Ukraine: VAT non-refund for oilseed exports can have a positive impact on the processing industry – Falcon-Agro


The decision by the Verkhovna Rada of Ukraine to cancel the VAT refund on the exports of sunflower seed, soybeans and rapeseed should positively affect both the agro-industrial sector of Ukraine and oilseed processing industry in particular, declared the Commercial Director at Falcon-Agro LLC, Oleg Domanov.

To date, Ukraine usually sells all oilseed raw materials on foreign markets, instead of producing of several types of value-added by-products and exporting them. It is necessary to conquer new sales markets, create new jobs for thousands of Ukrainians, increase revenues to local budgets, develop the whole country infrastructure, build new production facilities with advance processing of oilseeds, modernize the production, making it more efficient, as well as develop the port and transport potential for bulk cargoes, receive new products, improve product qualitative features, etc., said O.Domanov.

The expert added that in the first year the reporting measures would become somewhat painful for agrarians, but it is a necessary solution. Therefore, the Government should make some preferential transition period, as many agrarians need some time to understand what oilseeds to plant in a new year. It is the right way of development, which is the most important thing in any sphere, summed up O.Domanov.