{"id":11987,"date":"2015-01-23T10:51:50","date_gmt":"2015-01-23T10:51:50","guid":{"rendered":"https:\/\/stage.kse.ua\/news\/2015_01_23-byudzhet-nivyevskiy-2\/"},"modified":"2015-01-23T10:51:50","modified_gmt":"2015-01-23T10:51:50","slug":"2015_01_23-byudzhet-nivyevskiy-2","status":"publish","type":"news","link":"https:\/\/kse.ua\/en\/news\/2015_01_23-byudzhet-nivyevskiy-2\/","title":{"rendered":"Budget 2015 Is An Opportunity To Decrease Corruption In Ukraine Agriculture"},"content":{"rendered":"<p><!--------------------------------------- New img path. Need to be add to src param in the img html tag: \/wp-content\/uploads\/transfer_img\/_1559611793.x-empty ------------------------------------- --><!--------------------------------------- Old id: 2140 ------------------------------------- --><!-- [if !mso]>\n\n\n\n<style>\nv:* {behavior:url(#default#VML);}<br \/>o:* {behavior:url(#default#VML);}<br \/>w:* {behavior:url(#default#VML);}<br \/>.shape {behavior:url(#default#VML);}<br \/><\/style>\n\n<![endif]--><\/p>\n<p><b>Budget 2015 Is An Opportunity To Decrease Corruption In Ukraine Agriculture<\/b><\/p>\n<p><b>The volume of government support to agricultural producers is quite significant in Ukraine<\/b><\/p>\n<p>JANUARY 23, 2015<\/p>\n<p><i><a href=\"https:\/\/voxukraine.org\/?post_type=author&amp;p=2432\">Oleg Nivievskyi<\/a><\/i><i>,\u00a0<\/i><i>Senior Economist for Capacity Development for Evidence-Based Land &amp; Agricultural Policy Making Project, Kyiv School of Economics<\/i><\/p>\n<p>In 2015 the Ukrainian agricultural sector will receive its lowest level of state subsidies over the past 10 years, writes Oleg Nivievskyi from Institute for Economic Research and Policy Consulting in his VoxUkraine op-ed. Overall, however, this will not have an impact on the sector, but it gives an opportunity to reduce corruption, Nivievskyi suggests.<\/p>\n<p>The volume of government support to agricultural producers is quite significant in Ukraine.\u00a0According to Organisation for Economic Co-operation and Development, over 2010-2012 the government support for agriculture in Ukraine amounted to 1.62% of GDP, while OECD farmers received only 0.34% on average.<\/p>\n<p>Ukrainian budget support through production subsidies (payments per head, per tonne, concessional credits, compensation for agricultural machinery and equipment expenses, etc.) and general services subsidies (infrastructure, education, sanitary and\u00a0phytosanitary\u00a0control, etc.) account for an insignificant share of the total state support to the Ukrainian agriculture sector. The largest support \u00a0to farmers is received in the form of tax privileges.<\/p>\n<p>Corruption is the main problem in various support programs for agricultural sector and rural areas in Ukraine. The traditional 40-50% \u201ckickbacks\u201d when obtaining government subsidies, the complexity and non-transparent application requirements, questionable activities of the state agencies that\u00a0are governed by the\u00a0Ministry of Agrarian Policy and Food (Agrarian Fund,\u00a0Hlibinvestbud,\u00a0DPZKU) \u2013 all of which made budget subsidies and programs\u00a0unavailable\u00a0for the majority of agricultural producers while the activities of state enterprises became extremely\u00a0loss-making for the country.<\/p>\n<p>Picture 1.\u00a0Agricultural sector state support in Ukraine, mln. USD<\/p>\n<p><a href=\"https:\/\/voxukraine.org\/wp-content\/uploads\/2015\/01\/Niv.bmp\"><img decoding=\"async\" src=\"file:\/\/\/C:\/DOCUME~1\/Iryna\/LOCALS~1\/Temp\/msohtml1\/01\/clip_image002.jpg\" alt=\"Figure 1. Agricultural sector state support in Ukraine, mln. USD; source: years 2004-12 - OECD PSE charts (http:\/\/www.oecd.org\/tad\/agricultural-policies\/producerandconsumersupportestimatesdatabase.htm); 2013-15 - own calculations\" border=\"0\" \/><\/a><\/p>\n<p><b>Source: years 2004-12 \u2013 OECD PSE charts; 2013-15 \u2013 own calculations<\/b><\/p>\n<p>Thus, it\u00a0can be\u00a0argued that subsidy support does not\u00a0significantly\u00a0influenced\u00a0agricultural development as the lion\u2019s share of subsidies simply don\u2019t reach the producers. All eligible producers, however, obtain tax priviliges without exception and the interference of government officials in this process is minimal.