By KYIV. Nov 30 (Interfax-Ukraine) – Limiting the export of agricultural raw materials by introducing fiscal restrictions will push farmers to develop processing and help solve the grain and logistics crisis at the border, said the MP, Deputy Chairman of the Verkhovna Rada Committee on Economic Development Dmytro Kysylevsky.
“Sometimes a healthy provocation is needed to start an important business. I deliberately went for it at the flour millers’ conference “Development despite the war: grain and processing.” I proposed discussing an idea that so far looks controversial: to introduce fiscal restrictions on the export of agricultural raw materials from Ukraine. Considering the situation in border, the time for such a discussion seems to have come,” he wrote on Facebook.
He cited as an example the restriction on the export of sunflower seeds, which gave impetus to the development of the oil extraction industry in Ukraine, which is now the leading industry in the world. The moratorium on the export of round timber led to a rapid increase in investment in the woodworking and furniture industries. The export duty on scrap metal has saved tens of thousands of jobs in the Ukrainian metallurgy.
The expert expressed opinion that self-restriction of grain exports would be positively received by European countries, whose farmers initiate movements against Ukrainian products. In addition, such a step will resolve the permanent grain and logistics crisis on the western borders.
The parliamentarian is confident that Ukraine, the share of the processing industry in GDP of which is less than 8%, can benefit from the introduction of such restrictions, while in countries with a high standard of living this figure reaches 20%.
“Only processing and high-tech industries are capable of making our economy, and the state as a whole, self-sufficient, resistant to crises and external aggressions. This should become a guideline for long-term state economic policy,” the deputy concluded.
