1 Report on activities carried out during the reporting period 10

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Annex 5 Meeting notes
Annex 6 Comments on the draft General State Program on social-economic development of Ukrainian Village for the period up to 201
Comments on the draft General State Program on social-economic development of Ukrainian Village for the period up to 2015
Table of contents
2. Comments on the issues of food safety included in sub-chapter 5.4 “Assurance Of Quality And Security Of Food” of the draft Pr
Eu/ukraine action plan
3. Comments on the issues relevant to the development of agrarian market infrastructure, included in various chapters and sub-ch
Methods of the tasks’ implementation relevant to development of agrarian market infrastructure
4. Comments on the issues relevant to rural development, included in various chapters and sub-chapter of the draft Programme
Conformity of the main principles of the Program with the EU Rural Territories Development Policy
General description of the sector-wide TACIS project in the framework of EC Action Programme for Ukraine 2006
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Annex 5 Meeting notes


Meeting with NCU


Meeting notes 27.11.06


Richard Moody

Oleksiy Rozhko Ministry of Economy - Directorate for cooperation with

EU


1) He is aware of the project and its goals

2) He is aware of the SWAP processes

3) He explained that whilst the SWAP approach is being initiated by the ECD, the system essentially remains the same as under Tacis - this leads to some mismatches

4) Decentralisation is only just starting

5) The majority of Ukrainian beneficiaries are not ready for the SWAP approach - only a few are ready and SWAP projects should be started with them – eg Border guards but not the MAP

6) The action plan will not be reviewed in light of the recent memorandum on agriculture at least until end of 2007

7) The memo may be considered to be additional to the action plan but not part of it.

Annex 6 Comments on the draft General State Program on social-economic development of Ukrainian Village for the period up to 2015




Project is implemented by

ECORYS Netherlands

Project is funded by

the European Union

Comments on the draft General State Program on social-economic development of Ukrainian Village for the period up to 2015


Prepared to ensure synergy of actions of the major areas of forthcoming EU support in the framework of Agricultural sector program (food safety, agrarian market infrastructure, rural development) to the priorities of agriculture sector in Ukraine stipulated in the draft General State Program.


December 2006


Table of contents



General comments



3

Comments on the issues of food safety included in sub-chapter 5.4 “Assurance Of Quality And Security Of Food” of the draft Programme


4

Comments on the issues relevant to the development of agrarian market infrastructure, included in various chapters and sub-chapter of the draft Programme


6

Comments on the issues relevant to rural development, included in various chapters and sub-chapter of the draft Programme


10

Annex



14



These comments have been developed by the EU project “Preparation of the EU-funded agricultural sector program in Ukraine (Phase 2)” to ensure synergy of the major areas of forthcoming EU support in the framework of Agricultural sector program, which has been approved in the framework of Action Programme 200620 with the priorities of agricultural sector development determined in the draft General State Program on social-economic development of Ukrainian Village for the period up to 2015 (further – Programme)

The consistence with the EU policies in agriculture and international standards and regulations in light with Ukraine’s long-term goal of EU integration has been considered during the preparation of these comments, as well as EU legislation of consumers’ health protection, WTO requirements and recommendations of Ukrainian and international stakeholders.


The comments on the draft Programme have been prepared by the team of experts of the EU project “Preparation of the EU-funded agricultural sector program in Ukraine”

  1. Richard Moody – Team Leader;
  2. Gennadiy Kuznetsov – expert on food safety;
  3. Inna Bayda – expert on agrarian market infrastructure
  4. Yutri Bakun – expert on rural development


1. General comments


As a whole, the draft Program corresponds to the legal documents, which have formed the basis and have justified Program’s development and form a solid basis for further development of Ukrainian village and agri-industrial complex of Ukraine. Particularly, the draft Program is in line with the Concept for the Complex Program for the Support to the Development of Ukrainian Villages for 2006-2010 years approved by the Resolution of the Cabinet of Ministers of Ukraine of 21 December 2005 No: 536-r. The objectives, reasons of the problems and Program components are well developed in the draft.


