The Cabinet of Ministers extended payment deadlines for agricultural exporters

The Cabinet of Ministers has expanded the possibilities of extending the payment deadlines for exporters of agricultural products.

This was reported by the Ministry of Agrarian Policy.

The Cabinet of Ministers has expanded the list of goods for which exporters and importers can obtain permission from the Ministry of Economy to extend the payment deadlines for foreign economic operations – up to 180 days.

The expanded list includes, in particular, wheat and a mixture of wheat and rye (meslin), rye, barley, oats, corn, soybeans, rapeseed or colza seeds, sunflower seeds, soybean, sunflower, rapeseed or mustard oil, as well as cake.

The decision is aimed at supporting Ukrainian agricultural exporters in the conditions of martial law, preserving export potential and minimizing the risks of violating currency legislation due to the complications of international logistics, the Ministry of Agriculture noted.

“Ukrainian agricultural exports today operate in conditions of unprecedented logistical challenges. Due to Russian attacks on port infrastructure, a significant part of cargo flows had to be redirected to alternative routes. This increases the duration of delivery and may lead to delays in settlements under foreign economic contracts. We must take these objective circumstances into account and not create additional risks for Ukrainian exporters,” said the Minister of Agrarian Policy and Food of Ukraine Taras Vysotskyi.

According to him, stable agricultural exports are important both for supporting Ukrainian producers and for ensuring foreign exchange earnings and the economic stability of the state.

“Due to Russia’s blockade of seaports in August, Ukraine was able to export only 33% of its total agricultural products. To maintain supplies, Ukrainian companies were forced to redirect cargo to Danube ports, railway and road routes across the western border. However, alternative routes have limited capacity, and additional transshipments and logistics operations increase delivery times,” the minister emphasized.

According to estimates, logistics time costs have increased by 40-50%, which directly affects the terms of execution of foreign economic contracts and the return of foreign exchange earnings.

The government decision will allow taking into account the objective increase in export logistics terms in conditions of military risks and reduce the risk of applying financial sanctions to Ukrainian exporters in cases where the delay in the receipt of foreign exchange earnings is caused by circumstances beyond their control.

Earlier, USM reported that Ukraine and Italy discussed ways to support agricultural exports after Russian attacks on ports.