Quality Food Trade in Ukraine, Phase 2

Integrating into international trade has great potential for more growth in Ukraine, in particular in agriculture. Trade with new markets in Europe, the U.S., and Asia is increasing through the implementation of free trade agreements. Yet, both the organic and dairy sectors are facing a number of structural challenges that need to be tackled to underpin growth, like upgrading the regulatory environment, enhancing value addition, and improving the qualifications of the labour force.

Promote sustainable trade and create more and better jobs by strengthening the business competitiveness and capacities of SMEs in the organic and dairy sectors.

Regulatory framework: The Ukrainian regulatory framework and business environment are improved and aligned with European Union regulation.

Trade: Trade capacity is increased in the domestic and export markets with higher value-added products relating to the organic and dairy sectors.

Principaux résultats attendus:  

Regulatory framework - Implementation: The Ukrainian regulatory authorities are enabled to implement the regulatory framework that is aligned with the EU regulation.

Regulatory framework - Enforcement & compliance: Institutional and sectoral networks of public and private value chain actors have the capacities to support enforcement & compliance.

Trade - SME trade capacity: Ukrainian SMEs in the organic and dairy sectors have improved capacities to trade & access domestic and export markets.

Trade - Sector services: Public and private service providers and networks are strengthened to promote the application of good practices, value addition and trade.

Principaux résultats antérieurs:  

In 2004, SECO started to invest in the organic sector in the dairy sector in 2015. These investments were united under one program – QFTP 1 – from 2019 until today.

Over this period, the program contributed to an increase of 55% of the domestically trade organic products, and 113% internationally higher value-added organic products (as of June 2021) and an increase of 19% of dairy exports to international high-value markets (as of December 2022).

Organic agriculture is now one of the priority areas for policy makers. A significant landmark achieved with SECO support was the formal approval of a legal framework for organic agriculture.

The war has severely disrupted life in Ukraine and affected all of the partner institutions, but QFTP 1 has nonetheless achieved excellent results, especially in terms of value-added exports.