Structure of the document is clear and exhaustive – well formulated aims, analyzed problems and the Program components are developed. However, absence of clear co-ordination between different components and subsections, and also different styles of writing and formulation of the tasks and expected results of the main components of the program:

1. Development of rural territories;

2. Agrarian market development;

3. Development of external economic activities;

4. Development of education, agrarian science, advisory services and information;

5. Improvement of management system of agro-industrial complex.


Main comments on the draft Programme as a whole
  • The focus of the draft General State Program on social-economic development of Ukrainian Village for the period up to 2015 has been changed from support to the development of Ukrainian village, which by definition means the emphasis on social and infrastructure development measures in the first case, to social-economic development, which prioritizes economic development of agricultural sector as a whole and support to agricultural production in particular.
  • The positive step forward in the improvement of the management system of agro-industrial complex is presented in the draft Program in the form of partial delegation of responsibilities from the state authority to semi-state and civil organizations of the sector, including professional inter-professional organizations and farm management structures. However, “gradual centralization of management…” (Chapter 8 of the draft Program) should be slightly reconsidered in favour of de-centralization of responsibilities giving more authority to Oblast and rayon level of management in agro-industrial complex.
  • The emphasis of MAP’s responsibilities for the implementation of the above Program (chapter 8 of the draft Programme) has to be moved towards policy development and creating favourable environment for the smooth implementation of the Program, rather than on management function, which is the focus of the correspondent chapter of the Program.
  • The expected results stipulated in the draft Programme will be achieved only under the condition of the balanced approach to all Programme’s components implementation, which is missing in the majority of the chapters21.


2. Comments on the issues of food safety included in sub-chapter 5.4 “Assurance Of Quality And Security Of Food” of the draft Programme


The analysis of Point 5.4 “Assurance of Quality and Security of Food” has been made taking into account WTO SFS Agreement and EU/UKRAINE ACTION PLAN. This analysis has shown that the Program does not deal with the number of activities, which are very necessary taking into account an intention of Ukraine to become a WTO member and perspectives of Ukrainian membership in the EU. The following table provides the list of these activities.


No

Adequate documents of WTO and EU

Activities that have been not mentioned in the Program

1.

Regulation EC No 178/2002

Defining of State and operators roles regarding food safety assurance taking into account EU principles.


2.

Regulation EC No 178/2002.



Establishment of Institution/institutions which assess and communicate risk





WTO SPS Agreement

Review of existing sanitary and phitosanitary measures



4.

EU/UKRAINE ACTION PLAN

Solving one of the most mentioned by foreign and Ukrainian enterprises problem – backup of food control by Government bodies.



5.

Regulation EC No 882/2004.

Defining of operational criteria for food control bodies which should increase effectiveness and efficiency of risk management measures.


6.

Regulation №178/2002

Creation of conditions for traceability of animals, food and feed




It is worth wile to mention that the term “security” of food is used in p.5.4 of the Program. It is proposed to use term “food safety” in accordance with glossary of Ukrainian Law “On safety and Quality of Food”.


Recommendations

The European Union has made food safety one of the main priorities of its policy agenda. It is a horizontal objective to be taken into account in several areas of Community competence: the CAP and its rural development pillar, the environment, public health, consumer protection and the internal market.

It is recommended to focus on gradual approximation of Ukrainian food safety legislation to the EU one taking into account mentioned priorities. Such approach would help to reach higher level of consumer protection, eliminate trade barriers and provide real assistance to operators of food market.

3. Comments on the issues relevant to the development of agrarian market infrastructure, included in various chapters and sub-chapter of the draft Programme


As a whole, the issues of agrarian market infrastructure are seen broader that presented in the draft Programme in sub-chapter 5.1. A number of issues, included in other sub-chapters of the Chapter 5 “Development of agrarian market” (sub-chapter 5.2 “Optimization of marketing channels of agricultural products”, sub-chapter 5.6 “Development of market of financial services” etc.) and some aspects of Chapter 7 “Development of education, agrarian science, advisory services and information” are also seen as a part of agrarian market infrastructure.


Sub-chapter 5.1 of the draft Programme:

The following table summarizes the tasks stipulated for the agrarian market infrastructure development, incorporated in the draft Program, in comparison with the tasks developed and approved in the Concept, which has formed the basis for the above Program.


