One of the most prevalent schemes of illicit grain exports involves the use of fictitious companies registered under dummy individuals.
Deputy Prosecutor General of Ukraine, Dmytro Verbytsky, made this statement.
These companies are reportedly established to sell grain purchased from farmers, often at undervalued prices and in cash. After the grain leaves the borders of Ukraine, it is resold multiple times before reaching the end consumer, now entering the market legally. This practice negatively impacts the Ukrainian economy.
To combat this illegal grain export, the Office of the Prosecutor General operates an interdepartmental group to counter criminal violations in the grain market.
"Our group works preventatively to prevent illicit grain from leaving the country. That's the first step. We monitor law enforcement agencies and coordinate them to react promptly if grain is illegally purchased for cash, taxes are not paid, or if falsified documents are used to export it at undervalued prices," Verbytsky stated.
According to the National Bank of Ukraine, the non-return of foreign currency revenue from grain exports has decreased.
As of September 2023, this indicator stood at 8 billion dollars. By June 2024, the non-return amount has decreased to only 3 billion dollars, with budget revenues increasing by 1 billion dollars over the past year.
