Cattle

Goats and sheep

Geography of livestock export from Ukraine in 2019, thou. head

Cattle

12 Jordan

10 Egypt

5.4 Uzbekistan

38 Azerbaijan

36 Lebanon

Sheep and goats

1.2 Azerbaijan

0.3 Georgia

0.3 Armenia

19 Turkey

1.6 Lebanon

Poultry

0.08 Egypt

0.04 Lebanon

10 Georgia

Pigs


LIVESTOCK FARMING

LIVESTOCK FARMING

Regional meat production structure in 2019, thou. t

Meat export geography in 2019, thou. tTop 10 veal producing companies in 2019, %

0.14

0.1

0.08

0.05

0.04

0.03

0.03

0.02

0.02

0.02

Koziatynskyi Miasokombinat

Agro-Product

Zhytomyr Meat Factory

Rachynmyasoprom

Konotopmyaso

Pustomyty Myaso

Haisynmuaso

VKP Verbivsʹke

Lubnymyaso

Jantas

Export, import and production of meat in 2018, thou. t

Other

0.10.3

35

Production

Export

Import

Poultry

131414

1374Pork

Cattle

1.650

291

283

612

Poultrymeat

1.4 mlnt

10 20 100thou. t

Mutton,goat meat

13.9 thou.t

0.3 0.5 2thou. t

Pork

612 thou.t

20 35 50thou. t

Beefand veal

291 thou.t

15 20 24thou. t

Cattle PorkPoultry

60 Netherlands

47.9 Saudi Arabia

40.6 Slovakia

28.3 Iraq

26.6 Azerbaijan

0.75 Hong Kong

0.65 UAE

0.6 Vietnam

0.13 Angola

0.03 Georgia

17.1 Belarus

7.7 Kazakhstan

5.2 Azerbaijan

2.4 Turkey

2.1 Georgia

Meat production, thou. t in slaughter weight

954

1374

612

291

534

343

Pork Beef and vealPoultry meat

Meat production by farm types, thou. t

Agricultural enterprisesHouseholds

2010: 954 2019: 1374

0 00.25 0.250.5

1.1

79

318

1.2

0.5

294 Pork

11.1 Rabbit meat

7.7 Horse meat

212 Beef and veal

12.7 Mutton and goat meat

0

25Sources: State Statistics, meatbalance.org.ua, Your total market

MEAT PRODUCTION

LIVESTOCK FARMING

1 206 thou. t 168

0 00.25 0.250.5

9.4 bln units 7.3Eggs

Poultry meat

Agricultural enterprises Households

946

202

588

88

688

359353

2833556

383

483555

1308 642

320

289616

440

1025

845

746

306253 682

Birds' eggs,mln units

Poultry meat, thou. tin slaughter weight

419

74

20512

11

6

10

23

120

10

2

55

62

6

23

18

1235

5

18294

13

3

Top 10 eggs importing countries in 2019, thou. tTop 10 poultry meat importing countries in 2019, thou. t

