Drought spells disaster for farmers
As a result of the droughts, the yield of early grain in the regions of Ukraine’s steppe belt dropped from 22 centners per hectare to 16 c/ha, which will lead to losses of 15-20% in harvest or nearly UAH 10 bn losses for agricultural producers, according to KW.Ukrainian Club of Agrarian Business (UCAB) told KW that in addition to material losses due to inclement weather, this year’s 75.6% increase in the normative monetary appraisal of land placed an additional financial burden on farmers. “The severe weather conditions in May-June this year inflicted serious losses to agrarians. The drought and heat wave gripped the entire southern and eastern and partially central regions of Ukraine prevented from forecasting the expected harvest. A low yield automatically increases the production cost of grown crops,” UCAB underscored.
According to expert data, on average the production cost of early grains this year is UAH 1,800-2,000/t, while the sale price depending on the quality of grain is UAH 1,500-1,700/t. As a result, the yield of Ukraine’s agricultural producers will fall short by 3.5 mn t of early grain due to the inclement weather, which is the monetary equivalent of UAH 5.6 bn in revenue losses.