Concept of the Complex Program of support to the development of Ukrainian village for 2006-2010

Draft General State Program on social-economic development of Ukrainian Village for the period up to 2015

Creation of regulatory system of agrarian market and establishment of correspondent state structures and organization (Agrarian fund, agrarian stock exchange, Fund of agrarian insurance subsidies)




Creation of information and analytical system for agricultural market participants

Implementation of the information and telecommunication technologies for monitoring of agrarian market and services to rural population

Improvement of agrarian statistics and forecasting




Improvement of forms of agricultural marketing

Support to the formation of infrastructure for agricultural sales cooperatives and their regional and national grouping with the functions of export activities

Support to export operations of agricultural producers and enlargement of state support to external marketing

Creation of infrastructure for export and external marketing. Formation of state institutional structures with the functions of the support to the development of export trade of agricultural products.




Support to the development of retail markets infrastructure of Ukrainian Cooperative Union (Ukoopspilka) system and local community markets of community ownership




Support to (as a priority) to the organization of the National Network of agricultural wholesale markets (commodity exchanges, wholesale markets for vegetable, fish and other fresh produce, livestock and poultry wholesale markets; wholesale trade centers of agricultural marketing/sales cooperatives


Comment:

The tasks stipulated in the Concept do not fully correspond to those presented in the draft Program, which indicates the changed emphasis of the Program The emphasis of the proposed Program is now placed mainly on wholesale markets development and export operations. The proposed information system development is focused on monitoring only and does not fully integrate the access of information, analysis and forecasting to all participants of agricultural chain.

Recommendation:

More attention has to be paid to the development of internal regulations of the agrarian market infrastructure, which might provide improved opportunities for smaller agricultural producers..


Methods of the tasks’ implementation relevant to development of agrarian market infrastructure

The following key methods (briefly) of tasks’ implementation have been incorporated in the above draft Program directly in Agrarian market infrastructure development sub-chapter 5.1 or indirectly in other sub-chapters of the draft Program:
  • The first priority is given to the trade through agricultural exchanges;
  • Creation of economic and regulatory conditions for trade through commodity exchanges, including such specific commodities, as property rights and other in order to concentrate commodity turnover;
  • Introduction of modern mechanisms of exchange operations;
  • Legal basis for the National network of whole markets;
  • Organization of transparent wholesale trades through wholesale markets, including auctions and electronic trades;
  • Normative basis for wholesale markets placement and organizing of tenders for model projects;
  • Role of the financial State in development of the national network of agricultural exchanges and other forms of support;
  • Improvement of transport infrastructure;
  • Implementation of the project on creation of network of cooperative elevators with participation of grain traders and state as associative members;
  • Creation of the relevant institutions of control for of the export products and their correspondence to international standards;
  • Establishment within MAP the structure for monitoring and ensuring access to required information for producers and exporters.

Comment:

The majority of planned methods and activities in the proposed Program are focused on large agricultural producers, while medium and small ones remain overlooked.

Recommendation: equal attention should be paid by the State to all types of agricultural producers to ensure balanced approach to the development of agricultural sector of Ukraine. The State has to foresee such implementation measures, which will ensure equal access to markets, financial services and state support for all types of agricultural producers.


Key agrarian market infrastructure aspects presented in other sub-chapters of the Chapter 5, draft Programme:

Sub-chapter 5.2”Optimization of marketing channels of agricultural products”
  • Creation of cooperative system for channelling of agricultural products with establishment of the structure within MAP for coordination and inspection;
  • Transfer to service coops the objects of technical basis (state and community ownership) under the favourable conditions of long-term credit;
  • Creation of favourable environment for transformation of the elevators and processing enterprises of state and private form of ownership into service cooperatives;
  • Credits to service cooperative on favourable conditions;
  • Development and improvement of the legal basis for proper functioning of service cooperatives, ensuring their non-for-profit status, including credit marketing coops;
  • Alternative marketing channels development.

Comment:

Measures developed in the draft Programme are seen as a positive step forward in the process of development of service cooperation in agriculture of Ukraine, although the expected results emphasize grain as the priority commodity for cooperation.

Slight focus on marketing cooperatives is observed, while other forms of service cooperation (input purchasing through coops, processing or all together) are equally important.

Recommendation:

The state should create supportive legal framework conditions for the development of cooperatives. However, less emphasis should be placed on development of large cooperatives, as being a priority in marketing chain with corresponding supplying cheap credits for them. It is required to pay attention to the smaller cooperative organizations at the grass-root level, which form the basis for initial lots and further movement of agricultural produce towards marketing network.