Production, export and import of poultryproducts to Ukraine, thou. t

Eggs

5 137

851

Poultry meat

131 414

1374Production

Export

Import

Poultry products export dynamics, thou. t

414

137

72011 2012

100

200

300

400

2013 2014 2015 2016 2017

Poultry meat andedible co-products

Birds' shell eggs

Liquid eggs

10 50 200

934

205

846890

694

411

678

487

3310

583

73

581

275205

829

642

411

588707

870

1027793

348

291

600 800 1000

UAE Iraq BritishVirginIslands

HongKong

Latvia Qatar MoldovaLiberia SierraLeone

Gambia

Production by farm types

Netherlands SaudiArabia

Slovakia Iraq Azerbaijan UAE Armenia HongKong

Moldova Egypt

60

4841

28 2722

17 15 12 10

38.5

16 14.2 139.5 7.9 7.1 4.9 4.5 3.7

26Sources: State Statistics, meatbalance.org.ua

POULTRY FARMING

LIVESTOCK FARMING

4 5 710 12 15

Amount of feedper 1 hwt of pig weightgain, hwt of fodder unit

Amount of feed per1 hwt of cattle weightgain, hwt of fodder unit

Export, import of mixed feed, thou. t Mixed feed production in 2013-19, mln t

1.41.1

0.70.6

3.8

4.2

0.8

0.5

1

2

3

4

2013 2014 2015 2016 2017 2018 2019

For pigs

For cattle

For poultry

Other

2017 2018 2019

63.0

72.5

78.5

20.416.8

25.7

1.2

1.9

2.0

2.0

2.1

2.5

Top 10 mixed feed producers by market share, %

30.4 MHP

7.1 Ukrainian Grain

5.2 Ukrlandfarming

4.6 Ovostar Union

41.0 Other

Globyno

Volodymyr-Volynska Poultry Farm

Nyva Pereyaslavschyny

Agro-Oven

Dniprovska Agro-industrial Group

APK-Invest

9

13

1412

16

9

11

16

12

11

13

14

1115

14

10

14

15 14

11

1713

10

12

8.7

4.6

5.83.9

4.3

4.8

5.4

3.3

4.6

6.1

9.6

3.6

6.55

4.1

6.5

6.2

6 4.5

4.7

7.85.7

4.5

5.3

27Sources: State Statistics, Your total market

FEED PRODUCTION

LIVESTOCK FARMING

92.7 thou. t

Total volumeof bioresourcesproduced

Average consumption of fish and fish productsin households, kg/month per capita

Production of waterbioresources in 2019,thou. t

2

0.5

3.74.3

0.8

0.2

9.1

0.5

3.6

1.1

0.1

0.8

26.217.1

1.3

0.4

1.9

0.41

6.5

0.65.9

0.8

0.6

1 5 10

Output of water bioresources by production regions in 2019, thou. t

Aquaculture

Inland waters

Azov Sea

12.7

22.9

15.1

42Black Sea andAntarctic Atlantic

34.6 Sea food and crayfish

58.1 Fish

Top 5 bioresources by volume of production in 2019, thou. t

11.210.1

9.2 8.87.6

Clams Goby Silver carp Crucian carp European carp

Export and import of fish and fish products, t

6 965

7 333

22 537

32 294

Frozen fish 398

Fish fillet andother fish meat 3 707

Fresh orchilled fish 158

Crustaceans 122

Dried, saltedor smoked fish 496

Shell fish 1 089 3 604

Live fish 328 6.8

285 285

1.8 1.7 1.7 1.81.6

1.2 1.2 1.3 1.4 1.5

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019


FISH INDUSTRY

LIVESTOCK FARMING

2.6 mln

Honey-bee coloniesin Ukraine

69.9 thou. t

Honey productionin 2019

3.9

0.3

5.24.6

7.4

1.0

4.4

1.9

1.4

4.3

2.3

1.0

5.52.6

3.3

1.3

3.9

1.3 3.3

0.9

5.72.1

0.9

1.3

Honey production, thou. t

2 3 5

171

24

123142

197

70

110

143

51

117

48

64

163105

146

45

123

54 114

45

304106

84

53

Number of honey-bee colonies, thou.

50 100 140 300

Export and import of honey, thou. tHoney production dynamics, thou. t

71 70 7074

6764

59

6671 70

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Top 10 importing countriesof Ukrainian honey, thou. t

12.3Germany

11.8Poland

6.0Belgium

5.1Lithuania

3.9USA

2.9Turkey

2.9France

1.9Denmark

1.7Spain

1.3 CzechRepublic

5.8 Other

2015 2016 2017 2018 2019

36

57

68

49

56

0.02 1.18 0.06 0.02 0.02


APICULTURE

PROCESSING INDUSTRY

3 7153 939 Export, thou. t

Production, thou. tExport,50 thou. t

Production,50 thou. t

—

—

Fermented dairyproducts

4116

Cheese 1877

Kvass 99

Sugar 1473237

Beer 1833113

Bread andbakery products

85426

Rapeseed, canola,mustard oil

144151

Margarine 1389

Flour 1666367

Pork 6123

Beef and veal 29152

Soybean oil 281375

419109

Sauces andcondiments

24633

Cognac, brandy,liqueurs

107

Mineral water 150011

Juice

Dried milk 5130

Chocolate andsugar confectionery

418158

Ice cream 1746

Poultry meat 1374416

Butter 9018

Flavoured water 1537134

Pasta 7126

Confectionery 473104

Tinned fruitand vegetables

26885

Vodka 10947

Sunflowerseed oil 56065543

31Sources: State Statistics, meatbalance.org.ua

PRODUCTION OF BASIC FOODSTUFFS

1 Calculations were made on the basis of coefficients as followed: ice cream 1 kg — 0.9 liter, vodka 1 liter — 0.95 kg, juices 1 liter — 1.05 kg

PROCESSING INDUSTRY

84.0

79.6

13.92.9

13.7

China

Poland

IndiaGermany

2.4 Oman

Other

Top 5 largest producers in MY2019/20, %

Refined oil Unrefined oil

Top 5 export directions for Ukrainian vegetable oil in 2019/20, USD mln

India

China

Netherlands

Spain

Iraq

1171

602

378

332

294

Other1423

101.7

23.6

5.45.3

6.7

China

Poland

LithuaniaGermany

3.3 Netherlands

Other

Globyno Processing Plant (Astarta-Kyiv)Allseeds Black Sea 15.8%32.7%6.2%17.2%European Transport StevedoringCompany (Bunge)

Delta Wilmar CIS

Katerynopilsky Elevator (MHP)13.6%Oliyar15.7% 19.2%5.2%Zaporizhzhya OEP(OptimusAgro Trade)

