The Future of Ukrainian Small Farmers Under Threat from IMF Mandate

In spring 2014, Ukraine agreed to implement a variety of austerity measures in return for a US$17 billion bailout from the IMF. These include slashing public pensions and wages, increasing energy costs, re-organizing the banking sector, changing the country’s VAT system, and more. Many of these conditionalities will negatively impact small farmers in Ukraine, as documented by the Oakland Institute.  Known as Europe’s bread-basket, agriculture is key to Ukraine’s economy. Home to 32 million hectares of pristine agricultural land, roughly seven million farmers make their livelihoods through farming. The viability of the rural farming sector is vital to the economic recovery of the country.