Agriculture in Ukraine

Agriculture in Ukraine is one of the most important sectors of the Ukrainian economy. Although typically known as the industrial base of the former Soviet Union, Ukraine is one of the world's largest agricultural producers and exporters and is known as the "breadbasket of Europe".
It encompasses about 30 to 40 millions of hectares of agricultural land, similar to Germany and France combined. In addition to providing the country's population with a stable supply of high-quality, safe and affordable food, Ukraine's agriculture sector is capable of making a significant contribution to solving the global problem of hunger. Its production potential significantly exceeds the needs of the domestic market. As such, Ukraine is an important supplier of food to North Africa, Asia, and Western Europe.
About 60% of Ukraine's soil used for agriculture consists of chornozem, a humus-rich soil type that is very fertile. Winter wheat, summer barley, and maize are the main cereal crops, while sunflowers and sugar beet are the main crops grown for industrial processing. The country has long been one of the world's largest agricultural exporters. For wheat, sugar beet, rapeseed, cucumber, rye, barley and walnuts, it was among the top 10 agricultural exporting countries in 2020, and for potatoes, buckwheat, cabbage, maize, pumpkin, carrots and sunflower oil, it was even among the top 5.
Agriculture underwent several major changes in the 20th and 21st centuries. The collectivisation of agriculture in the 1930s and privatisation at the end of the 20th century had particularly significant consequences. The Russo-Ukrainian War since 2014, and especially the full-scale Russian invasion of Ukraine since 24 February 2022, also had a major impact, as production in parts of the country was greatly reduced. As of May 2024, about 30% of the total potential of the agricultural sector was destroyed, and almost 20% of agricultural land was occupied as a direct result of Russia's war against Ukraine. On the other hand, by 2024, Ukraine's agricultural exports had recovered to pre-war levels.

Land use

Agricultural land covers 42 million hectares, or 70% of the country's total land area. 78.9% of agricultural land is arable land and perennial plantations, 13.0% is pastures, 8.4% is hayfields. The highest proportion of arable land is in the Ukrainian regions of the Pontic–Caspian steppe and the East European forest steppe zones. Pastures are concentrated mainly in the Carpathian Mountains, Polissia and the south-eastern steppe regions, while hayfields are located in the river valleys of the Central European mixed forests and East European forest steppe zones.

Crop production

Farms use various crop rotation schemes, sometimes with two, sometimes with four or more crops. An example of such a rotation scheme is fallow, winter wheat, winter wheat, sunflowers, spring barley and maize. Fallow is used to maintain moisture levels. Sometimes the same crop is grown for several years in a row, particularly alfalfa.

Grains

The main crops in agriculture are cereals: winter and spring wheat, rye, winter and spring barley, maize, oats, buckwheat, millet and rice. Grain farming plays an important role in Ukraine's agricultural sector, ensuring a stable supply of bread and bakery products to the population, as well as raw materials for industrial processing. The production, processing and export of grain in Ukraine generates significant cash flows to the budget and is an important area of employment for the country's population. In addition, the country's grain industry has significant development potential, primarily due to the availability of abundant land resources and a sufficient amount of skilled labour.

Ukraine's main grain crop is winter wheat. The main areas of its cultivation are the forest steppe and the northern steppe regions. Spring wheat has lower yields compared to winter wheat and is mainly grown in the steppe regions of Ukraine with harsher winter conditions and almost no permanent snow cover. After a decline in wheat harvests in the 1990s, yields subsequently increased again.
Barley is the second most important grain crop in Ukraine. Spring barley is grown in Polissia, and winter barley in the southern steppe and in the foothills of Crimea. Barley is the most important feed grain in Ukraine, with summer barley accounting for more than 90 per cent of the total.
Maize is the third most important feed grain in Ukraine in terms of acreage. The best conditions for its cultivation are in the northern and central steppe and southern forest-steppe. More than half of the maize is used for silage. Most of the rest is used for poultry and pig feed.
Winter rye is a valuable food crop. The main areas of its cultivation are Polissia and the western forest-steppe. Oats are common in the same areas as rye and serve as a complementary fodder crop.
Sunflower is Ukraine's most important oilseed crop and has long been the most profitable crop. Originally, sunflowers were not grown on the same field more than once every seven years in order to prevent fungal diseases and maintain soil fertility. Later, cultivation became more intensive.
Buckwheat has a large area of Ukraine devoted to its cultivation. The largest buckwheat crops are concentrated in Polissia and partly in the forest-steppe region.
Millet is mainly grown in the forest-steppe and steppe regions.
Rice is grown as a food crop on irrigated land in Mykolaiv, Kherson oblasts and in Crimea.