Dnipropetrovsk OEP (Bunge)

13.4% Viktor & KVinnytsya OFP (ViOil)10.1% 18.4%4.0% Vinnytsya OFP (ViOil)Poltava OEP (Kernel)

11.5% Elevator Bud Invest (Adampolsoya)Delta Wilmar CIS8.1% 11.0%4.0%Oliyar Black Sea Industries (Kernel)

5.2% Greenstone Protein (Protein Production)7.0% Gradoil OEP6.9%3.9% Prydniprovskyi OEP (Kernel)GradOil Refinery

Other41.9% Other OtherOther11.9%76.7% 40.4%

September-June

Production and export of vegetable oil in MY2019/20, thou. t

7 0556 350

325330

183184

Production, thou. t

Export, thou. t

Rapeseed oilSunflowerseed oil Soybean oilin 10 months in 10 monthsin 11 months

in 10 months in 10 monthsin 11 months

September-June September-JuneJuly-June

32Sources: State Statistics, USDA, UkrOilProm Association

VEGETABLE OIL INDUSTRY

PROCESSING INDUSTRY

29.0%Other

Top 10 soybean cake importingcountries in MY2019/20, USD mln

Top 10 soybean meal and cakeproducers in MY2019/20, %

65

48

32

19

11

11

10

3

3

3

Belarus

Poland

Hungary

Turkey

Azerbaijan

Romania

Georgia

France

Moldova

Armenia

15.5Globyno ProcessingPlant (Astarta-Kyiv)

12.9Viktor & K

12.6KaterynopilskyElevator (MHP)

11.2Elevator Bud Invest(Adampolsoya)

4.7GreenstoneProtein(ProteinProduction)

4.4Pology OEP

3.4TavriaAgroinvest(Kahovka Protein)

2.6Vinnytsya OFP(ViOil)

2.0AgrofirmaVidrodzhennya

1.7Yavir-Invest

55.3%Other

Top 10 sunflowerseed cake importingcountries in MY2019/20, USD mln

Top 10 sunflowerseed meal and cakeproducers in MY2019/20, %

6.1European TransportStevedoring Company (Bunge)

5.3Zaporizhzhya OEP(OptimusAgro Trade)

3.9Black Sea Industries(Kernel)

3.7Prydniprovskyi OEP(Kernel)

3.6Vinnytsya OFP(ViOil)

3.5ADM-Illichivsk

3.5Kahovka OEP(Cargill)

3.3Bandurka OEP(Kernel)

3.1DnipropetrovskOEP (Bunge)

2.9AllseedsBlack Sea

Difference betweencake and mealIndustrial processing of seeds results in oil and oil cake, which still contains much oil. It is retrieved by additional extraction with organic solvents and the meal is produced with a fat content not more than one or two percent.

363 China

71 France

64 Poland

Belarus64

India57

Morocco51

Turkey47

Spain39

Netherlands26

Italy26

Production and export

100

200

300

15/16 16/17 17/18 18/19 19/20

257

196189

Rapeseed meal, thou. t

500

1000

1500

15/16 16/17 17/18 18/19 19/20

751

1103

700

347

2

4

6

8

15/16 16/17 17/18 18/19 19/20

6.8

5.04.8

3.8

Sunflowerseed meal, mln t

in 10 months in 10 months

in 10 months in 10 months Soybean meal, thou. t

33Sources: State Statistics, USDA, Your total market

MEAL AND CAKE

PROCESSING INDUSTRY

Sausages andsimilar products

Other finishedor tinned products

USD 1.5 mln USD 8.8 mln

Top 5 meat products export directions in 2019, USD thou.Export of finished meat products in 2015-19, USD mln

Meat products production, thou. t

2015: 383 thou. t 2019: 340 thou. t

10.6 8.5

Meat of swine, salted, in brine,dried or smoked

0.4 0.3

Meat of bovine animals, salted,in brine, dried or smoked

7.4 7.2

Salted, in brine, dried or smoked meat; meat products other than pork,

beef and veal

236235

Sausage products

128

89

Canned food and finishedmeat products

1.10.5

1.1 1.4 1.5

6.6

9.0

6.8

8.38.8

2015 2016 2017 2018 2019

Sausages and similar products

Other finished or tinned meat products

GeorgiaGeorgia 4 271760

MoldovaAzerbaijan 1 433194

RomaniaMoldova 1 080174

NetherlandsGabon 23648

Saudi ArabiaJordan 45156

OtherOther 1 349256


MEAT-PROCESSING INDUSTRY

PROCESSING INDUSTRY

Kremenchuk Dairy Plant (Danone)3.0

763

369

285174

518

511

350260

220

429

396

300

114

481

299321

759

358

396

455 519

283

636467

Milk production in 2019, thou. t

200 400 600

24.5

12.711.2 10.6

9.7

1990 2000 2010 2015 2019

Milk production in 1990-2019, mln t Top 10 milk and dairy productsproducers in 2019, %

