Ukrainian agricultural exports: sustainability and strategic growth
Vitaliy Koval, Minister of Agrarian Policy and Food of Ukraine
The agri-food sector in Ukraine is not only about supplying the domestic market, it is also a significant part of export income. In 2024, Ukraine's total exports amounted to $41.6 billion, of which $24.6 billion were exports of agri-food products. This is 59% of total exports, allowing us to maintain national reserves and the hryvnia exchange rate, which means we can contain inflation in the country.
Increasing exports during the war
Despite all the obstacles of wartime, Ukrainian farmers manage to increase exports. Compared to 2023, the volume of agricultural exports grew by 12.5%, or $2.7 billion. This increase was not least due to the growth of some of the largest categories of agricultural exports - grains (up by $1.1 billion) and oilseeds (up by $0.5 billion).
High added value is the future of Ukrainian agricultural exports
However, last year's export figures show that Ukraine has significant potential to grow high value-added sectors and move away from the traditional model of agriculture focused on grains and oilseeds. For example, exports of meat products increased by 18% over the year and exceeded USD 1 billion for the first time. The category of dairy products, eggs, and honey grew by 22%, from $0.4 billion to $0.5 billion. The volume of exports of vegetables and their processed products increased by an impressive 53% over the year, from USD 0.3 billion to USD 0.5 billion.
Development of niche sectors
In general, the growth of the agricultural sector is sustainable and occurs in almost all sectors of the agricultural complex - out of 24 categories of agri-food products, exports increased in 20 categories. This shows that Ukraine has a huge potential for the development of those sectors that are currently considered niche. But it is thanks to the enormous growth in exports in these categories and the magic of compound interest that those sectors that are currently considered niche may take a significant share of Ukrainian agricultural exports in the next 5-10 years.
Geographical structure of exports
The geographic structure of exports also deserves special attention. After the start of the full-scale invasion, the EU accounts for a significant share of total agricultural exports. In 2024, this share was 52%, but it decreased by 4.8 percentage points compared to 2023 due to the active development of other export destinations.
New export markets
As of today, in addition to the EU, the most developed export destinations for Ukrainian agricultural products are the Middle East (with total exports of $3.5 billion), Africa ($2.6 billion), Southeast Asia ($2.2 billion), and Asia ($1.8 billion). For many countries in these regions, food security is a critical issue, and the supply of Ukrainian products is of strategic importance.
Strategic development of Ukrainian agricultural exports
In this way, Ukraine's agri-food sector demonstrates not only resilience in wartime, but also the ability to adapt and develop strategically. Expanding export destinations, developing exports of high value-added products, and playing an active role in addressing global challenges such as food security ensure not only economic stability but also a significant contribution to international cooperation. The future of Ukrainian agricultural exports is a path to transformation, where innovation, sustainable development and partnership with the international community will be the key to new achievements.