USAID Launches $250 Million Program to Boost Ukraine's Agriculture

USAID launches $250 million Harvest program to support Ukraine's agricultural sector, aiming to increase exports by $1.5 billion. The program will provide direct investments to small and medium-sized agricultural enterprises, helping Ukrainian farmers expand export markets.

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Rizwan Shah
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USAID Launches $250 Million Program to Boost Ukraine's Agriculture

USAID Launches $250 Million Program to Boost Ukraine's Agriculture

The United States Agency for International Development (USAID) has announced the launch of a new five-year program, USAID Harvest, aimed at supporting agricultural production in Ukraine. The program will provide direct investments of $250 million in small and medium-sized agricultural enterprises in the country.

According to Isobel Coleman, Deputy Administrator of USAID, the program will help Ukrainian farmers who have been struggling to survive. The Ministry of Agrarian Policy and Food of Ukraine reports that a significant number of Ukrainian farmers have only been able to survive their third season thanks to support from previous USAID projects.

Why this matters: This investment in Ukraine's agricultural sector has significant implications for global food security and the country's economic stability. By increasing Ukraine's agricultural exports and diversifying its economy, the program can also have a positive impact on regional trade and economic growth.

The USAID Harvest program aims to increase Ukraine's agricultural exports by $1.5 billion, attract an additional $500 million in private investment, support small grain and oilseed producers in expanding their export markets, and help diversify Ukraine's exports and produce higher value-added products.

Coleman emphasized the agency's shift in focus, stating, "The Agency is shifting its focus to the future needs of Ukrainian agriculture and will support the diversification of its exports and the production of higher value-added products." The program's objectives align with Ukraine's goals of increasing its agricultural exports and diversifying its economy.

The USAID Harvest program builds on the success of previous USAID projects in Ukraine, such as the AGRO project, which has been instrumental in supporting Ukrainian farmers over three farming seasons. The Ministry of Agrarian Policy has also announced co-financing for service providers for the processing and storage of agricultural products to develop elevator capacities under the USAID Agricultural and Rural Development (AGRO) program, with a total funding of up to UAH 270 million.

The USAID Harvest program is a significant investment in Ukraine's agricultural sector, which is expected to have a positive impact on the country's economy and food security. The program's focus on supporting small and medium-sized producers and expanding export markets will help strengthen Ukraine's position in the global agricultural market.

Key Takeaways

  • USAID launches $250M program to support Ukrainian agricultural production.
  • Program aims to increase Ukraine's agricultural exports by $1.5B.
  • Focus on small and medium-sized enterprises to diversify economy.
  • USAID Harvest builds on success of previous AGRO project.
  • Program to strengthen Ukraine's position in global agricultural market.