Dairy products production, exportand import in 2019, thou. t

946.66.2 Milk,cream

61.0

186.8Cheese3.4 7.0

89.3Butter3.4 18.3

59.93.2 Milkwhey

24.1

51.5Driedmilk

8.6 30.2

1

2

3

4

5

2010 11 12 13 14 15 16 17 18 2019

0.85

0.34

Received on a tolling basis and produced

Purchased from households

2.61

Purchased from enterprises

Milk processing, mln t

5%

27%31%

36%

58%

32%

6%4%

0% 1%

Extra Higher grade I Grade

II Grade Off-grade

Milk processing by quality, %

0.2% 0.1%

17%12%

75%

83%

8% 5%

2012 20192012 2019Enterprises Population

Production

Export

Import

Vinnytsya Dairy Plant Roshen11.3

Lustdorf6.6

Andrushivskyi Dairy Plant (Alliance Group)4.7

Yagotynsky Butter Plant (Milk Alliance)4.5

Milk Company Galychyna3.9

Wimm-Bill-Dann Ukraine3.7

Molochniy Dim (Lactalis Ukraine)3.3

Milk Company Milk Line3.1

Combine Prydniprovsky3.0


DAIRY INDUSTRY

PROCESSING INDUSTRY

Number of operating sugar plants

20

40

60

80

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

5

10

15

20

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

1.5

10.213.7

1.8

46.1

28.0

33

73

2015/16 2016/17 2017/18 2018/19 11M of2019/20

Sugar export, USD thou.

81

366

216

144

36

Sugar beet yield, t/ha

20

40

60

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Production of sugar beet and sugar, mln t

33 sugar plantswere operatingin MY2019/2019.3

7.5

5.3

4.7

4.5

4.4

4.3

4.2

3.9

3.5

Azerbaijan

Tajikistan

Georgia

UK

Israel

Kyrgyzstan

Romania

Uzbekistan

Russia

Moldova

10.0%

8.9%

7.5%

7.1%

6.5%

6.1%

5.2%

4.8%

3.4%

3.4%

Food Company Podillya

Food Company Zorya Podillya

Radekhiv Sugar (Diamant branch in Lviv region)

Salyvonkivskyi Sugar Plant

Radekhiv Sugar (Diamant branch in Ternopil region)

Radekhiv Sugar (Diamant branch in Khorostkiv)

Yaresky Sugar Plant (Astarta-Kyiv)

Narkevitskiy Sugar Plant (Astarta-Kyiv)

Teofipol Sugar Plant (Ukraine-2001)

Novoorzhytskiy Sugar Plant (Astarta-Kyiv)

