Agriculture is one of the key sectors of Ukraine's economy that ensures the country's food security and is an important exporter of agricultural products. However, successful development of the agricultural sector requires modern and efficient agricultural machinery that can increase crop and livestock productivity, reduce tillage costs and preserve soil fertility.

Unfortunately, Ukraine does not have sufficient domestic production of agricultural machinery, so it depends on imports of this type of equipment from other countries. According to the State Statistics Service of Ukraine, in 2021, Ukraine imported agricultural machinery worth USD 1.2 billion, which was 3.4 percent of the total. This amounted to 3.4% of total imports of goods. The main suppliers of agricultural machinery to Ukraine were Germany (18.9%), Poland (14.8%), China (12.7%), the United States (10.4%), and Italy (7.6%).

The Ukrainian agricultural machinery market continues to feel the effects of the full-scale invasion of Ukraine by the Russian Federation, which took place on February 24, 2022. This event caused a significant decline in imports of agricultural machinery to the country, but over the past year there has been a certain slowdown in this process.

Yaroslav Navrotskyi, Senior Researcher at the Investment and Logistics Department of the National Research Center "Institute of Agrarian Economics", provided information on the volume of agricultural machinery imports over the past two years. According to him, in 2022, there was a significant decrease in tractor imports compared to 2021 - by 53.5% in terms of quantity and 33.9% in terms of value. However, in 2023, this figure fell much less - by only 3.5% in terms of quantity and 16.9% in terms of value. This is due to the growing demand for low-powered tractors, which are mainly used in small farms and households.

One of the key trends in the agricultural machinery market in 2023 is the growth of imports of low-power tractors, in particular those with a power of less than 18 kW. This is especially noticeable in the category of new and used tractors, where 3194 units of new and 831 units of used tractors were imported in January-July 2023. Compared to the same period in 2022, this growth is 20.6% and 16.9%, respectively. This increase in imports of low-powered tractors indicates a change in demand and strategies of agricultural enterprises due to the difficult market situation.

On the other hand, imports of agricultural machinery in categories with high engine power show a decline in both quantity and value. For example, imports of tractors with engine power from 75 to 130 kW decreased by 32.55% in terms of quantity and 23.2% in terms of value. In addition, tractors with engine power over 130 kW decreased by 12.5% in quantity and 4.5% in value. These dynamics demonstrate the influence of geopolitical and economic factors on the choice of machinery by farmers and agricultural enterprises. If necessary, you can buy spare parts for agricultural machinery on our website.

In January-July 2023, there was also a decrease in imports of combine harvesters - by 13.8% in terms of quantity and 30.3% in terms of value. The number of imported cultivators decreased even more - by 46%, and their customs value - by 29.2%. The significant decline in imports of sowing equipment in quantitative terms - by 53.1% - is explained by a significant reduction in imports of cheap Chinese equipment.

In general, against the background of a general decline in the import of agricultural machinery to Ukraine in 2023, there is an increase in imports of plows and disk harrows. This trend can be explained by the increase in imports of cheap Chinese-made products and the growth of the customs value of products from European manufacturers.

According to the forecasts of the Institute of Agrarian Economics, in 2023 the agricultural machinery market will continue to decline compared to 2022, possibly by up to 20-25%. This decline is due to various factors, such as the crisis in the country's economy, inflation, reduced agricultural production and energy shortages. Amid these challenges, there has been an increase in imports of used machinery, spare parts and the refurbishment and restoration of old equipment.

In January-July 2023, the following were imported to Ukraine:

1. tractors with an engine power of up to 18 kW - 3194 units of new and 831 units of used.
2. tractors with an engine power of 75-130 kW - 891 units for the amount of 38.4 million USD
3. tractors with engine power over 130 kW - 707 units worth USD 104.0 million USD
4. combine harvesters - 1329 units worth USD 100.8 million USD
5. sowing equipment - 1504 units worth $53.6 million USD
6. Cultivators - 13,251 units worth $14.7 million USD
7. plows and disk harrows - 964 units for the amount of $7.1 million USD.

The Ukrainian agricultural machinery market remains vulnerable and susceptible to changes in the geopolitical and economic environment, and further dynamics will depend on numerous factors affecting the country's agricultural sector.