In the current year, a significant number of farms in Ukraine are forced to stop their activities, which endangers the incomes of farmers and the salaries of their employees, as well as the financial condition of rural communities. This conclusion is made by Yurii Shchuklin, a member of the Logistics Committee of the European Business Association (EBA).
The expert points out that this year, small farms specializing in the cultivation of grain crops began to leave the agrarian business. Unsold grain has accumulated in their warehouses, which makes it difficult to repay loans and limits the possibilities for carrying out spring sowing. This situation is complicated by the blockade by Russian and European partners of Ukrainian agricultural exports.
The increase in the cost of fuel and energy resources also deepens the problems in agriculture. The mobilization of workers for military service leads to a lack of labor in many farms.
This situation can lead to social tension, as farmers not only provide work and income for local residents, but are also the main source of income for rural communities. Termination of farm activities can provoke peasants' refusal to rent land, which in some cases can lead to the concentration of land resources in large agricultural companies.
Even large agricultural holdings suffered losses from the war, but they are forced to continue crop rotation in order not to lose the sales markets developed over decades. However, this may lead to a reduction in spending on social programs and other areas.