Potatoes and sugar beets

Potatoes are valuable, vitamin-rich food products that are raw materials for the food industry and valuable fodder. In terms of production, potatoes are second only to grain and are used as a food product, for technical processing into alcohol, starch, molasses and as animal feed. The main areas of potato production are Polissia and the forest-steppe of Ukraine, as well as the suburbs of large cities.
Sugar beet production and acreage fell by half between 1994 and 2003. The acreage of sugar beet increased on privately owned plots. The main regions for growing sugar beets are the forest-steppe, northern steppe, and southern Polissia.

Vegetables

According to the 2024 report by the Center for Food and Land Use Research of the Kyiv School of Economics, Ukraine produced more cabbages and cucumbers in total in 2021 than any of the top 9 vegetable-producing EU countries. Amongst the other three major vegetable crops – tomatoes, onions, and carrots – Ukrainian production volumes were also above the median values of these 9 top EU producer countries in 2021.
Nevertheless, the top EU producers had a higher yield per hectare for all five vegetables except cabbage. The gap in yields is highest in tomatoes and cucumbers, which might be explained by the fact that Ukraine has a much larger percentage of these plants grown in the open field rather than in protected greenhouses or polytunnels, as is common in the EU's top-producing countries such as the Netherlands.

Fruit and wine

Ukraine also produces some wine, mostly in the southwestern regions, such as in Odesa Oblast, Zakarpattia Oblast, and Crimea.

Livestock breeding

has the place of a kind of ‘processing’ industry that transforms crop products into foodstuffs and technical raw materials. Livestock farming accounts for over 38% of gross agricultural output. Its main branches are cattle breeding, pig breeding, sheep breeding, and poultry farming. Livestock farming also includes, beekeeping, and silk farming. In general, the objectives of animal husbandry are to produce high-quality food products and valuable raw materials for the food industry and light industry. The production process in animal husbandry is more mechanised and contributes to the transition of the industry to an industrial basis.
Production of certain types of livestock products:
;All types of meat:

1991 — 4.1 million tonnes
1997 — 1.9 million tonnes
2001 — 2.3 million tonnes
2007 — 2.8 million tonnes
2012 — 3.1 million tonnes

;Milk:

1991 — 22.7 million tonnes
1997 — 13.7 million tonnes
2001 — 13.4 million tonnes
2007 — 12.3 million tonnes
2012 — 11.4 million tonnes

History

Geography has long influenced the economy of the Ukrainian lands. Rich fertile soils made the area a "breadbasket": for ancient Greece, as well as for early modern Europe, later the Soviet Union, and again Europe in the 21st century.

Prehistoric agriculture

The oldest evidence of large-scale agriculture on the modern territory of Ukraine comes from the Cucuteni–Trypillia culture, a Neolithic–Chalcolithic archaeological culture. There is still much uncertainty and disagreement amongst scholars of this CT group, ranging from questions about the relative size of these settlements, their permanence versus their seasonality, and their degree of urbanisation versus agrarian rurality.

