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State support for Ukrainian farmers to be adapted to the EU's Common Agricultural Policy

State support for Ukrainian farmers to be adapted to the EU's Common Agricultural Policy
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On April 21, the Verkhovna Rada of Ukraine registered a draft law titled “On Amendments to Certain Laws of Ukraine on the Organizational Foundations of Support in the Agricultural Sector” (No. 13202).

According to information on the parliament’s website, the draft law was initiated by the Cabinet of Ministers of Ukraine.

As stated in the explanatory note, the document aims to implement specific provisions of EU Regulations 2021/2115 and 2021/2116, which establish the rules for state support and financing under the EU's Common Agricultural Policy (CAP). These include goals such as environmental sustainability, socio-economic development of rural areas, food security, and financial management of the CAP, including ensuring transparency and the efficient use of financial resources.

The draft law proposes the following:

  • Creation of a Paying Agency, which will ensure the allocation and monitoring of financial resources provided through domestic and international agricultural support programs;

  • Implementation of a Farm Sustainability Data Network (FSDN) — a tool for collecting and analyzing data on the sustainable development of farms, focusing on environmental, social, and economic aspects;

  • Implementation of the Integrated Administration and Control System (IACS) — a key component for managing and monitoring financial resources under the CAP, aimed at effective administration and control of payments, reducing financial abuse risks, and enhancing transparency and accountability;

  • Establishment of planning and monitoring procedures for state agricultural policy, to ensure coordination at all levels of governance, improve the effectiveness of agricultural policy implementation, and ensure transparent decision-making — enabling Ukraine to meet EU requirements for the effective and efficient use of resources in the agricultural sector.

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