Top 10 sugar importing countries from Ukraine in 2019, USD mln

Top 10 sugar producersin 2019, %

43 50 60t/ha

Sugar beetyield, t/ha

46 t/ha

300 600 1000thou. t

10.2 mln t

Sugar beetproduction,thou. t

36Sources: State Statistics, UkrSugar

SUGAR INDUSTRY

PROCESSING INDUSTRY

2 056

1 586

Sweet biscuits70.5 19.8

Other51.0 41.8

Waffles andwafers40.2 13.1

Rusks, toastedbread and similar

products7.2 5.6

Cakes4.4 0.8

Chocolate andcocoa products 150.4169.6

Wheat ormeslin flour

7747

Sugar confectionerycontaining cocoa

Production of bakery andconfectionery products, thou. t

2015: 3.8 mln t

2019: 3.0 mln t

167 152

Sweet biscuits

48 52

Waffles andwafers

84 78

Toffees, caramelsand similar

sweets

58% Other

22.6

18.1

17.2

12.0

10.3

Belarus

Romania

Moldova

Kazakhstan

Azerbaijan

Top 5 export directions in 2019, USD mln

8.1% Kyivkhlib

3.9%Cherkasykhlib

3.6%PershyyStolychnyyKhlibozavod

3.7%ConcernKhlibprom

3.6%Bakery Complex Kulynichivsky

77% Other

Top 5 bakery products producers, %

7.9%KremenchukFactory Roshen

4.9%MondelezUkraine

4.0%Grona

4.0%KharkivBiscuitFactory

21.1% Roshen Vinnytsya Confectionery

Top 5 confectionery producers, %

Export and import in 2019, USD mln

27 29

Boiled sweets,whether or not filled

39 45

Chewing gums,fruit jelly andpâte de fruits

4590

Chocolate and otherproducts containing cocoa,

in blocks, slabs or bars

76 85

Chocolate sweets

1 232

854

Bread and bakeryproducts


BREAD AND BAKERY


Export and import in 2019, USD mln

Agricultural machinery availability, thou. units

Harrows Tractors Cultivators Planters Ploughs Combine harvesters

Combine harvesters 168.41.1

Tractors 611.34.7

Planters, seeders10.6 106.8

47.5Other machines9.9

6.5 Mowers 35.2

17.1Harrows2.8

Top 10 exporting countries, %

25.4%Germany

16.4%USA

8.5%Poland

7.7%China

6.6%Netherlands

5.6%France

5.1%Belgium

4.4%Belarus

3.3%Italy

3.0%UK

14.0%Other

2014: 555 thou. units 2019: 515 thou. units

Agricultural machinery in regions in 2019, thou. units

131 thou.units

1.2 6 9thou. units

283 thou.units

2 3.5 5thou. units

Domestic machinery production, thou. units18.5

7.4

Harrows Rippers,cultivators

7.4

3.3

Planters, seedersand transplanters

7.4

3.3

Ploughs

6.12.2

Tractors

5.4

1.4

Tractor-mountedmower

1.7 1.0

Sprinklers,sprayers

0.8 1.0

TractorsTillagemachinery

Combineharvesters

35 thou.units

0.8 1.2 2thou. units

Planters

67 thou.units

1 3 5thou. units

2011: 47.3 thou. units 2019: 19.3 thou. units

200

160

131 131

70 72 66 6748 51

42 35

39Sources: State Statistics, cema-agri.org

AGRICULTURAL MACHINERY AND EQUIPMENT


Top 5 seeds importingcompanies in 2019, %

Seeds certified for planting and market quality in 2019

RapeseedSunflower Corn SoybeanBarleyWheat

Numberof certificates

1 1928 835 5 357 1 2302 7346 303

Volume, thou. t 5.045.6 122.8 25.361.8145.1

New varieties

209901 1 308 152162481

13.7%

12.2%

10.9%

6.3%

6.2%

50.6%

Syngenta

Pioneer Seeds Ukraine

Monsanto Nasinnya

Khmelnytsk-Mlyn

Olimp

Other

25 651New seed certificates issued

403 thou. tVolume of certified seeds

40Sources: agro.me.gov.ua, Your total market

SEEDS


CPP production in 2019, t

Disinfectants449

Insecticides438

Fungicides, bactericides and seed dressers273

Rodenticides and CPPs83

Disinfectants based on quaternary ammonium salts16

CPP export and import in 2019, USD mln

437

Insecticides

6.1

302Fungicides3.5

Herbicides, growthregulators and germination

control agents

1743.9

19.4Other2.5

Pesticides application in 2019, thou. t

0.94

0.23

1.10.61

0.54

0.03

1.0

0.15

0.77

1.0

0.56

0.33

0.791.0

1.1

0.24

0.86

0.511.1

0.67

0.81

0.78

0.09

0.93

Pesticides application in 2019, mln t

0.1 0.5 1

Top 10 market players in 2019, %

17.0Bayer

16.0BASF

16.0Syngenta

10.0Corteva

7.0Adama

3.0Agro-him-teh

2.6DEFENDA

2.4 GreenExpress

2.1Terra Vita

1.8UPL

22.1Other

7.1Sunflower

5.0Corn for grain

4.1Wheat

2.5Soybean

2.1Rapeseed and colza

0.96Sugar beet


CROP PROTECTION PRODUCTS (CPP)


