Investment in poultry production in Ukraine poses a paradox. On one hand, the country benefits from competitive advantages in land availability, feed resources, and labor costs, which create favorable conditions for poultry development. On the other hand, SMEs with limited access to finance — challenges further aggravated by the war — while all investors face the burden of protracted bureaucratic processes

Poultry farming in Ukraine has significant potential for foreign and large Ukrainian investors. Capital expenditures are competitive compared to the US, France, or Poland. Affordable grain, skilled labor, and growing consumer demand enhance the attractiveness of investments. However, lengthy project approval poses significant barriers even for large businesses. Projects in Ukraine may take 2 to 3 years from conception to launch, while in Romania or Brazil, the same cycle takes 12 to 18 months.

At the same time, it is particularly difficult for small producers to expand their activities. Financial institutions’ collateral requirements and interest rates on loans of 15–21%, partially due to the war, significantly reduce the number of SMEs willing to attract funds. 

A more detailed analysis of the situation can be found in the KSE Institute’s Kickoff Brief “Paradox of Starting a Poultry Business in Ukraine”. The document was prepared ahead of the release of the report “Eurointegration 2.0. Inside Ukraine’s Poultry Industry, Volume 1: Strengths and Bottlenecks”  to share preliminary findings and initiate a specialized discussion.