Ukrainian government seeks solution for farmers to unblock soybean and rapeseed exports

UkrAgroConsult

Yesterday, September 11, a meeting was held under the chairmanship of First Deputy Minister of Agrarian Policy Taras Vysotskyi with the participation of representatives of Customs, the Tax Service, the Ministry of Economy, and experts. The discussion focused on legislative solutions to exempt farmers who grow soybeans and rapeseed themselves from paying a 10% export duty.

As a result of the meeting, it was decided to prepare a draft government resolution introducing a pilot scheme that would grant exemption from the duty to agricultural producers meeting the following criteria:

• registered as a legal entity or sole proprietor for more than one year;

• VAT payers;

• registered in the State Agrarian Register (DAR);

• owning or leasing more than 50 hectares of farmland according to the Property Rights Register;

• declared the structure of their sown areas by main crops, including soybeans and rapeseed;

• entered data on actual soybean and rapeseed production volumes into the DAR.

The maximum production volume that can be entered into the DAR is limited to 4 tons per hectare of the respective planted areas. To qualify for exemption, such producers will have to register an Export Security Regime (ESR) tax invoice indicating that the exported products are self-produced. Apart from this registered ESR invoice, no additional documents will need to be submitted to Customs.

It should be recalled that the law introducing a 10% duty on soybean and rapeseed exports came into effect last week. It provides for preferential export terms for producers and cooperatives, but the mechanism has not been functioning due to the absence of secondary regulations. This has led to an almost complete halt in oilseed shipments from Ukrainian ports.

Farmers are urging the government to act quickly, warning that delays may result in contract disruptions and the loss of export markets. Business associations insist on the urgent adoption of clear rules that would allow exports to resume and guarantee the reimbursement of duties already paid.

Tags: duties, Ukraine, export, soybean, rapeseed