Ancient agriculture

Ancient Greek colonies located on the Crimean Peninsula such as Chersonesus, or elsewhere along the northern Black Sea coast such as Pontic Olbia and the Bosporan Kingdom, were net exporters of grain, and to a lesser degree wine. By contrast to southern mainland Greece, there was no cultivation of olive trees on the northern Black Sea shore. Around 550 BCE, more than a century before the traditional foundation date of Chersonesos in 422/1 BCE, the Tauri people already must have engaged in trade with the Greek world, due to the discovery of "Ionian pottery, some rare fragments of Boeotian black figured ware, and Chiot amphorae" in its oldest layers in the 1990s. A large-scale expansion and transformation of agriculture aimed at winemaking in Crimea developed in Chersonesos after 350 BCE. Paleobotanist Zosia Yanushevich and colleagues demonstrated in 1985 that wine production in ancient Chersonesus involved a domesticated variant of the wild grape Vitis vinifera sylvestris. Earlier studies from Yanushevich and Nikolaenko demonstrated that the Tarkhankut Peninsula in western Crimea was also well-suited for wheat crops, and that Chersonesos dominated the grain trade with western Crimean settlements like Belyaus, Kalos Limen, and Bolshoy/Velykyj Kastel'.

Agriculture in Interwar Polish Ukraine (1918–1939)

Interwar Soviet Ukraine (1919–1945)

In the 1930s, under pressure from Joseph Stalin, agriculture became collective in nature, despite resistance from Ukrainian farmers. This reform led to the creation of large state farms and collective farms.

1990s in independent Ukraine

At the end of the 1990s, a modernisation process took place. After the dissolution of the Soviet Union and the independence of Ukraine in 1991, former kolkhoz farming collectives were abolished, and every Ukrainian citizen was granted 2 hectares of resellable land according to the Constitution of Ukraine. To prevent speculators and mafia-like businessmen from snapping up the land at a bargain price – as had happened with heavy industry – a moratorium was imposed : a ban on sales of former kolhosp farmlands. As a result, agricultural lands ended up divided among 7 million Ukrainians, resulting in highly fragmented ownership. However, much of the land remained in the hands of the state. The Ukrainians mostly leased the land to new private agricultural organisations. With the loss of state support for private farmers, agriculture faced declining production figures. The already shrinking livestock population declined further, the area of agricultural land decreased and grain production fell by 50%. There was no money to invest in modern machinery. Only the cultivation of sunflowers remained stable. At the same time, farmers began to grow other crops and efficiency was increased in certain sectors.

Land reform after 2000

After 2000, was initiated. Due to undesirable effects of the first agricultural reform after the collapse of the Soviet Union, a moratorium on the sale of agricultural land was imposed in 2002 to put a stop to the large-scale purchase of agricultural land by oligarchs. Since at least 2011, farmland was remaining as the only major asset in Ukraine that was not privatised.
An October 2013 report by the Cabinet of Ministers of Ukraine identified the following problems in the agricultural sector, that were to be addressed in the 2013–2020 period:

uneven development of various forms of economic activity, accompanied by a weakening of the position of medium-sized agricultural producers as a result of the creation of formally identical but unequal economic conditions for agricultural producers of different sizes and social burdens;
lack of motivation for cooperation and consolidation of small agricultural producers within rural communities, weakening of the economic basis for the development of rural communities;
instability of the competitive position of domestic agricultural products on foreign markets due to the incomplete process of adaptation to European requirements for quality and food safety;
slow pace of technical and technological modernisation of production;
risks of increased production costs due to the growing wear and tear of equipment, the prevalence of outdated technologies, and the increasing cost of non-renewable natural resources in the production cost structure of domestic agricultural products;
losses of such products due to imperfections in the logistics system for their storage and the infrastructure of the agricultural market as a whole;
lack of motivation among agricultural producers to comply with agro-ecological requirements;
limited capacity of the domestic market for agricultural products, due to low purchasing power of the population;
insufficient effectiveness of self-organisation and self-regulation of the agricultural products market, difficulty for agricultural producers in developing a consolidated position on the protection of their interests;
lack of information among a significant proportion of agricultural producers about market conditions and the conditions for doing business in the sector;
incompleteness of.

