RESTRICTED
WORLD TRADE WT/ACC/SPEC/UKR/1/Rev.1
1May1997
ORGANIZATION(97-1894)
Original: English
ACCESSION OFUKRAINE
Communication from Ukraine
Revision
TheMinistry forForeign Economic Relations andTrade ofUkraine hassubmitted thefollowing
revisions totables DS:1, DS:4 andDS:5 oftheagriculture country schedule ofUkraine together with
theexplanatory notesreproduced hereunder. Statistical dataonproduction, sales, consumption, exports
andprices ofagricultural products inUkraine for1986-1995 isalsoreproduced hereunder. Information
ontheresults ofprivatization ofproperty ofenterprises intheagricultural sector ofUkraine asof
1January 1997 isavailable intheSecretariat (Accessions Division, Room 1126) forconsultation.WT/ACC/SPEC/UKR/1/Rev.1
Page2Supporting Table DS:1
DOMESTIC SUPPORT:
REPORTING PERIOD: Calendar year, marketing year, etc.
Measures exempt fromthereduction commitment --"Green Box"
Measure type Name anddescription ofmeasure withreference tocriteria inAnnex 2
oftheAgreement onAgricultureMonetary value ofmeasure
inyearinquestionDatasources
1 2 3 4
(a)"general services" 1.Support ofselection instock-breeding -upgrading ofselection and
genetic potential, improvement ofcattle andpoultry strainLawofUkraine "OnPedigree Stock-Breeding"
Partial reimbursement ofexpenditures onimplementation
oftheState Programme forSelection inStock-Breeding:
-Forproduction andsales ofsperm ofvaluable
pedigree bulls;
-forembryos received, purchased andtransplanted;
-forpedigree cattle purchased;
-forthedevelopment ofselection programmes and
computerization plans, analysis oftheir
implementation, registration ofthoroughbred cattle.
2.Scientific research andproduction ofexperimental samples ofnew
types ofequipment foragriculture, foodandprocessing industriesNational Program forProduction ofTechnological
Complexes ofEquipment forAgriculture, Food and
Processing Industries
Development oftechnologies andlaunching ofproduction
inthefollowing spheres:
-Manufacturing ofnewagricultural machinery forsoil
cultivation, sowing ofcereals, beetroot, planting of
potatoes, protection ofplants, harvesting, etc;
-cattle-breeding, swine-breeding, horse-breeding, etc.
Development oftechnologies forrepairs andrenovation of
spare parts (including production oftools)
3.Rural infrastructure development: building foreducation, culture
andsports, construction ofwater pipelines, sewerage systems and
facilities, gassupply networks, roads, public utilities, territorial
planning, housing construction inlabour-deficient areasLawofUkraine "OnthePriority ofSocial Development of
Rural Areas andAgroindustrial Complex intheNational
Economy ofUkraine"WT/ACC/SPEC/UKR/1/Rev.1
Page3Measure type Name anddescription ofmeasure withreference tocriteria inAnnex 2
oftheAgreement onAgricultureMonetary value ofmeasure
inyearinquestionDatasources
1 2 3 4
4.Pestanddisease control Action PlanoftheCabinet ofMinister ofUkraine, section
concerning measures onstruggle withespecially dangerous
pests anddiseases ofagricultural plants:
-American white moth;
-Californian armour-bearer;
-Eastcrop-guzzler;
-Tortoise bug;
-Perennial herbpests;
-South grayweevils;
-Potato cancer
-Tobacco diseases;
-Locust.
5.Payments forfundamental improvement ofland Liming ofsoursoilsandgypsuming ofsaline soils
6.Support ofselection instock-breeding -support ofimplementation
ofnewhighly-productive varietiesAction PlanoftheCabinet ofMinisters ofUkraine
Partial reimbursement ofexpenditures ofagricultural
producers foreliteseeds purchased:
-Seeds ofwinter crops;
-seeds ofspring crios;
-seeds ofleguminous plants;
-seeds ofmaize (parental forms);
-seeds ofvegetables andmelons;
-seeds ofsugar beet;
-sunflower seeds;
-seeds ofpotatoes, etc.
