De-shadowing of the grain market: UZA thanked Kiper and Odesa RMA for bringing order in the domain

The Ukrainian Grain Association expressed gratitude for the efforts of the government, the Ministry of Agrarian Policy and the Odesa Regional Military Administration aimed at de-shadowing the grain market in Ukraine, UNN reports.

Details

The association stated that over the past year, a number of mechanisms have been developed to reduce the shadow turnover of grain.

"Also, the UGA strongly supports the implementation of the law on export security, which is designed to deregulate export administration, replacing a number of mechanisms with one effective tool that will simultaneously reduce the turnover of shadow grain and its exports and simplify procedures for legal grain exports," the statement said.

The association added that the law is based on the experience gained by the grain export market thanks to the order of the Odesa RMA of August 18, 2023.

"During the period of the Order, the Odesa RMA communicated with the participants of export operations, and this has significantly improved the situation in the fight against the "shadow" part of grain and oilseed exports.

The UGA is convinced that the introduction of a mechanism to ensure grain exports will contribute to further de-shadowing of the grain market and will satisfy both the state and businesses that operate openly and transparently," the statement reads.

Addendum

In August 2023, Oleg Kiper, the head of Odesa RMA, issued an order obliging exporters to confirm the origin of goods. He argued his decision then with impressive figures: 30-40% of the subjects of the export grain market worked "in the shadows". From now on, all customs declarations are registered before the export goods are loaded, so it is almost impossible to take grain bought for cash from an anonymous farmer.