Who controls agricultural land in Ukraine?

The total amount of land controlled by oligarchs, corrupt individuals, and large agribusinesses is thus over nine million hectares, exceeding 28 percent of the country’s arable land. The rest is used by over eight million Ukrainian farmers.

 

Part 8 - What has been the impact of the war on agriculture in Ukraine?

 

The war is seen by many as a threat to global food security given the importance of both Ukraine and Russia as major exporters of food and fertilizers. Though the rise in global food prices in 2022 was to a large extent due to speculation in world markets, concerns revolved around the fact that both countries are major food exporters, especially to a number of food deficit countries in the Global South. This led to the Black Sea Grain Initiative, an agreement signed in July 2022 under the auspices of the United Nations, which has enabled substantial food exports from the region to continue. In November 2022, the agreement was extended by 120 days and is up for renewal in March 2023. 

The Russian invasion has had numerous other repercussions on Ukrainian agriculture, including shortages of fertilizers, seeds, and fuel. In addition to blockading Black Sea ports, destroying infrastructure, and seizing Ukrainian grain, the Russian military has also targeted agricultural facilities. It is estimated that land mines are present on around 10 percent of Ukrainian farmland. Some agribusinesses report having lost access to their land, including agribusiness firms UkrLandFarming and HarvEast. Some of this land has been seized by other agribusinesses, who are taking advantage of the conflict to accumulate more land. 

 

However, by breaking down supply chains, the war has severely disrupted the activities of agribusinesses, causing certain large firms to cease functioning, operate at a loss, or go bankrupt. 

In the face of this, it is small farmers that have been “left to pick up the pieces.” As they do not rely as heavily on industrial supply chains, they have proven to be more resilient, flexible, and mobile. However, small farmers have had to operate with a very limited amount of land and financing, while agribusinesses have continued to receive the bulk of the Ukrainian government and international financial institutions’ support. With the land market in place, amidst high economic stress and war, this difference in treatment will likely lead to more land consolidation by large agribusinesses and an increase in poverty for Ukraine’s rural population.

 

Source:

 

https://www.oaklandinstitute.org/sites/oaklandinstitute.org/files/pdfpreview/war-theft-faq.pdf

 

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