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Agriculture

conclusion

Joint Venture
Bio-Dynamic
Technology III

The agricultural sectors in Ukraine, Crimea, Moldova, Romania, and Bulgaria face various challenges but also present numerous opportunities. Proximity to key markets and available resources are significant advantages. Political stability and the quality of infrastructure remain crucial factors for the development of these sectors.

Our main interest in front of our background and also regarding a symbiose with the mining industry is the production of Miscanthus Giganteus, Hydrogen, Ammonia and Gunpowder. Two of our partners inside this joint venture are the SI Smeralda Investimenti GmbH and the Phoenix Minerva GmbH, both situated in Hamburg.

Economic and Legal Framework of Agriculture in Ukraine

Agriculture is a cornerstone of Ukraine’s economy, particularly through the production and export of grains, corn, and sunflower oil. These products are significant contributors to the national economy, with agriculture accounting for approximately 10% of the Gross Domestic Product (GDP) and around 40% of exports. Legally, Ukraine offers protection to foreign investors through various investment protection agreements and specific laws aimed at promoting investment activities. However, political instability remains a significant risk for investors​ (bpb.de)​​ (epdf.pub)​.

In Ukraine, wheat is the primary agricultural product, exported to over 80 countries and accounting for about 22.5% of agricultural export revenues. Corn is the second most important product, with one-sixth of the global corn supply originating from Ukraine. Sunflower oil is another major export product, making Ukraine a leading exporter globally. Barley is significant for the European market, and soybeans are increasingly important for export​ (bpb.de)​​.

In Ukraine, the primary issues in agriculture include political instability, corruption, and inadequate infrastructure. Crimea faces challenges due to international sanctions, water supply issues, and restricted market access. In Moldova, the main problems are corruption, small agricultural land sizes, and poor infrastructure. Romania struggles with fragmented land ownership, the need for investment in modern agricultural technology, and environmental problems. Bulgaria faces environmental issues, the need for modernization, and rural depopulation​.

The production of Miscanthus Giganteus would be advantageous in Ukraine and Romania due to the vast agricultural lands and favorable climate. Hydrogen production could benefit from proximity to resources and existing infrastructure in Ukraine and Romania. Ammonia production, being highly energy-dependent, would be suitable in regions with easy access to energy sources like Ukraine. Gunpowder production, due to safety regulations and market demands, would be most feasible in countries with stable political conditions such as Romania and Bulgaria​ (bpb.de).