Organic and mineral fertilizersapplication in 2019, thou. t

Organic and mineral fertilizersapplication in 2000-19, mln t

595

1421

4021359

586

39

170

3461

1190

105

123

360

22169

950

792519

488 512

205

6441326

310

673

100 500 1000

Organic fertilizers application in 2019, kg/ha

146

194

101152

114

116

88

142

122

102

97

127

100124

101

145

145

181 95

83

119123

69

154

Mineral fertilizers application in 2019, kg/ha

100 120 150

0.3 0.6 1.1 1.4 2.3

29.0

13.4

10.0 9.711.4

2000 2005 2010 2015 2019

Corn for grain 2 916 528

Wheat 6661 852

Sunflower 4021 863

48Sugar beet 690

Rapeseed and colza 407 202

Soybean 383 80

Import of fertilizers in 2019, USD mln

756

364

55

21

Complex

Nitrogen

Potash

Phosphate

Top 5 fertilizer producers, %

Sodium nitrate and mixturesNitrogen fertilizers

77.0% Sumykhimprom PJSC

13.0% Dnipro Mineral Fertilizers Plant PrJSC

2.9% RPC Kvadrat0.9% Clariant Ukraine LLC0.6% Other

5.6% Oriy LLC

22.0% Dniproazot JSC

16.7% Rivneazot PJSC

8.2% Severodonetsk Azot Association PrJSC

5.6% Other

9.3% Odesa Portside Plant PJSC

38.1% Azot PJSC


FERTILIZERS


Top 10 companies by grain storage capacity in 2019, mln t

1

3.6

SFGCU

2

2.7

Kernel

3

2.7

Ukrlandfarming

4

2.0

NIBULON

6

1.2

State Reserve

7

1.1

MHP

8

0.86

OptimusАgro Trade

5

1.2

Prometey

9

0.82

Epicentr Agro

10

0.82

TESSLAGROUP

Total storagecapacity, mln t

86

24

8833

47

4

54

10

56

96

21

32

6890

103

26

54

51 80

60

6859

10

66

Number of grain elevators

20 50 80

3.8

0.73

3.21.1

1.2

0.17

2.1

0.51

2.5

3.5

0.86

0.83

4.35.2

5.0

0.90

2.6

1.7 2.9

2.0

2.72.4

0.23

2.3

1 2.0 3.0

1286Grain elevatorsin Ukraine

52.7 mln tTotal storage capacityin Ukraine

43Source: elevatorist.com

GRAIN STORAGES


1 2

5

3

64

Green tariff obtained

Company Produceselectric power

and heat energy

Capacity, MW

Green tariff — the tariff at which electric power produced at electric power facilities using alternative energy sources is purchased.

Producers of energy from renewable sources have the right to:

1. Guaranteed connection to existing energy networks.

2. Guaranteed purchase of all energy produced from renewable sources by power supply companies.

3. Unchanging tariffs, under which energy is purchased, during their validity period.

As of the beginning of 2020, the highest rates for green tariff in Europe are effective in Ukraine.

6 environmental impacts of biogas projects implementation

Installed capacity of biogas projects, MW

022017

03 04 05 06 07 08 09 10 11 12 012018

02 03 04 05 06 07 08 09 10 11 12 012019

02 03 04 05 06 07 08 09 10 11 12 012020

20

34

46

66

86

0

14

0

20

40

20

40

60

80

Total

Newly launched

7 7 7

0

13

8 79 8 9 9 9

13 1314

1315 14

15 1614

17 16 16 15 15

18 18 18 1820

22 2325 26

30Production of electricity by biogas projects, mln kWh

022017

03 04 05 06 07 08 09 10 11 12 012018

02 03 04 05 06 07 08 09 10 11 12 012019

02 03 04 05 06 07 08 09 10 11 12 012020

Efficient use of agricultural waste including animal by-products: manure and dung

Reduction of waste storage area or complete rejection of manure and dung storage

Electricity production — a solution to the problems of energy dependency of the enterprise and the country

Fermentation residues are quality fertilizer that can be either marketed or used instead of mineral fertilizer

