Ukraine supplies large quantities of agricultural raw materials, in some cases with strong growth rates: it is one of the most important supplier countries in the EU for organic products. However, primarily raw materials are just exported and the increase of added value through processing, is progressing slowly, as its growth on the domestic market. This positive development is contrasted by major obstacles: quality deficiencies identified in the recent years, have led the EU to impose special control measures on the import of organic products from Ukraine to European countries, resulting in additional costs for producers and exporters.
The effort of helping the organic agriculture in Ukraine to grow and to create a more stable value chain with high quality products, requires an agricultural policy that enables the appropriate development conditions.
With the Bilateral Cooperation Program, the German Ministry of Food and Agriculture supports partner countries in building a productive and resource-efficient agriculture and food sector. Since 2016, AFC in consortium with IAK, implements the project German-Ukrainian Cooperation in Organic Agriculture (COA). The COA project, through its focus on the promotion of organic agriculture, particularly strengthens an efficient and resource-saving development of agriculture in Ukraine. COA supports the Ukrainian agribusiness sector in moving away from a focus on raw materials to increased processing in agribusiness. Consequently, the potential for improved value creation in Ukraine is used more systematically through the sustainably strengthened organic sector.
The following aspects are relevant for the systematic improvement of the organic value chain in Ukraine:
- Organic legislation strengthens consumer safety and thus promotes demand for organic products.
- Strict controls on companies along the supply chain ensure that products are produced, processed and marketed in accordance with uniform guidelines.
- The relevant state authorities ensure continuous monitoring of these processes.
COA contributes to the above-mentioned positive effects on organic value chains by supporting the legislative process in Ukraine and implementing these regulations. By strengthening professional competencies and institutional structures, COA not only strengthens organizations of the organic agriculture sector in Ukraine, but also enables producers and processing and trading companies to have better access to organic know-how. Furthermore, the establishment of a knowledge platform for organic agriculture in Ukrainian language is a particular response to this goal.