Ukraine. President Poroshenko signed the Law on export VAT refunds to oilcrops producers

30.08.2018

Today President Poroshenko signed the “soybean-rapeseed” Law. According to this Law, the cancellation of soybean and rapeseed export VAT refunds shall not apply to agricultural companies who grew the crops on farmlands themselves, reports UkrAgroConsult.

This means that the majority of crops will be crushed. This may expand soybean oil and meal markets in China. UkrAgroConsult expects soybean crop at 4MMT. Farmers started harvesting soybean, but due to uncertainty, avoided selling soybean.  As of August 30, 54KMT of soybean has been obtained from 20 Th ha. Soybean yield is reported at 2.66 MT/ha compared to 1.59MT/ha on the same date a year ago.

To reminder, on May 22, 2018, Ukraine’s Parliament passed Draft Law No. 7403-d of April 04, 2018 “On amendments to the Tax Code of Ukraine concerning certain issues of VAT taxation during export of oilseeds from Ukraine.” The decision was supported by 249 lawmakers, reports UkrAgroConsult.

Detailed analysis of the latest trends in oilseeds/vegoils/meals exports, palm oil imports, supply and demand balances with breakdown by crop as well as crop conditions and progress in planting/harvesting in the countries of Black Sea Region is available to subscribers for weekly market report "Black Sea Vegoils" by UkrAgroConsult.

Further prospects of the Black Sea oilseeds/vegoils market will be discussed at the VI International Conference “Black Sea Oil Trade”, which will take place on September 20, 2018 in Hilton hotel, Kiev, Ukraine. Delegates from 20 countries have already registered for participation in the International Conference «Black Sea Oil Trade». Conference participants are usually represented by producers and crushers of oilseeds, traders, enterprises for deep processing of vegetable oils, investment companies, banks, law, shipping, brokerage, insurance and surveyor companies.

 

UkrAgroConsult

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