7.Training andadvanced training ofexperts andworkers for
production andsocial sphere ofrural areasLawofUkraine "OnthePriority ofSocial Development of
Rural Areas andAgroindustrial Complex intheNational
Economy ofUkraine"
Training ofmachine-operators foragriculture:
-Tractor drivers, category A;
-tractor drivers, nocategory;
-automobile drivers;
-water-sprinkler operators;
-pump station operators;
-automatic milking operators;
-cattle farmoperators.WT/ACC/SPEC/UKR/1/Rev.1
Page4Measure type Name anddescription ofmeasure withreference tocriteria inAnnex 2
oftheAgreement onAgricultureMonetary value ofmeasure
inyearinquestionDatasources
1 2 3 4
Advanced training ofmachine-operators:
-Tractor drivers (studying newtypes oftractors);
-operators;
-engineers forinstallation ofnewequipment;
-cattle-breeders.
(b) "public stockholding forfood
security purposes"Creation offoodstock tobeusedincaseofnatural disasters,
extraordinary situations andstateofemergencyLawofUkraine "OntheState Material Reserve"
(c) "domestic foodaid" Notapplied
(d) "decoupled income support" Notapplied
(e) "income insurance andincome
safety-net programmes"
(f) "payments forrelief from
natural disasters"Reimbursement fordamages caused byanatural disaster Regulations oftheReserve Fund oftheCabinet of
Ministers ofUkraine
(g) "structural adjustment assistance
provided through producer
retirement programmes"Notapplied
(h) "structural adjustment assistance
provided through resource
retirement programmes"Notapplied
(i) "structural adjustment assistance
provided through investment
aids"Notapplied
(j) "environmental programmes" Notapplied
(k) "regional assistance
programmes"Additional payments toagricultural producers located inmountainous
areasLawofUkraine "OntheStatus ofMountainous
Settlements inUkraine"WT/ACC/SPEC/UKR/1/Rev.1
Page5Measure type Name anddescription ofmeasure withreference tocriteria inAnnex 2
oftheAgreement onAgricultureMonetary value ofmeasure
inyearinquestionDatasources
1 2 3 4
(l) "other" Partial reimbursement ofagricultural producers 'expenses onpayment
ofinterest under banking loansLawofUkraine "OnCollective Agricultural Enterprise"
and"OnPeasant 's(Family) Farming". TheLawprovides
for:
- Payment forapartofbanking interest onloans;
- partial payment ofinsurance fees;
- partial payment ofestimated costofconstruction of
cattle-breeding premises;
- payment forapartofthevalue offirsttractor,
combine orautomobile purchased;
- payment foractivities connected withallocation of
landtofarmers;
- personnel training andscientific support offarming
development.WT/ACC/SPEC/UKR/1/Rev.1
Page6Supporting Table DS:4
DOMESTIC SUPPORT:
REPORTING PERIOD: Calendar year
Calculation oftheCurrent Total Aggregate Measurement ofSupport
Description ofbasic products (including
non-product specific AMS)Product specific AMS (from Supporting
Tables DS:5 below) million ECUProduct-specific measurements ofsupport (from
Supporting Table DS:8 below)Current totalAMS (aggregate)
million ECU
1 2 3 4
- 1917.6 - 1917.6WT/ACC/SPEC/UKR/1/Rev.1
Page7Supporting Table DS:5 DOMESTIC SUPPORT:
REPORTING PERIOD: calendar year
Product-Specific Aggregate Measurements ofSupport: Market Price Support
RateofExchange on10January 97:ECU100=UAH233.85; ECU1.00=US$1.235
Description of
basic productsCalendar year
beginning 1997Measure type(s) Applied administered