Reduction of greenhouse gas emissions

No adaptation period for biofertilizer saves time and storage area

Vinnytsya Poultry Factory of MHP 12.0

Teofipol EnergyCompany

Agricultural company 10.5

Sugar plant 5.1

Korsun Eco Energo 7.5Not launched in 2019

Oril-Leader PrJSC of MHP 5.7

Yuzefo-Mykolaiv Biogas Company 3.2

Komertsbudplast 3.1

Rokytne Sugar Mill 2.4

Horodyshche-PustovarivskaAgrocompany

Sugar plant, Chernihiv 2.4

2.4Kyiv

1.2Pig farm, Chernihiv

Energo Sich 2.2

Ecoprod Agrarian Company 1.5

Goodvalley Ukraine (Danosha) 1.2

TH Vimeksim 1.2

Ekokoshet 1.1

Ukrainian Dairy Company 0.63

Demetra Bioenergy 0.53

Globyno Sugar Plant of Astarta-Kyiv 0.5

APrJSC Ukraine 0.4

Sigma Agricultural Company 0.32

Kyiv Bio Center 0.3

Elita Agricultural Company Not launched in 2019 0.25

Agro-Oven Corporation 0.16

Zelenyi Hai Agricultural Enterprise 0.13Not launched in 2019

Demis-Agro Agricultural Company 0.13Not launched in 2019

Pig Farm of PJSC Zaporizhstal 0

44

BIOENERGY

Sources: saf.org.ua, nerc.gov.ua, ecolog-ua.com


Delivery by rail, mln t

Other

29 31 36 33 40

321 313 304289 273

2015 2016 2017 2018 2019

Grain and grain mill products

Transportation by motor companies, mln t

2015 2016 2017 2018 2019

11 12 13 13 19

98111 113 122

171

Top 10 river grain elevators by storage capacity in 2019, thou. t

97.9

96.2

94.0

92.0

77.0

77.0

76.0

76.0

76.0

75.2

Voznesens'ka Branch of NUBULON

Kremenchuts'ka Branch of NIBULON

Svitlovodsk River Terminal of AgroVista

Kozats'ka Branch of NIBULON

Khortytsia Branch of NIBULON

Holoprystans’ka Branch of NIBULON

Pereyaslavs'ka Branch of NIBULON

Novoodes'ka Branch of NIBULON

Ternivs'ka Branch of NIBULON

Vitove Branch of NIBULON1.2

8.9

16.2

Top 5 ports by share in total transshipmentin 2019, mln t

Grain transshipment in Ukrainian ports, mln t

10

20

29

16 18

3127

3337

39 39 40

54

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Port of Mykolaiv

11.0Port of Pivdenny

12.7Port of Chornomorsk

Port of Odesa

Specialized SeaPort Olvia

Grain hopper car fleet of Ukraine, thou. units

Exceeding the standard service

life

29.2Grain hopper

cars in Ukraine

Within the standard service life

14.914.3

45Sources: CFTS-Consulting, Ukrainian Sea Ports Administration (USPA), Elevatorist.com

AGROLOGISTICS

FINANCES

669725 718

777

617

502

586 579

452

2009 2011 2012 2013 2014 2015 2016 2017 2018 2019

Capital investments in Ukraine's agricultural sector in 2019, UAH blnCosts for the acquisition of long-term assets: the initial value of buildings and structures, new machines and mechanisms, intangible assets (patents, licenses, know-how, etc.)

Capital investments in agriculture,hunting and related services

By type of economicactivity, UAH bln

By type of economicactivity, USD mln

2010

254

62

249

Industry

Construction

Other

2011 2012 2013 2014 2015 2017 201920182016

542as of December 31

Capital investment by type of activity in 2019

Capitalinvestmentby regionsin 2019

Direct investments in Ukraine's agricultural sector, USD mlnThe total amount of direct investments (share capital) made by non-Ukraine residents

Direct investment dynamicsAs of January 1 of every year

Direct investment by type of activityAs of January 1, 2020

Origin countries of direct investmentAs of January 1, 2020

10.816.1

18.6 18.2 18.4

29.3

49.7

63.4

65.1

58.6Production of annual and biennial crops44.4

Livestock farming10.3

Post-harvest and auxiliaryagricultural activities2.4

1.0 Production of perennial crops

0.31 Mixed farming

0.04 Plant reproduction1 2 3

4.0

1.3

2.60.88

1.8

0.15

1.8

0.74

6.6

3.1

1.1

1.6

2.11.9

3.9

0.82

3.1

3.1 3.0

2.3

2.53.6

0.16

4.2

Other10.3

Production of perennial crops21.2

Post-harvest and auxiliaryagricultural activities

42.3

Livestock farming171.1

Production of annualand biennial crops

293.3211Cyprus

51Denmark

45Poland

31Germany

28France

28USA

18Sweden

18UK

66Other

59 Agribusiness

11 596 Industry

1 036 Construction

22 635 Other

542 Agribusiness

13BritishVirginIslands

34Nether-lands

Excluding data from the temporarily occupied territories of the AR of Crimea and the Joint Forces Operation for 2014-17


INVESTMENT IN AGRICULTURAL SECTOR

FINANCES

NYSE

LSE

Alternative InvestmentMarket (AIM)A market with less stringent requirements, designed for young, innovative companies.

Global DepositaryReceipt (GDR)Bank certificate for shares in a foreign company. Receipts are necessary for investors of one country to invest in securities at the exchange of another country and at the same time to invest at the exchange they are already familiar with. GDRs are widely used when investing in emerging markets.

WSE

The volume of funds attracted by Ukrainian companies during IPO/SPO, 2005-2013, USD mln

2CerealPlanet

Astarta

32

84KernelSPO-1

368MHP

Agroliga 1

Milkiland 78

KernelSPO-2 81

Agroton 53

165MHP SPO

229Avangardco

UkrproductGroup

11

220Kernel

Landkom

111

Ovostar Union33

30

KSG Agro39

140 KernelSPO-3

Industrial Milk Company

ContinentalFarmers Group

24

16 AgroGeneration(SPO)

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Indicators of Ukrainian agroholdings at stock exchanges as of September 4, 2020

Price within 52 weeks (9.09.19-9.09.20) Current share price Share price change, % per yearMarket cap, mlnCompany MaxMin Share price / Earnings per share (P/E)Stock exchange

