Ukrainian government to spend €3.3bn on land reform in 2012

2012-01-03



Land reform in Ukraine is considered a priority for the government in 2012 and will receive UAH 33.5bn (€3.3bn) from the government budget in 2012, which is 28 times more than in 2011. Among the aforementioned resources, the government has allocated UAH 23.7bn (€2.3bn) to spend on the registration of citizens' land ownership rights.

According to the land reform and the law on leasing land, the amount of agricultural land that can be leased by a single agrobusiness is only 6,000 ha in any one region. Market analysts believe that this amount of land is neither sufficient nor feasible for an agrobusiness to operate effectively. For example, a sugar factory requires 50,000 ha of land to operate and a cattle farm needs 12,000 ha of land.