price, ECU/tonExternal reference price,
ECU/tonEligible production,
thousand tons
(1986-1900,
average)Associated
fees/levies,
ECU/tonTotal market
price support,
million ECUDatasources
1 2 3 4 5 6 7 8
((4-5*6)-79
Potatoes Price support 250x 165 256.5 - 21.8 State Programme
forEconomic and
Social Development
ofUkraine
Flaxfibre Same 820xx 450 37.8 - 14.0 Same
Hop Same 3,630x 2,800 1.3 - 1.1 Same
Tobacco Same 5,900x 4,860 3.5 - 3.6 Same
Vegetables Same 220x 190 1,037.9 - 31.1 Same
Granulated sugar
(white)Same 420xx 310 3,507.0 - 385.8 Same
Bovine meat Same 2,690xx 1,620 681.2 - 728.9 Same
Pigmeat Same 2,200xx 1,450 162.1 - 121.6 Same
Broiler poultry
meatSame 2,110xx 690 68.8 - 97.7 Same
Washed wool Same 4,150xx 3,250 9.1 - 8.2 Same
Butter Same 3,200xx 1,400 212.7 - 382.9 Same
Sunflower oil Same 630xx 450 671.6 - 120.9 Same
Notes:
x-procurement prices
xx-wholesale pricesWT/ACC/SPEC/UKR/1/Rev.1
Page8
Explanatory Note toTables inACC/WTO Format
Supporting tables DS:1 (domestic support) hasbeencompiled onthebasisoflawsofUkraine
inforce, resolutions oftheGovernment andother normative documents providing forgovernmental
support oftheagro-industrial complex through thefinancing ofmeasures notcovered bycommitments
onreduction thereof (green-box). These aremeasures setforth byparagraphs (a),(b),(f),(l)and
(n).
Anumber ofmeasures (paragraphs (c),(d),(g),(h),(i)and(j))included intothesaidtable
currently donotreceive support duetotheshortage oftheState budget inUkraine.
Measures ondomestic support ofmanufacturers ofagricultural products andfoodstuffs, as
wellasthesizeoftheAggregate Measurement ofSupport (AMS) arecalculated onthebasisofmarket
prices support onlybythose products, domestic (procurement orwholesale) prices forwhich exceed
fixed external reference prices.
Measures onnon-profit-specific support, anddirect payments under production-limiting
programmes (blue-box measures) arenotapplied inUkraine.
Theamount ofexport subsidies wasdetermined onthebasisofthevolume ofsubsidized exports
(under stable production levels), andthedifference between prices prevailing onthedomestic market,
andaverage export c.i.f. prices forUkraine. Itisplanned thatapartofsubsidized exports willbe
supplied from theState reserve, andtheremainder bymanufacturers.
Direct export subsidies andsubsidies toreduce thecostofmarketing exports, including the
costoftransport andfreight, arenotapplied inUkraine.
Values ofdomestic support andexport subsidies areexpressed inECUs.
Therequirement oftheWTO Agreement onAgriculture thatthebasis period should include
three years preceding thebeginning ofnegotiations (inthiscase, 1994-1996), isnotacceptable for
Ukraineduetothecriticaleconomicsituation(theafter-peakperiodfallsexactlyontheseyears).Starting
theendof1991, inflation levels inUkraine grewabruptly. In1996, compared to1990, prices increased
164.6 thousand times. Compared topreceding years, theincrease in1991 made up3.9times, in
1992 -21times, 1993 -102.6, 1994 -5,1995 -2.8,in1996 -1.4times.
Thefollowing were themajor reasons thatcaused theinflation:
- Restructuring ofagrarian sector (changing ofownership forms, demonopolization of
production, etc.);
- termination ofstable economic relations withtheformer USSR countries;
- steep transition from thecentralized planned production management tounregulated
economy withmissing market infrastructure.
