Ukrainian wine production: what has changed during the war

12 March 2023, 13:49 | Economy
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Before the war, there were almost 180 wineries in Ukraine, most of which were located in the south: Mykolaiv, Kherson and Odessa regions. In particular, the Odessa region produces about 60% of all wine in Ukraine. But due to the war, the area of \u200b\u200bvineyards decreased by a third, production volumes also fell, said Alla Stoyanova, director of the Department of Agrarian Policy, Food and Land Relations of the Odesa OVA.

“Since the beginning of the war, our winemakers have faced serious challenges: how to harvest, how to process grapes, what bottles to bottle? A factory that produced bottles for most wineries in the Odessa region was destroyed in Gostomel. Of course, you can find suppliers abroad, but this will affect the cost,” she said..

Among the problems that are currently relevant for the industry:.

prevalence of imported wine products over domestic ones in the Ukrainian wine market;

unreasonably low minimum retail prices for wines, which were last raised in Ukraine in 2018;

high tax burden on the viticulture and wine industry;

decrease in exports of domestic wine products;

unregulated use of geographical indications in the Ukrainian consumer market;

lack of systematic control over the quality and safety of wine products.

How the state supports business?



“In order to support farmers, last year UAH 322 million was attracted from the World Bank for the development of horticulture, berry growing and viticulture. This year we continue to support, because we want to help keep winemakers working and develop the industry. Grants for the development of horticulture, berry growing and viticulture in the amount of UAH 1 billion are planned for this year,” said Oleksandr Gaydu, Chairman of the Verkhovna Rada Committee on Agrarian Policy and Land Relations..

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