A bit of information about the agricultural sector in Ukraine.
The news is hardly positive in the general sense, but it confirms the transfer of a significant part of agricultural production to other regions and the high demand for the products of companies in the western regions of Ukraine
The Ukrainian agricultural sector is in a difficult situation.
What did the analysis of the latest data of the State Statistics Committee show?
How the agrarian map of Ukraine has changed over the year, how production of grain, fruits and vegetables has fallen and why the crops of buckwheat have grown many times over.
Because of the war Ukrainian farmers lost not only their physical space and crops, but also their ability to export their products and earn money. The combination of these two factors led to disastrous consequences.
This is evidenced, in particular, by the latest data from the State Statistics Committee on the work of the agro-industrial complex in 2022. During this time, the grain harvest has fallen by almost 40%, vegetables - by 25%, fruits - by 10%.
Vegetables in 2022 in Ukraine were harvested by 24.4% less than in 2021. In absolute terms, it is a loss of 2.4 million tons of products, half of which are tomatoes. The yield of tomatoes has fallen by half because they were most cultivated in the Kherson region. Before the big war, every fourth Ukrainian tomato came from there.
Cherkasskaya (+5%) and Odesskaya (+15%) oblasts helped to compensate the lost production volumes of Kherson oblast. The reason is the gravitation of vegetable growing to water * , explains the deputy chairman of the All-Ukrainian Agrarian Council Denis Marchuk. In the Odessa region there are irrigation systems that can water the fields, and in Cherkasy region there is an outlet to the Dnieper.
No water. How the disaster at the Kakhovskaya HPP could destroy vegetable growing in the South
Another factor is the reorientation of farmers.
Firstly, in conditions when there was a deficit of vegetables on the domestic market, many producers reoriented some of their farmland to vegetable growing, because it was an opportunity to earn money.
Secondly, the offer from relocated enterprises from the affected regions was added, said Marchuk. Although these enterprises often do not have access to large amounts of land, so the impact of these productions is limited.
The Sumy region, which was partially occupied in the spring, borders the Russian Federation and suffers from enemy shelling, showed an unexpected increase. The region increased production of cabbage, potatoes and other vegetables.
According to Marchuk, there are two reasons for this: businesses relocated from Kharkiv and the reorientation of land to crops that can be sold on the domestic market because of problems with export logistics.
In general, the potential of the regions for vegetable production is not yet exhausted. However, it will not be possible to replace the volume from the south of the country in two or three years, because in addition to growing vegetables the infrastructure for storage and sorting must be built.
I recommend reading the information about AGT (
https://agtiglobal.net/).
The described problems in the next 3-4 years makes the company very attractive for investment ! All the more, the company plans to enter the EU market.
* The highlighted point is very important. Without water, or with difficult-to-access water, the agricultural business loses its profitability. Bringing in water is expensive and difficult.
AGT has a very strong, I would say strategic advantage - almost half of the perimeter of agricultural land in close proximity, "washed", by the waters of the Tisza River. And there is more than enough water, as there are no large enterprises consuming large amounts of water.
So the presence of problems, makes this company more competitive with other producers of agricultural products, and increases the investment attractiveness!
https://bitcointalk.org/index.php?topic=5441294.new#newhttps://agtiglobal.net/