Thegreatest decline inagricultural production wasobserved in1994-1996. Incomparative
prices, public sector agricultural production levels in1994made up52.6percent,in199547.9percent,
andin1996 38.8percentcompared to1990 levels. During these years, nobudget funding (price
supportandexportsubsidies)ofagro-industrialcomplexwasallocated,withtheexceptionofinsignificant
expenditures onthedevelopment ofselection, genetics andsocial sphere.
Proceeding fromtheabove, theperiod from1986 to1990 should beusedasthebasis, since
theyarelastyears before thecrisis began, andwhen agricultural production wasstable.WT/ACC/SPEC/UKR/1/Rev.1
Page9Production ofCertain Types ofProducts inUkraine
(thousand tons)
1986 1987 1988 1989 1990 1991 1992 1990 1991 1992 1993 1994 1995 1996
Beef 1,348.1 1,416.7 1,428.7 1,502 1,489 1,346.5 1,210.6 1,489 1,347 1,210.6 939.2 877.3 644.7 521.6
Pork 603.4 612.2 658.6 708.7 723.7 642.3 440.4 723.7 642.3 440.4 276.8 209.0 155.7 121.7
Bird'smeat 302.7 310.2 354.4 371.7 355.4 291.7 251.1 355.4 291.7 251.1 166.9 91.5 65.5 49.5
Granulated sugar 6,659.9 7,579.1 6,131 7,014 6,791 4,786.5 3,647.4 6,791 4,787 3,647 3,993 3,368 3,857 3,295.6
Butter 406.8 421.2 440.4 440.8 444.1 376.4 302.9 444.1 376.4 302.9 311.8 253.7 221.9 162.4
Sunflower oil 796.4 904.6 982.9 1,012 1,033.4 972.5 833.6 1,033 972.5 833.6 790.9 627.7 688.1 699.1
Clean wool, tons 34,448 34,777 33,710 34,478 31,176 20,759 18,994 31,176 20,759 18,994 13,405 12,080 10,323 4,893
Average Wholesale Prices forCertain Types ofProducts inUkraine
(perton)
Karbovanetz Thousand karbovanetzs Hrivnas
1989 1990 1991 1992 1993 1994 1995 1996
Beef 1,446 1,457 8,598 47,200 2,420 24,482 138,692 2,209
Pork 1,528 1,506 6,636 60,679 3,126 36,684 187,801 3,024
Bird'smeat 1,729 1,751 5,108 55,172 3,864 40,195 187,466 2,618
Granulated sugar 604 605 1,270 47,416 2,322 15,941 35,249 823
Butter 3,124 3,126 12,696 115,669 5,197 50,953 291,851 4,534
Sunflower oil 725 723 1,546 17,628 2,448 16,538 76,815 1,010
Natural wool ... ... 71,626 471,928 19,437 97,873 335,999 4,044
*Data arebeing developed starting from 1989.WT/ACC/SPEC/UKR/1/Rev.1
Page10Extra Charges andAdditional Payments fortheSoldAgricultural Products tothePurchasing Organizations *
(million krb.)
