The agricultural sector plays a significant role in Ukraine’s economy. With 41.5 million hectares of agricultural land covering 70 percent of the country and about 25 percent of the world’s reserves of black soil, agriculture is Ukraine’s largest export industry. In 2019, Ukraine’s agriculture sector generated approximately 9% of GDP. With anticipated growth of production volumes and delayed demand, Ukraine’s imports of agricultural machinery and equipment is expected to grow. Operational need for agricultural machinery and equipment is estimated at $20 billion in 2025.
There are about 40 manufacturers of agricultural machinery in Ukraine, who still supply a significant part of Ukraine’s agricultural machinery, in particular, ploughs, harrows, cultivators, seeders and sprayers. Industry leaders include three plants, which manufacture tractors (Kharkiv Tractor Plant, Pivdenny Tractor Plant and LAN Concern), and two plants, which manufacture harvesters, located in Kherson and Ternopil. All domestic manufacturers of agricultural machinery have similar problems such as old equipment, the absence of modern technologies, low solvency of Ukrainian farms, and a lack of credits.
Local agricultural machinery and equipment production is expected to grow due to a Ukrainian Government program offering 25 percent support for the purchase of Ukrainian agricultural machinery and equipment. However, according to the Center of Economic Recovery, in 2019 the market share of imported machinery in Ukraine remained high at 67 percent.
Kharkiv Tractor Plant produces machines designed to perform a variety of functions in many industries, agricultural and communal services, and construction. For 85 years of work, KhTZ has produced more than 2.5 million tractors of various models and modifications. Almost all tractors and heavy special-purpose machinery are multifunctional and have high modularization opportunities with numerous rigs of various purposes. KhTZ technologists, designers, industrial designers and many other specialists develop new lines of high-tech, comfortable and productive machines, manufactured using innovative technologies and materials. In addition to traditional general-purpose tractors, the enterprise started production of special equipment intended for oil workers and geologists. The plant produced machines for mechanized welding.
Aeromeh Ltd – one of the major specialized plants for the production of advanced equipment for cleaning and calibration of grain produced only in Ukraine. The company won the all-Ukrainian contest “Invention of the Year 2020” by the Ukrainian Chamber of Commerce and Industry, which determined the best inventions and developments for the last 5 years. Learn more about it here.
Elvorti – a leading enterprise in the field of agricultural machinery in Kropyvnytskyi that has representative offices in 52 cities, London and New York. The company produces grain seeders, cultivators, fertilized spreaders, etc.