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Ukraine unveils the Land Bank project, allowing farmers to lease state lands through auctions.

Ukraine has started the sowing season for the 2024 harvest, but the forecasts are not encouraging.

Farmer in tractor preparing farmland with seedbed for the next year

The State Property Fund (SPFU) presented its Land Bank project, which allows farmers to lease state land transparently and competitively through Prozorro.Sales online auctions. The starting price for these leases will be 12% of the regulatory monetary value of the land, and lease agreements will be concluded for 14 years for annual plantations and 25 years for perennials.

Soon, the Cabinet of Ministers is expected to approve the decree on the first pool of land plots encompassing 104,200 hectares, which will then become available for rent. The plots will be auctioned at the end of June – the beginning of July 2024. These lands are in different regions of Ukraine, which will enable farmers from all over the country to participate in the auctions.

“The Land Bank project is designed to use the land resources at the disposal of the state as efficiently as possible and to support agricultural producers, especially those who lost their land due to the war,” commented SPFU officials.

 

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