1986 Including 1987 Including 1988 Including Including
Extra
charges to
thedeficient
and
unprofitable
businessesExtra charges tothe
purchasing price above the
average levelExtra
charges to
thedeficient
and
unprofitable
businessesExtra charges tothe
purchasing price above the
average levelExtra
charges to
thedeficient
and
unprofitable
businessesExtra charges tothe
purchasing price above the
average levelDifferen-
tiated extra
charge
Intheamount
of100%Inthe
amount of
50%Inthe
amount of
100%Inthe
amount of
50%Intheamount of
150% -grains
100% -sunflowerInthe
amount of
50%
Grains -total 343.5 3.1 293.4 47.0 608.8 1.6 556.6 50.6 793.0 12.5 729.0 51.5
Sunflower 52.4 0.3 52.1 0.2 0.2 118.9 0.8 109.9 8.2
Potato 72.6 37.6 35.0 48.3 12.1 36.2 20.7 3.6 14.5 2.6
Vegetables 41.0 16.1 24.9 44.9 7.5 37.4 29.6 3.6 23.7 2.3
Sugar beets 101.7 22.8 78.9 156.5 13.0 143.5 133.6 5.6 120.7 7.3
Cattle andpoultry 1,047.3 536.8 510.5 1,323.3 468.8 854.5 1,692.4 387.1 1,028.0 277.3
Milk 777.0 421.1 355.9 837.9 397.6 440.3 1,005.6 329.8 526.7 149.1
Eggs 14.2 4.5 9.7 3.5 3.5 2.3 2.2 0.1
Wool 18.1 7.8 10.3 16.9 6.8 10.1 26.0 5.6 13.2 7.2
Total 2,467.8 1,050.1 293.4 1,124.3 3,040.3 911.1 556.6 1,572.6 3,822.1 750.8 838.9 1,786.5 445.9
*In1993-1994 extra charges andadditional payments werenotdetermined; onlyprices andreturns fromthesaleofagricultural products wereindexed; starting from1995 Government eliminated pricing
support totheagricultural producers.WT/ACC/SPEC/UKR/1/Rev.1
Page111989 Including 1990 Including 1991 1992 Including according tothe
resolution
Extra charges tothepurchasing
price above theaverage levelDifferen-
tiated extra
chargeIntheamount
of50%ofthe
purchasing
priceDifferen-
tiated extra
chargeAbove
average levelNo.348of
25/06/92No.679of
05/12/92
Intheamount of
150% -grains
100% -sunflowerInthe
amount of
50%
Grains -total 930.5 854.7 39.7 36.1 1,583.9 27,835.7 11,073.1 16,762.6
Sunflower 221.7 197.5 15.9 8.3 153.8 1.3 12.7 139.8 639.4 12,712.9 12,712.9
Potato 48.7 36.6 12.1 195.0 40.5 154.5 21,860.5 5,101.7 16,758.8
Vegetables 44.1 22.9 21.2 7.3 7.3 2,759 721.9 2,037.1
Sugar beets 318.5 277.8 40.7 16.1 16.1 750.3 6,018.2 1,067.9 4,950.3
Cattle andpoultry 3,515.3 955.5 2,559.8 2,832.9 2,079.7 753.2 4,198.1 169,236.9 119,365.2 49,871.7
Milk 2,215.8 550.8 1,665.0 2,221.8 1,693.0 528.8 1,759.4 81,361.4 53,337.3 28,024.1
Eggs 15.0 15.0 9.8 9.8 10,972.0 6,438.1 4,533.9
Wool 38.4 16.6 21.8 35.0 20.0 15.0 6,042.9 3,880.2 2,162.7
Total 7,348.0 1,052.2 1,915.8 4,380.0 5,471.7 1.3 3,879.1 1,591.3 8,931.1 338,799.5 213,698.3 125,101.2WT/ACC/SPEC/UKR/1/Rev.1
Page12Consumption oftheBasic Food Products bythePopulation ofUkraine
(perheadofthepopulation during oneyear; kilograms)
1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 (expec)
Meat andmeat products (calculated onameat content)
(including subproducts andrawmaterial fat) 66.5 66.9 68.9 68.6 68.2 65.5 53.4 46.4 43.5 38.9 36.7
