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Ukraine has potential of grain export to the amount of 100 million tons


President of the U.S. agrarian company Harmelia John Shmorhun told a press conference on Wednesday. "Ukraine grows an average of 50 million tons of grain, 40 percent of which is exported (20-25 million tons). Stable domestic consumption makes up about 20-25 million tons. It has the ability to boost production to 100-150 million tons. So, Ukraine is able to export 100 million tons of grain,” Shmorhun said.

However, he said that if compared with the biggest exporter, the United States, which currently exports 77 million tons, the highest potential of Ukraine is 100 million tons. Investments are needed. According to the World Bank, there should be around USD 50 billion,” the head of the agricultural company said.

Harmelia Holding President also outlined a range of issues regarding the land lease. He stressed that the minimum terms of the lease must be 10-49 years. Therefore, the investor invests in the leased land, gets the harvest in 2-3 years, if the land is in a poor condition. "So, we invest, we get the harvest in three years, and the contract for 5 years, after which the land is taken away," John Shmorhun stressed.

Note. Agroholding Harmelia, which is included into a group of companies SigmaBleyzer (the U.S. investment company that provides large investments through controlled investment funds in various sectors of the Ukrainian economy) and specializes in growing grain and oilseeds in Kharkiv and Poltava regions. Since January 2010, Harmelia concentrated more than 70,000 ha of farmland.

 

UKRINFORM

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