In March 2020, the Ukrainian parliament lifted a ban on the sale of farmland. The land market was fully opened for the first time since independence on 1 July 2021. In 2020, partly under pressure from the IMF, which would only provide funding if agriculture was reformed, it became possible again to sell agricultural land, albeit temporarily and subject to conditions such as a maximum size of 100 hectares. However, the 2020 reform is controversial. Meanwhile, the production of grains and oilseeds has increasingly come under the control of large agricultural companies established after 2000. The transition to a more market-oriented environment seems to have been relatively successful, but many smaller companies have disappeared or are projected to disappear. Existing smaller companies often face financial problems, which are frequently resolved by attracting an investor with market knowledge and capital. The general effect has been that farmers lost control over their businesses.
According to some researchers, by 2024 approximately 28% of agricultural land was managed by foreign investors such as NCH Capital, Vanguard Group, Kopernik Global Investors, BNP Asset Management Holding, NN Investment Partners Holdings, and Norges Bank Investment Management.

During the Russo-Ukrainian War

Occupation of Crimea and War in Donbas (2014–2022)

Since 2014, agricultural activities in Ukraine have been severely disrupted by the illegal Russian annexation of Crimea, and the subsequent outbreak of the War in Donbas, starting the Russo-Ukrainian War. Large-scale Russian theft of Ukrainian grain and other products has taken place in the Russian-occupied territories of Ukraine, while many civilians and businesses were displaced or relocated from them and areas close to the frontlines.
Around the same time, in May 2014, the Colorado potato beetle was becoming something of a plague for farmers in eastern Ukraine. During the 2014 pro-Russian unrest in Ukraine, the word, from the Ukrainian and Russian term for Colorado beetle, gained popularity among Ukrainians as a derogatory term to describe pro-Russian separatists in the Donetsk and Luhansk Oblasts of Eastern Ukraine. The nickname reflects the similarity of black and orange stripes on St. George's ribbons worn by many of the separatists.

Since the 2022 Russian invasion of Ukraine

Due to the 2022 Russian invasion of Ukraine, the production, processing and export of agricultural crops has declined significantly. It is estimated that maize and wheat production is approximately 20% lower than in the last year before the war, but the area that cannot be used for agricultural production varies by region. In addition to production, the storage and transport of agricultural products have also been affected by the war.

Statistical overviews

2000s

In 2008, agriculture accounted for 8.29% of Ukraine's GDP and by 2012 had grown to 10.43% of the GDP. Agriculture accounted for $13.98 billion of value added to the economy of Ukraine in 2012. Despite being a top 10 world producer of several crops such as wheat and corn Ukraine still only ranks 24 out of 112 nations measured in terms of overall agricultural production.
Professionalised, scientific breeding of barley began in 1910 and as of 2003 supplied improved cultivars to the country.

2010s

In 2011, Ukraine was the world's largest producer of sunflower oil, a major global producer of grain and sugar, and a potential global player on meat and dairy markets. It was one of the largest producers of nuts. Ukraine produced more natural honey than any other European country and was one of the world's largest honey producers. An estimated 1.5% of its population was involved in honey production, therefore Ukraine had the highest honey per capita production rate in the world. Because Ukraine possesses 30% of the world's richest black soil, makes its agricultural industry have huge potential.
At the beginning of the 21st century, Ukraine's agricultural industry was highly profitable, generating profit margins of 40–60%. Analysts indicated that the sector had the potential to increase its output by up to four times. Ukraine was the world's 6th largest, 5th if not including the EU as a separate state, producer of corn in the world and the 3rd largest corn exporter in the world. In 2012, Ukraine signed a contract with China, the world's largest importer of corn, to supply China with 3 million tonnes of corn annually at market price. The deal included a $3 billion line of credit extension from China to Ukraine.
In 2014, Ukraine's total grain crop was estimated to be a record 64 million metric tons. In 2014, Ukraine lost control over portions of several regions to Russia, followed by the start of the war in Donbas and the annexation of Crimea by the Russian Federation, hence the actual available crop yield was closer to 60.5 million metric tons. Due to the decline of the metallurgy industry, which was previously Ukraine's top export category, agricultural products have become Ukraine's largest export category as a result of the war in Donbas.
The Ministry of Agrarian Policy and Food of Ukraine reported that in 2016, Ukraine harvested its largest grain crop since independence — 66 million tonnes. The 2015 figure was exceeded by almost 6 million tonnes.
In 2016, record grain yields were also set: wheat — 42.1 centners per hectare, rye — 27.3 centners per hectare, maize — 66 centners per hectare, peas — 31.3 centners per hectare.

