Ukraine Agriculture and Infrastructure Embassy of Ukraine in the People’s Republic of China Agriculture 70% of territory - agricultural lands • 76% - arable lands (32,5 million hectares) • 13% - pastures (5,4 million hectares) Ukraine - home to 30% of the • 6% - grasslands (2,4 million hectares) world’s black soils • 2% perennial plants (0,9 million hectares Agriculture The main crops sowed in Ukraine: • wheat (19%) • sunflower (19%) • corn (13%) • barley (9%) • soybean (6%) • rape (2%) • 9-12% of national GDP • 17% of working population is employed in agriculture Production Export Agriculture Sunflower Oil #1 #1 Corn #6 #4 Wheat #7 #5 Soybeans #8 #6 Rapeseed #6 #3 Sunflower Meal #1 #1 Barley #3 #4 Role in World Agriculture Poultry Meat #19 #7 White Sugar #17 #9 Butter #9 #5 Soybean Oil #22 #8 Soybean Meal #23 #8 Wallnuts #5 #3 Powdered Milk #11 #7 Cheese #10 #9 Agriculture Main export countries (January-August 2019) • China – 9.1 % • Netherlands – 7.6% • Egypt – 7.4% • India – 7.4 % • Turkey – 6.8% • Spain – 5.5% • Poland – 3.6% • Germany – 3.5% • Italy -3.3% • Belarus – 2.8% Agriculture Arable land per capita: Ukraine - 0.7 ha U.S. – 0.5 ha Germany – 0.15 ha China – 0.08 ha Egypt – 0.03 ha Land Reform • Sale of agricultural land banned since 2001 • Land Reform – priority for Ukraine’s President and Government • November 13, Parliament adopts a draft law on land reform in the first reading • Ukrainian citizens, state, local communities and legal Land Reform entities registered under Ukrainian legislation can own land. • Foreigners can get land parcels as bequests but have to sell them within a year. • A person or a firm that currently rents a land parcel has a priority to purchase it if she/it pays market prices for it (when a parcel is sold through an auction, she has to pay the winning price). • Until January 1, 2024, legal entities whose final beneficiaries are foreign citizens or firms cannot purchase land. However, entities registered in Ukraine no less than three years ago can buy land which they have been renting. • Russian citizens and firms are prohibited from buying land in Ukraine Miscellaneous Manufactured Textile, Articles Wood and Articles of Wood 2% Ukraine Goods Export in 2018 2% 3% other Chemical or Allied Products 5% 4% Base Metals And Articles Live Animals, Animal Products 25% 3% Prepared Foodstuffs, Beverages 6% Mineral Products 9% Vegetable Products 21% Fats and Oils 10% Machinery and Mechanical Appliances 10% Infrastructure • Ukraine - geographical center of Europe, making the country an ideal trade hub to the EU, Middle East and Asia • Free Trade Zones with 45 countries: European Union, CIS, EFTA, FYROM, Georgia, Montenegro, Canada, Israel, (negotiating Turkey) Infrastructure • Transit potential 200 mln tons per year • Transit utilization 25-30% • Additional $20-25 bln are necessary by 2030 • i.e. $8-10 bln. private investments annually Infrastructure Infrastructure Infrastructure Infrustructure. Sea and River - Cargo capacity 230 mln. Tons per year - Reform of maritime transport launched - Port fees and charges reduced by 20% Investment opportunities: - Inland water transport system runs only 8% of its Sea ports concession • capacity • Reconstruction of Dnipro locks Infrustructure. Airports 92% total growth of air passengers (2018) 30% of low cost companies in international connection 109 new air routs opened 14 new aircompanies started operations in Ukraine Infrustructure. Airports Investment opportunities: Renovation of FIVE regional airports (up to $500 mln) and modernization of the air navigation system ($136 mln) Infrustructure. Railway 14th largest in the world 6th by passengers quantity 7th in the world by freight volume yearly aprx. 600 freight trains from China to Europe cross Ukraine Infrustructure. Railway - Moves 60% of Ukrainian export - 97% of rolling stock requires modernization Investment opportunities • construction of European 1435 mm guage rail track high speed connection with EU and Odessa-Kyiv-Lviv route ($8.5 bln) • Electrification of the railway line Dolinska - Nikolaev – Kolosovka ($416 mln) • electrification of the railway section Berdychiv- Korosten-Berezhest ($162 mln) Natalia Stepan, First Secretary Contacts: Tel: (010) 6532 6359 E-mail: [email protected] https://china.mfa.gov.ua/ Embassy of Ukraine in the People’s Republic of China.