Emerging Markets / April 5, 2017

Land Distribution and Agriculture in the Ukraine

The Ukraine is a mid-sized eastern European country that often dominates international discussions because of the ongoing violence and political clashes that have burdened the country in recent years. Formerly a republic of the Soviet Union, the Ukraine transitioned into independence, democracy, and a market economy during the 1990s. Including the disputed Crimean peninsula, the Ukraine has a total territory of more than 600.000 square kilometers, which is almost the same size as Texas. Geographically, the Ukraine is dominated by fertile steppes and plateaus throughout most of the country as well as the Carpathian Mountains towards the west. The Ukraine has a total population of over 44 million citizens, more than 15% of which are ethnic Russian (particularly on the eastern side of the country). Furthermore, almost 70% of the Ukrainian populations lives in a major city or urban setting. Currently, the Ukraine’s annual gross domestic product (GDP) is of approximately US$300 billion. However, mainly due to the conflict, its national economy has experienced mostly negative economic growth in recent years. The Ukraine’s national economy is divided into 15% agriculture, 26% manufacturing, and 59% services. Before the Ukrainian conflict began, the agriculture industry utilized about 71% of the national territory, while another 17% was forested, but today major regions throughout the country’s east are destroyed and live under the constant threat of violence. Needless to mention, the Ukrainian agriculture industry has been impacted very negatively by the war waged in recent years. Meanwhile, it is estimated that the Ukraine’s agricultural industry employs some 6% of the national labor force, while manufacturing employs about 27% and services employ another 67%.

In terms of natural resources, the Ukraine has iron ore, coal, manganese, natural gas, oil, salt, sulfur, graphite, titanium, magnesium, kaolin, nickel, mercury, timber, and arable land. Within manufacturing, the national industry is focused on coal, electric power, metals, machinery and transport equipment, chemicals, and food processing. Meanwhile, the country’s agricultural industry has as main products grain, sugar beets, sunflower seeds, vegetables, beef, and milk. In terms of trade, the Ukraine’s main partners are Russia, China, Turkey, Germany, and Poland, amongst others. This article explores the status of land distribution in the Ukraine.

Land Distribution and Agriculture in the Ukraine

Throughout recent years, the average per capita protein intake of animal origin amongst the Ukrainian population has been of approximately 41 grams daily. Meanwhile, cereals, roots, and tubers supply about 42% of the average food energy intake in the Ukraine. Simultaneously, land use in the Ukraine has evolved substantially throughout recent decades, especially given ongoing political changes and dynamics. Upon Ukrainian independence, in 1992, permanent pastures and meadows in the country covered almost 7.5 million hectares, while arable land covered more than 33 million hectares and permanent crops accounted for little over 1 million hectares. In 2014, permanent pastures and meadows in the Ukraine accounted for almost 7.9 million hectares, while arable land represented some 32.5 million hectares and permanent crops covered another 900.000 hectares. However, today, large swaths of these territories are not fully productive.

(Read more about Cotton Production and Markets in the European Union)