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Ukrainian parliament passes law adopting European-style support for farm sector

8 October, 2025 Wednesday
15:34

On October 8, the Ukrainian parliament passed a law that provides for the creation of a payment agency and the introduction of a transparent and effective mechanism for state support of the agricultural sector

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The Verkhovna Rada's Telegram channel writes.

The law aims to make state support for farmers clearer, more transparent, and more effective. It will help better use budget funds and create simple rules for agribusiness.

With this law, Ukraine introduces a modern system for supporting the agricultural sector that is transparent, technologically advanced, and accountable. It will ensure fair distribution of funds among producers and bring Ukrainian legislation closer to EU standards.

The key innovation is the creation of a Paying Agency, which will oversee all support programs. Every hryvnia of state aid will have a digital trace — from application submission to actual payment.

Another important element is the Integrated Administration and Control System (IACS). Together with the Agricultural Data System (ADS), it will ensure comprehensive accounting of land, production, and farm conditions, as well as automatic verification of aid recipients.

Three levels of control are envisaged: automated, documentary, and physical. This will reduce corruption risks and allow violations to be detected immediately during payments. Those who break the rules will have to return the funds and will temporarily lose the right to participate in support programs.

According to the Ministry of Agrarian Policy, after the launch of ISAK in 2027, the transparency of agricultural fund distribution will increase by 60%, while the number of misallocated payments will drop threefold.

  • On September 15, it was reported that the yield of the first sunflower harvests in Ukraine was 21% lower than last year.
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