Ukraine War Causes $80B in Farm Losses, Impacts Food Supply
The Ukrainian agricultural sector has suffered over $80 billion in losses due to the Russian invasion, according to a report by KSE analysts, quoted by Ukrainska Pravda.
As of early January 2023, losses were estimated at $38 billion, demonstrating the escalating impact of the war.
Ukraine, a major global grain exporter, has seen large areas of its eastern and southern farmland ravaged by fighting. Landmines litter the land, and Russian troops occupy territory.
According to data from the Kyiv government and other sources, KSE analysts calculate direct losses to Ukraine's agricultural sector at $10.3 billion as of December 31, 2023, compared to $7.8 billion in the previous year. Losses include $5.8 billion in destroyed equipment, $1.8 billion in silo damage, and around $2 billion in destroyed agricultural products.
Indirect losses are estimated to be around $69.8 billion, encompassing lower production, reduced exports, higher production costs, and remediation of affected soils.
The report also finds the war has significantly impacted Ukraine's and global food security. As a major wheat, corn, and sunflower oil exporter, supply chain disruptions have resulted in higher food prices and shortages in some countries.
The report concludes that the war has devastated Ukraine's agricultural sector, but the full extent of the damage remains uncertain. There's an urgent call for international assistance to rebuild Ukraine's agriculture and mitigate the war's impact on global food security.
Translation by Iurie Tataru