Warsaw Stock Exchange (WSE), PLN

London Stock Exchange (LSE), USD

Astarta 4.5

-27.3Kernel

Agroliga—Agroton

4.0

KSG Agro

-0.2

Ovostar Union

1.5

Industrial Milk Company

69.6

363 249 14.5 -37%

-13%5132 38.83260

37 2613 24.1 32%

87 52 4.0 45%

Milkiland (as of July 26) 18 0.8 0.60.2 31%

21 20.9 1.4 33%

390 65.0 -18%63 90

354 1710 -30%11.3

-39%

2.0

5 10590MHP 5.5

-100%

2.7

0.01 0.24 0.01AvangardCo

48Sources: bankier.pl, londonstockexchange.com

UKRAINIAN AGRIBUSINESS ON STOCK EXCHANGES

FINANCES

Structure of loans in agriculture by maturity, %Year-end data

100%

As of January 1, 2020

Year-end data

45% 46% 44% 30% 36% 43%

46% 42% 36% 38% 45% 51%

9% 12% 20% 31% 19% 6%

2014 2015 2016 2017 2018 2019

55.348.4

55.459.7

67.761.6

20

40

60

80

2014 2015 2016 2017 2018 2019

Agricultural sector crediting dynamics, UAH bln

Up to 1 year

From 1 to 5 years

Over 5 years

NBU discount rate from 2001 to 2020, %

2002 2004 2006 2008 2010 2012 2014 2016 2018 2020

5%

10%

15%

20%

25%

30% Discount rate is the rate of interest that a country's central bank charges for lending money to other banks. This affects the interest at which commercial banks lend to citizens and businesses. The higher the rate, the more expensive the money is in the economy. By lowering the discount rate, central banks seek to stimulate economic growth, while higher rates help curb inflation.1.7

0.9

8.10.5

0.5

0.2

2.2

0.4

18.4

1.9

0.3

2.5

1.83.9

2.3

0.7

1.4

1.75.6

1.3

1.6

2.2

0.2

1.3

Agribusiness crediting,UAH mln

1 2 5

6%

49

CREDITING OF AGRIBUSINESS

Sources: Bank.gov.ua, Ministry of Finance of Ukraine

FINANCES

¹ As of November 1, 2019

¹ As of November 1, 2019

Financial support from the general state budget, UAH mln

Financial support from the special state budget, UAH mln

Forestry, hunting, protection and preservation of forests Farm crediting

Support for activitiesin the agro-industrialcomplex

Support of activitiesin the agro-industrial complexunder financial leasing terms

288

184

187

44.5

32.4

34.5

5.0

2.4

2.4

4.8

0

1.1Allocations receivedto the Ministry's accounts

Transferred to recipients¹

Transferred to recipients¹

Approved in financingtargets for 2019

Agriculturalproducers

Livestock farming, storage and processing of agricultural products, aquaculture Cheaper loans

Farmdevelopment

Farmcrediting

Hop growing,horticulture,viticulture andberry growing

3500

2220

1482

1216

Allocations provided

Actually allocated¹

Approved in financingtargets for 2019

State support of agro-industrial complex, amountsapproved by the budget, UAH bln

5.4

6.35.9

4.0

2017 2018 2019 2020

Main directions of incentive for agricultural sector of Ukraine

Development areasStimulated industries

Livestock farming Crop production

Food and processing industry

Hydromelioration reconstruction

Logistic and agricultural market infrastructure

Bioenergy

Organic farming

Agricultual machinery manufacturing

Implementation of state agrarian interventions

Financial support for agro-industrial production

Conditions creation for small agricultural producers

400

205

120

120

140

140

200

96

127

104

127

103

800

459

152

153

882

597

581

495

50

STATE SUPPORT OF AGRICULTURAL SECTOR

Source: AgroPolit.com

FINANCES

-8 420-1 847 -25

Tax structureof agro-industrialcomplex for 1H 2019,UAH mln Agriculture, hunting and related services Forestry and logging Food production

7 172 2 3151 067VAT on goods produced in Ukraine

2 6166 886 662Personal income tax and war tax

Property tax 942 049 280

211 778 5Single tax

863Income tax 88451

2921Rent 619

40 202Environmental tax

0 42Excise tax

VAT refund 0

Fisheries

21

25

20

10

3

2

0

0

Where the tax reform is moving Singe account for agriproducers

Registration of invoices for risk group of goods (wheat, nuts, metals and rolled metal products, medicines and household appliances), even if a company is not a VAT payer.

Increasing the minimum rate of land tax from 0 to 0.8%, and introduction of 'unconditional income' concep from the cultivation of land plots with an area of two or more hectares.

A single account for payment of taxes, duties and single tax was provided to taxpayers. The system of taxes and duties payment was introduced, as well as single tax through the E-Cabinet of the taxpayer to a single account, which the taxpayer can open with the State Treasury Service. Exceptions are VAT and excise tax on the sale of fuel and ethanol. They are paid through electronic accounts in the electronic VAT administration system, system of electronic administration of fuel sales (SEAFS) and ethyl alcohol.

Soybean-rapeseed amendments

On January 16, 2020, the Parliament adopted the bill No. 1210 on the abolition of soybean-rapeseed amendments. Now all agrarians without exceptions receive VAT refund for grain export.

51

TAXES IN AGRICULTURAL SECTOR

Source: AgroPolit.com

AUTHORS

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