IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Inflow

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 14 Feb 2017 | Removal date: open ended
Still in force

Localisation incentive

The compensation that the state pays to the beneficiary (a manufacturing company) is 15% of the value of Ukrainian agricultural machinery and equipment if the beneficiary can prove the following levels of local content in his/her production:

  • 35% in 2017;
  • 45% in 2018;
  • 55% in 2019;
  • 60% in 2020.

Through "this solution we are committed to supporting Ukrainian production technology" stated the Minister of Agrarian Policy and Food of Ukraine, Mr Taras Kutovoy.

The importance of supporting Ukrainian production of equipment was also confirmed by the Prime Minister, Mr Volodymyr Groysman:"We would like that the produced technology maximally consists of Ukrainian components. This will allow us to create thousands of jobs in the sector and the related sectors".

Background:
In 2017, for support of the mechanical engineering in the agricultural sector is foreseen the allocation of subsidies at the amount of 550 000 000 (USD 20 261 523 as of exchange rates on 14 February 2017). In 2018, they are planned to be at the amount of UAH 900 000 000 (USD 33 155 219 as of 14 February 2017).

 

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

AFFECTED SECTORS AND PRODUCTS

441 Agricultural or forestry machinery & parts
8424 Mechanical appliances (whether or not handoperated) for projecting, dispersing or spraying liquids or powders; fire extinguishers, whether or not charged; spray guns and similar appliances; steam or sand blasting machines and similar jet projecting machi
842481 Agricultural or horticultural
8432 Agricultural, horticultural or forestry machinery for soil preparation or cultivation; lawn or sportsground rollers.
843210 Ploughs
843221 Disc harrows
843229 Other
843230 Seeders, planters and transplanters
843290 Parts
8433 Harvesting or threshing machinery, including straw or fodder balers; grass or hay mowers; machines for cleaning, sorting or grading eggs, fruit or other agricultural produce, other than machinery of heading 84.37.
843311 Powered, with the cutting device rotating in a horizontal plane
843320 Other mowers, including cutter bars for tractor mounting
843340 Straw or fodder balers, including pickup balers
843351 Combine harvesterthreshers
843352 Other threshing machinery
843359 Other
843390 Parts
8434 Milking machines and dairy machinery.
843410 Milking machines
8436 Other agricultural, horticultural, forestry, poultrykeeping or beekeeping machinery, including germination plant fitted with mechanical or thermal equipment; poultry incubators and brooders.
843629 Other
843680 Other machinery
8437 Machines for cleaning, sorting or grading seed, grain or dried leguminous vegetables; machinery used in the milling industry or for the working of cereals or dried leguminous vegetables, other than farmtype machinery.
843710 Machines for cleaning, sorting or grading seed, grain or dried leguminous vegetables
8701 Tractors (other than tractors of heading 87.09).
870110 Pedestrian controlled tractors
870130 Tracklaying tractors
870190 Other
8716 Trailers and semitrailers; other vehicles, not mechanically propelled; parts thereof.
871620 Selfloading or selfunloading trailers and semitrailers for agricultural purposes

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