In a revelatory article in the online edition of Business Ukraine magazine, authors Olena Prokopenko (Reanimation Package of Reforms) and Dmytro Lyvch (EasyBusiness) describe the populist mythmaking and protectionist interests that continue to derail the legalization of farmland sales in Ukraine. Highlighting the potentially huge economic impact of land reform, they cite a survey indicating that a fully liberalized land market in Ukraine could generate additional GDP of $100 billion over the next 10 years. Although the lifting of the moratorium on farmland sales prior to next year’s Ukrainian presidential and parliamentary elections is practically impossible, the authors argue that preparations should begin now to lay the groundwork for adoption of land-sale legislation in the future.
UKRAINE’S $100 BILLION QUESTION: WHY IS FARMLAND SALES ISSUE SO TOXIC?
By Olena Prokopenko and Dmytro Lyvch – Business Ukraine – May 21, 2018
Ukraine is an agricultural paradise. It possesses a staggering one-third of the world’s ultra-fertile black soil (“chernozem”) and enjoys a reputation as one of the most farming-friendly countries on the planet. Even the Ukrainian flag, with its depiction of golden crops under a blue sky, is an ode to this ancient agrarian heritage. Meanwhile, Ukraine’s strategic location at the crossroads of Eurasia offers relatively easy access to the markets of Europe, the Middle East, Africa and Asia. Despite this immense agribusiness potential, Ukraine remains one of only six countries globally (along with Cuba, Venezuela, Tajikistan, Congo and North Korea), where owners of agricultural land are not entitled to dispose of it…
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The “Keep Calm and Reform” image is from the Reanimation Package of Reforms Facebook page.