Abundant harvest in Zhytomyr region without export opportunities

For the second year in a row, farmers in Zhytomyr region have been sowing and harvesting crops amid Russia's full-scale war. The biggest challenge now is the absence of grain exports. There is also a shortage of labor because many workers are defending the country.

The farmers will have a better harvest than last year. But they are not sure whether they will have a market for it.

An Ukrinform correspondent visited the harvest in Zviahel district (Zhytomyr region), where organic spelt (wild wheat) is being harvested and talked to Galeks-Agro company.

They grow organic spelt on 2,000 hectares. “Buckwheat is also growing here, where our apiary is, and we collect buckwheat honey,” Serhii Leonets, Executive Director of Galeks-Agro, says.

The company specializes in organic farming. It cultivates 10,000 hectares of land, grows over a dozen organic crops, including spelt, sunflower, soybeans, corn, and buckwheat. They produce wheat, barley, oat, buckwheat, spelt, and flour. The enterprise is also engaged in organic livestock farming.

Closed European markets and labor shortages are among the obstacles. About 35% of the company's employees are in the Armed Forces.

"Today, when we are talking to you here in the field, sales have stopped altogether," the executive director says. "The market has completely stopped… We sent inquiries to all the partners we worked with before Russia's full-scale war (there are about 20 of them in Europe). All of them refused our products, explaining that there was no need for them. When a gap appears, we may enter Europe with our products. But this is not yet predicted. This is a big problem. Business is in a critical state now.”

Previously, the company exported 40% of its grain products and processed the rest for the Ukrainian market. Now the company has only one contract with Italy, where it will sell 10 tonnes of spelt. For Galeks-Agro, this is an insignificant amount. But it is still a chance to declare that Ukraine is engaged in organic production. Until February 2022, European countries were the main buyers of unprocessed spelt.

According to forecasts, this year the company will harvest 5-10% more grain than last year. Some of last year's grain had to be packed in grain storage. If the sales market does not work, farmers will remain in a vicious circle, as there will be no need to sow grain that cannot be sold. This will lead to a lack of funds to pay salaries, buy diesel fuel, and maintain machinery.