Milk andmilkproducts (calculated onamilkcontent) 354.5 357.2 367 366.9 373 346 284.5 264.2 256 243.5 230.0
Eggs 279 284 286 280 272 256 227 206 183 171 162
Potato 139.5 130.6 122 127.5 131 116 132.9 150.0 136 123.7 126.0
Vegetables andmelon crops 128.5 126.6 125 107.5 103 103 88.9 90.1 83.7 96.6 86.0
Bread-stuffs (bread andmacaroni products calculated onthe
content offlour; grains, flour, pulse crops) 138.7 141 138 137.7 141 143 142.5 144.5 135 128.4 121.5
Fruits, berries, grapes (notprocessed forwine) 53 48 47 46 47 36 38 40 27 33 37
Sugar 47.6 52.2 49.7 46.7 50.0 50.0 45.4 39.0 33.0 31.6 33.0
Oil 10.9 11.2 11.2 11.9 11.6 11.2 10.6 10.0 8.7 8.2 8.3
Fishandfishproducts 19.2 18.9 18.5 18.2 17.5 12.2 7.3 3.7 3.5 3.6 4.3WT/ACC/SPEC/UKR/1/Rev.1
Page13SaleofCertain Types ofProducts bythePublic Enterprises ofUkraine
(onalldistribution channels)
(thousand tons)
1986* 1987* 1988* 1989* 1990 1991 1992 1993 1994 1995 1996
Potato 2,262.7 2,291.1 1,409.7 2,070.1 1,640.6 1,120.3 1,007.5 855.4 384.2 185.1 200.3
Flaxfibre 96.6 141.1 90.2 109.9 105.7* 107.6 102.9 73.5 51.0 45.3 17.1
Hop 6.0 8.2 6.9 4.9 5.3* 4.8* 4.0* 2.2* 1.8* 1.6* 0.6*
Tobacco 23.7 28.3 22.3 11.6 13.1* 11.3 9.6 6.4 5.2 3.4 2.0
Vegetables 5,247.8 5,285.5 4,695.9 4,647.1 4,224.1 3,230.1 2,174.3 2,106 1,421.2 1,073.9 618.5
Selling Prices ofthePublic Enterprises ofUkraine forCertain Types ofProducts
(onalldistribution channels)
(perton)
Karbovanetz Thousand karbovanetz Hrivnas
1986* 1987* 1988* 1989* 1990 1991 1992 1993 1994 1995 1996
Potato 175.7 169.7 177.0 175.4 204.3 892.5 14,527 240.8 3,616.8 23,733 274.3
Flaxfibre 2,092.5 2,664.0 1,596.0 1,949.9 1,988.0* 6,087.8 64,472 1,189 14,944.0 39,744 483.0
Hop 10,470.0 8,927.4 9,869.2 11,878 20,115.0* 54,749.0* 36,386.0* 4,702.1* 91,546.3* 64,109.0* 4,485.8*
Tobacco 4,530.1 4,428.1 3,932.3 4,338.5 7,347.8* 13,942 209,975 10,380 35,024 93,886 1,560
Vegetables 181.4 186.4 188.1 187.2 302.8 779.5 12,462 303.7 6,061.1 18,348 325.8
*Data onpurchasing organizations.WT/ACC/SPEC/UKR/1/Rev.1
Page14
Export ofCertain Products from Ukraine in1990-19961
(thousand tons)
Name ofproduct Years
1990 1991 1992 1993 1994 1995 1996
Potato 88.9 38.0 6.6 8.2 5.5 2.2 2.2
Flaxfibre 40.0 47.9 47.4 51.8 32.6 22.5 10.9
Hop 3.0 2.3 2.0 0.9 0.4 0.2 0.1
Fresh andprocessed
vegetables 264.2 125.3 32.4 28.6 38.8 14.8 28.2
White granulated sugar 3,436.8 1,645.5 322.0 914.4 791.8 1,699.8 1,032.0
Oil 359.8 279.1 147.4 92.7 90.4 117.8 208.8
Meat andmeatproducts
(meat content) including
beef 311.5 226.9 195.7 99.4 155.1 125.6 1,141.5
Poultry meat20.1 - 0.4
Butter 70.0 53.2 10.8 18.4 45.7 55.4 21.7
References:
1Data for1990-1996 arebased onthereports ofenterprises andorganizations ofUkraine. Information for
1994-1996 -onthetrade country.
2Volumes ofthepoultry meat were indicated in1990-1993 intheposition "meat andmeat products (meat
content)". In1994-1996 information waspresented onlyonbeef.