Over the past two years, the US government has invested more than $300 million in this critical area, providing essential support to Ukrainian farmers during challenging times.
Key Investments and Support
Expansion of Grain Storage Facilities
The expansion of grain storage facilities has been crucial, especially during the blockade of the Black Sea, which disrupted traditional export routes. This expansion has helped secure grain stocks, ensuring that Ukrainian farmers can store their produce safely and maintain the quality of their crops.
Provision of Production Means and Seeds
USAID's investments have included the provision of essential production means and seeds. This support has been vital, considering the significant losses farmers faced due to the full-scale invasion. Access to high-quality seeds and production inputs has enabled farmers to continue planting and harvesting crops effectively.
Private Sector Investments
In addition to government funding, the agricultural sector has attracted $510 million in private investments. These investments represent a long-term commitment from companies that see both solidarity with Ukrainian farmers and business opportunities in the region. The development of Ukrainian business is also critical for maintaining ongoing support from the United States for other programs.
Agricultural Sustainability Initiative in Ukraine (AGRI-Ukraine)
The AGRI-Ukraine program, led by USAID, has been operational since July 2022. This initiative aims to strengthen the production and export capabilities of Ukrainian agricultural products, thereby enhancing global food security.
Impact on Ukrainian Farmers
AGRI-Ukraine has supported over 14,000 Ukrainian farmers, which accounts for 32% of registered agricultural producers in the country. The program has provided them with necessary resources such as:
- Seeds and Fertilizers: Essential for crop production and ensuring high yields.
- Plant Protection Products: Critical for maintaining healthy crops and preventing pest damage.
- Storage Space: Important for preserving harvested crops until they can be sold or exported.
- Financial Resources: Enabling farmers to invest in their operations and sustain their livelihoods.
Financial Benefits
The support provided by AGRI-Ukraine has led to an estimated $90 million in additional revenue for Ukrainian farmers. This significant boost in income has helped stabilize the agricultural sector and support the broader Ukrainian economy.
Alternative Export Routes
When Russia blocked the export of Ukrainian agricultural products from Black Sea ports, AGRI-Ukraine played a crucial role in preparing and financially supporting alternative export routes. These included:
- Danube Ports: Utilizing river ports to bypass the blockade.
- Land Border Crossing Points: Facilitating overland exports to neighboring countries.
These measures ensured the continued export of agricultural products, amounting to 62 million tons, which generated more than $17 billion for the Ukrainian economy.
Conclusion
USAID's partner program and the AGRI-Ukraine initiative have been instrumental in supporting Ukrainian farmers during a period of significant disruption and uncertainty. By providing essential resources, expanding storage facilities, and facilitating alternative export routes, these programs have not only sustained the agricultural sector but also contributed to global food security. The continued support and investment from both the US government and private sector partners will be crucial in maintaining and building on these achievements in the future.