2018

In 2018:

It was the 5th largest world producer of maize, after the U.S., China, Brazil, and Argentina;
It was the 8th largest world producer of wheat ;
It was the 3rd largest world producer of potatoes, second only to China and India;
It was the world's largest producer of sunflower seed ;
It was the 7th largest world producer of sugar beets, which is used to produce sugar and ethanol;
It was the 7th largest world producer of barley ;
It was the 7th largest world producer of rapeseed ;
It was the 13th largest world producer of tomatoes ;
It was the 5th largest world producer of cabbage, after China, India, South Korea, and Russia;
It was the 11th largest world producer of apples ;
It was the 3rd largest world producer of pumpkins, second only to China and India;
It was the 6th largest world producer of cucumbers ;
It was the 5th largest world producer of carrots, after China, Uzbekistan, the U.S., and Russia;
It was the 4th largest world producer of dry peas, second only to Canada, Russia, and China;
It was the 7th largest world producer of rye ;
It was the 3rd largest world producer of buckwheat, second only to China and Russia;
It was the 6th largest world producer of walnuts ;
It produced of soy;
It produced of onions;
It produced of grapes;
It produced of oats;
It produced of watermelons;
It produced of cherries;

in addition to smaller productions of other agricultural products. According to government data, as of 2018, the agricultural sector accounts for almost 17% of Ukraine's GDP and generates almost 38% of foreign exchange earnings. By compasiosn: in 2010, agriculture accounted for 8.2% of Ukraine's GDP, and agricultural products accounted for 14.5% of total exports. The agricultural sector employed 15.8% of all workers.

2023

As of 10 November 2023, 71.5 million tonnes of oilseeds and grains have already been harvested in Ukraine during the harvest campaign.
Grain and legumes were harvested on an area of 9.84 million hectares with a yield of 52.1 centners per hectare, including:

22.409 million tonnes of wheat;
21 million 218 thousand tonnes of corn were harvested;
5 million 890 thousand tonnes of barley were harvested;
398.2 thousand tonnes of peas were harvested;
buckwheat harvested 206.7 thousand tonnes;
millet harvested 178.9 thousand tonnes;
other cereals and legumes harvested 974.1 thousand tonnes.

As indicated, oilseeds were harvested on an area of 8,096 thousand hectares, yielding 20.2 million tonnes, of which:

11 million 520 thousand tonnes of sunflower seeds were harvested;
4 million 713.2 thousand tonnes of soybeans were harvested;
rapeseed harvesting was completed, with 4,005 thousand tonnes of seeds harvested.

10,098,700 tonnes of sugar beet were harvested, with a yield of 477.9 centners per hectare. According to a report by the Ministry of Agrarian Policy and Food of Ukraine, as of the third week of December 2023, Ukraine had harvested 78.7 million tonnes of new crops, including 57 million tonnes of grain million 859 thousand tonnes of cereals and 20 million 759 thousand tonnes of oilseeds.

2024

As of the end of May 2024, according to a statement by the State Secretary of the Ministry of Agrarian Policy and Food of Ukraine, as a result of full-scale war, about 30% of the total potential of the agricultural sector was destroyed, and almost 20% of agricultural land was occupied. In general, in the two years since the start of the full-scale invasion, Ukraine's agricultural sector has suffered direct losses of more than US$10 billion.
In 2024, Ukraine reached its pre-war export levels of $24.5 billion, which accounted for 59% of total exports, according to a January 2025 Ministry of Agrarian Policy report. In total, Ukraine exported 78.3 million tonnes of agricultural products in 2024. For comparison: in 2021, a historic record was set for agricultural exports, reaching $27.7 billion.