USAID ERA Fosters Ukrainian Grain Export in 2023
In 2023, USAID’s Economic Resilience Activity (USAID ERA) supported Ukrainian agricultural exporters within the USAID framework of Agricultural Resilience Initiative (AGRI). Following Russia’s brutal invasion on Ukraine, ERA provides necessary equipment to Ukrainian companies to enhance their grain export capacities, increase resilience, and work towards recovery.
USAID ERA purchased 146 various units of equipment for 16 AGRI companies totaling over $12 million. Examples of equipment that ERA provided AGRI companies in 2023 include grain wagons, mega big bags, truck scales, grain samplers, telehandlers, generators, etc. Using USAID’s equipment, AGRI companies were able to export 203,000 tons of grain in 2023.
What does resilience and recovery look like? AGRI companies tell us!
In the spring of 2023, AgroKIM company, which belongs to IMK holding, received 7 telehandlers, 3 truck scales, and 3 generators from ERA. This equipment is actively used in AgroKIM’s production facilities in Poltava, Sumy and Chernihiv Oblasts.
“These powerful telehandlers helped us to relaunch the grain storage process and speed up the grain unloading process in our additional floor storages which have no mechanical loading/unloading equipment. One telehandler can load up to 1,000 tons of grain on a vehicle per day. It is a significant boost. Previously, we used old soviet machinery”, says Oleksandr Verzhyhovskyi, IMK’s Director of Operations.
Between September and November 2023, AgroKIM exported 23,178 tons of grain. Of the total, 12,762 tons of grain was moved using equipment provided by USAID ERA, which is 10% of their annual export volume.
Another AGRI company, NIBULON received 50 grain wagons and 2 mechanical grain samplers. The grain samplers were installed at their Danube subsidiaries and used to test grain quality input control. After installation, they were able to test 320 vehicles and around 7,500 tons of agricultural products per day. The old equipment only allowed them to process around 200 vehicles per day.
“Rakoraf samplers provided by USAID ERA allowed us to speed up the unloading of grain from vehicles, sampling and transshipment for export”, says Valeriy Reutsoy, Director of Nibulon’s Elevator Department.
Moreover, NIBULON utilizes their grain wagons to transportation grain between river and marine ports. NIBULON’s fleet consists of 212 grain wagons, 50 of which were provided by USAID ERA. NIBULON saved $1.7 million on equipment rental costs simply by owning their own wagon fleet. Between July and December of 2023, the company increased transportation from 10% to 23%, moving 164,000 tons of grain products.
Trigon Farming Company, the Ukrainian subsidiary of Agronimo, received 550 mega big bags in 2023. Designed for grain transportation, these mega big bags hold 14 tons of grain. The equipment moved 7,659 tons of grain in October and November 2023, which is 50% of the total amount exported. Trigon Farming Company exported wheat, corn and soybeans to Türkiye, Romania, and Israel.
“The cooperation with USAID ERA helped our company increase grain export during the war. At the beginning of last year, we discovered how useful mega big bags can be for loading grain. USAID ERA procured these mega big bags upon our request. We transport 3 tons of grain each month with these mega big bags, and we used to do it with bags and trucks. We use the same mega big bag 2 or 3 times. All of these mega big bags are intact and are stored at our premises”, says Oleksandr Andreiev, Technical Director of Trigon Farming Company.
Lastly, 3 telehandlers helped Astarta-Kyiv increase the volumes of grain moved from elevators in Poltava and Khmelntyskyi Oblasts for export. In October and November 2023, using USAID’s equipment, Astarta-Kyiv exported 72,693 tons of grain (wheat, corn, and rapeseed). This is 10% of their total annual export amount.
All this to say, in 2024, USAID ERA continues helping Ukrainian agricultural companies export grain to global markets.
We would like to reiterate that the procurement of equipment is carried out within the framework of the Agriculture Resilience Initiative (AGRI) – Ukraine, implemented by the United States Agency for International Development (USAID). This initiative is aimed at mitigating a global food crisis exacerbated by Russia’s brutal war against Ukraine.