<\/p>\n<p>The state budget for 2015 virtually does not envisages the financing of production subsidies, except for financing of the Agrarian Fund. However, this will not have a noticeable impact on the Ukrainian agriculture, but it gives an opportunity and time to fight the corruption via fundamental and radical reform of the state support for agriculture. Although, farmers will continue benefiting from tax privileges until January 1, 2018 (according to the text of the Coalition Agreement).<\/p>\n<p><a href=\"https:\/\/voxukraine.org\/2015\/01\/23\/budget-2015-an-opportunity-to-decrease-corruption-in-agriculture\/\" target=\"_blank\" rel=\"noopener\">https:\/\/voxukraine.org\/2015\/01\/23\/budget-2015-an-opportunity-to-decrease-corruption-in-agriculture\/<\/a><\/p>\n<p><!-- [if gte mso 10]>\n\n\n\n<style>\n \/* Style Definitions *\/<br \/> table.MsoNormalTable<br \/>\t{mso-style-name:\"\u041e\u0431\u044b\u0447\u043d\u0430\u044f \u0442\u0430\u0431\u043b\u0438\u0446\u0430\";<br \/>\tmso-style-parent:\"\";<br \/>\tfont-size:10.0pt;\"Times New Roman\";}<br \/><\/style>\n\n<![endif]--><!-- [if !mso]>\n\n\n\n<style>\nv:* {behavior:url(#default#VML);}<br \/>o:* {behavior:url(#default#VML);}<br \/>w:* {behavior:url(#default#VML);}<br \/>.shape {behavior:url(#default#VML);}<br \/><\/style>\n\n<![endif]--><!-- [if !mso]>\n\n\n\n<style>\nst1:*{behavior:url(#ieooui) }<br \/><\/style>\n\n<![endif]--><!-- [if gte mso 10]>\n\n\n\n<style>\n \/* Style Definitions *\/<br \/> table.MsoNormalTable<br \/>\t{mso-style-name:\"\u041e\u0431\u044b\u0447\u043d\u0430\u044f \u0442\u0430\u0431\u043b\u0438\u0446\u0430\";<br \/>\tmso-style-parent:\"\";<br \/>\tfont-size:10.0pt;\"Times New Roman\";}<br \/><\/style>\n\n<![endif]--><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Budget 2015 Is An Opportunity To Decrease Corruption In Ukraine Agriculture The volume of government support to agricultural producers is quite significant in Ukraine JANUARY 23, 2015 Oleg Nivievskyi, Senior Economist for Capacity Development for Evidence-Based Land &amp; Agricultural Policy Making Project, Kyiv School of Economics In 2015 the Ukrainian agricultural sector will receive its\u2026<\/p>\n","protected":false},"featured_media":0,"template":"","categories":[],"tags":[],"department":[],"news_type":[15],"project":[],"region":[],"unit":[38],"class_list":["post-11987","news","type-news","status-publish","hentry","news_type-news","unit-kse"],"acf":{"primary_unit":null,"news_intro":"","header_cta_mode":"event","header_event_cta_text":"\u0414\u043e \u043f\u043e\u0434\u0456\u0457","header_event_cta_url":"","header_research_cta_text":"\u0427\u0438\u0442\u0430\u0442\u0438 \u0432\u0441\u0435 \u0434\u043e\u0441\u043b\u0456\u0434\u0436\u0435\u043d\u043d\u044f","header_research_pdf":null,"author_person":"","author_name":"","related_news":null,"related_events":[],"related_people":[],"related_links":null,"external_link":"","external_link_label":"","is_featured":false,"is_featured_archive":false,"quote_text":"","quote_author":"","quote_author_role":"","program_title":"\u0424\u043e\u0440\u043c\u0430\u0442 \u043f\u0440\u043e\u0433\u0440\u0430\u043c\u0438","program_items":null,"reference_title":"\u0414\u043e\u0432\u0456\u0434\u043a\u0430","reference_content":"","source_system":"migration","source_id":"18804","content_owner":"kse","last_reviewed":null,"visibility":"public","platform_id":"","platform_version":"","platform_managed":false},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.5 (Yoast SEO v28.6) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Budget 2015 Is An Opportunity To Decrease Corruption In Ukraine Agriculture - KSE<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/kse.ua\/en\/news\/2015_01_23-byudzhet-nivyevskiy-2\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Budget 2015 Is An Opportunity To Decrease Corruption In Ukraine Agriculture\" \/>\n<meta property=\"og:description\" content=\"Budget 2015 Is An Opportunity To Decrease Corruption In Ukraine Agriculture The volume of government support to agricultural producers is quite significant in Ukraine JANUARY 23, 2015 Oleg Nivievskyi, Senior Economist for Capacity Development for Evidence-Based Land &amp; 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