Ukraine approves mechanism for determining origin of soybeans and rapeseed for export (updated)

UkrAgroConsult

On October 3, the Cabinet of Ministers of Ukraine approved a procedure that allows farmers and agricultural cooperatives to export soybeans and rapeseed grown by them without paying the 10% export duty. Under the new regulation, confirmation of origin will be based on expert conclusions issued by the Ukrainian Chamber of Commerce and Industry (CCI) and its regional branches, which will be submitted to customs authorities.

According to the Ministry of Economy, Environment and Agriculture, this long-awaited decision provides significant support for Ukrainian farmers, especially small and medium-sized enterprises. Minister Oleksii Sobolev emphasized that the mechanism is designed to benefit producers rather than intermediaries, helping reduce costs, ensure fair prices for harvests, and strengthen the competitiveness of Ukrainian exports.

Only producers who export their own crops and cooperatives that export products grown by their members will be eligible for the exemption. The regulation does not apply to exports carried out under intermediary contracts (commission, consignment, or agency agreements), nor to agricultural cooperatives that were created or registered after the law granting this exemption came into effect.

To obtain a CCI expert conclusion, farmers must register their planted areas and harvests in the State Agrarian Register (DAR), create a personal account on the CCI website, upload the required documents, and submit an electronic application. Applications will be reviewed within one to two days, after which the applicant will receive the official conclusion.

The regulation specifies that declared yields cannot exceed 3.5 tons per hectare and must correspond to actual production volumes. This ensures that certificates cannot be issued for quantities larger than what was truly harvested. Conclusions will be issued for each separate shipment, and customs clearance documents may only be submitted after harvest, although farmers and cooperatives are permitted to sign forward contracts.

The government also instructed the Ministry of Economy, Environment and Agriculture to organize monitoring of CCI conclusions against DAR data, taking into account actual export volumes under the reduced duty. The State Customs Service will provide monthly reports to the ministry, while the CCI has been advised to maintain strict control over certificate issuance to prevent duplication for the same land plots and to regularly inform the ministry about issued conclusions.

The resolution enters into force on the day of its publication. However, the issue of refunding export duties already paid is not addressed by the approved mechanism. Deputy Minister of Economy Taras Vysotskyi noted that such refunds would only be possible after amendments to the legislation currently under consideration in parliament.

Tags: soybean, rapeseed, duties