Organic Production in Ukraine is Steadily Increasing

2018 Feb 12

During last 10 years, the area planted with organic cultures practically doubled having increased from 242 thousand hectares to 421 thousand 11th place in Europe. Organic crops are the most widespread but the cultivation of niche cultures, for instance, berries, also gains popularity. The production of organic products in Ukraine is expected to continue growing as European producers arent able to satisfy local demand.

Ukraine permanently increases the area of lands planted with organic cultures

According to the Ministry of Agrarian Policy and Food of Ukraine as of the beginning of 2017, Ukraine is the 11th in Europe and 20th in the world by the volume of certified agricultural lands. During last 5 years, this area increased by 54% and currently encompasses 421,500 hectares. 48,1% of this territory is occupied by organic crops which makes us 7th largest producer of organic crops in the world. Oleic crops are cultivated on 16% of these lands 5th place in the world; 4,6% of lands are occupied by leguminous crops 7th place in the world. 2% of land plots are planted with vegetables 10th place in the world, while 0,6% is allocated to fruits.

Organic production a profitable and prospective business 

According to the Commercial Service of the US Embassy in Ukraine, average return in investments in Ukrainian organic land cultivation is around 300%, which makes it one of the most attractive investment spheres in the country. As reported by the Organic Standard enterprise, as of 20 August 2017, 485 Ukrainian entrepreneurs received certificates for production of organic products. The majority of them are involved in plants cultivation 244 entrepreneurs. Though, this year the major part of new certificates were obtained by producers of raspberry and other berries. Thus, Ukrainian farmers introduce organic production into niche agricultural spheres in such way increasing the profitability of their business.

 

Internal consumption of organic products is low

Ukrainians consume less organic products than EU citizens. In Ukraine, the value of organic consumption of such products per capita amounts to 3 while its on average estimated at 53,7 in the EU. The volume of the Ukrainian internal market of the organic products is 25th in Europe: only 50 worth of products from each hectare penetrate the Ukrainian internal market, while in Europe 2,345 worth of products from each hectare are sold internally.  

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