Ukrainian vegetable farmers face severe difficulties due to an inefficient logistics system, which reduces their income and limits consumer access to affordable produce, according to market logistics expert Yuriy Shchuklin.
Small-scale farmers, cultivating plots from 100 to 500 hectares, often lose 40–50% of potential revenue because they lack predictable and accessible logistics for direct sales. Without reliable transport and storage solutions, farmers are forced to sell through intermediaries, reducing profits and discouraging further production.
Shchuklin points out that delivering vegetables to buyers under formal contracts requires navigating a complex and costly logistics system, including transport scheduling, regulatory compliance, and risk of fines. In contrast, informal cash sales are simpler but undermine both farmers' earnings and state tax revenue.
"This situation effectively weakens small farmers while depriving the state of revenue," Shchuklin said. "Until predictable, transparent, and affordable logistics are available, informal channels will remain the only viable option for many producers."
Source: biz.nv.ua