Other issues relevant to agrarian market infrastructure included in other sub-chapters of the Chapter 5 of the draft Programme (sub-chapter 5.3 “Regulation of supply and demand”, sub-chapter 5.6 “Development of market of financial services” and some sub-chapters of Chapter 7 “Development of education, agrarian science, advisory services and information”:
  • Changes in the state support system from price support towards support to cheaper production and marketing;
  • Insurance system development, including price insurance;
  • Adoption of Law on profession and inter-professional grouping, which should envisage analysis of supply and demand, development of mechanisms for their regulation, rules for entering the market for the product, prices and contract schemes development;
  • Development of cooperative credit system, including cooperative banks;
  • Establishment of Agrarian Bank and its regional representations;
  • Credit unions development in rural areas;
  • Development of collateral mechanisms, including warehouse receipts system;
  • Insurance development;
  • Agricultural advisory services network development;
  • Improvement of information delivery and management at all levels of administrative management of the sector;
  • Creation of distance-learning center and a network of collective and individual telecommunication units for information, advice and knowledge provision for agricultural producers.

Comment:

All issues mentioned above are relevant and extremely important for the development of agrarian market infrastructure. More emphasis on information, analysis and forecasting to be available for all types of agricultural producers is advisable (as stipulated in the Concept, developed for the proposed Program, see above).

Recommendation:

There needs to be more emphasis on explicit green box measure development avoiding measures which directly provide price or production support to producers (e.g. cheapening inputs).


On the basis of the analysis of the above information, the following table summarizes the key areas recommended for assistance in the framework of the forthcoming EU-funded agricultural sector Program in Ukraine and their consistence with the proposed General State Program on social-economic development of Ukrainian Village for the period up to 2015.


Possible areas of agrarian market infrastructure recommended by Ukrainian stakeholders and international donors for inclusion in EU agricultural sector Program22

Consistence with the draft General State Program on social-economic development of Ukrainian Village for the period up to 2015.


Improvement of access to financial services for all participants of agricultural supply chain

Included in the Program, but focused on large producers

Improvement of marketing channels for agricultural products, particularly through the National network of wholesale markets

Included in the draft Program

Creation of the network of input/marketing services cooperatives , cooperative agro-trade houses and professional associations, as integrated components of marketing network

Included in the draft Program

Improvement of existing and development of new legislation and regulations (particularly on wholesale markets, service coops, agrarian exchanges

Included in the draft Program

Improvements in the national system of monitoring of agrarian markets

Included in the draft Program

Formation of the price monitoring system, control and forecasting

Included, but limited to state administration chain

Improvement of the state subsidies system (including cheaper credits for medium and small producers subsidized by the state)

Included, but as a cross-cutting issue only and limited

Support to the development of mechanism of cheaper state short and long-term credits for participants of agrarian market infrastructure chain

Included, but limited

Awareness raising and information campaign aimed to the development of agrarian market infrastructure

Not included

Improvement of agricultural statistics

Not included directly

Support to increased access to credit for medium and small agricultural producers

Included, but very limited

Support to the development of national market information system available for all participants of agricultural supply chain (including price information, analysis and forecasting)

Included, but very limited (mainly distance learning centers)


4. Comments on the issues relevant to rural development, included in various chapters and sub-chapter of the draft Programme


The Program establishes the following main priorities of rural development:
  1. Rural employment, poverty reduction, and development of businesses;
  2. Creation of conditions and incentives for young people to remain in rural areas;
  3. Integrated development of infrastructure in rural areas;
  4. Support for development of depressed territories;
  5. Improvement of rural development management system.


Besides, significant attention was paid to the rural development issues in other aspects, such as infrastructure of agrarian market (cooperation, credit unions, etc.) and development of education and advisory activity, which directly relate to rural development and play critical part in socio-economic growth of rural areas.


Conformity of the main principles of the Program with the EU Rural Territories Development Policy





EU Rural Territories Development Policy23 (for 2007-2013)

All-National Program for Socio-Economic Development of the Ukrainian Village till the Year 2015

1

Increase of agriculture and forestry competitiveness (measures for increase of knowledge level, implementation of innovations, and development of agrarian infrastructure through cooperation):

A number of measures is proposed which are completely in line with the EU Policy: professional training, provision of incentives for young people to remain in rural areas, development of advisory activity, creation of conditions for cooperation, etc.




Professional training

Training of young farmers

Modernization of farms

Extension of Internet technologies and development of respective infrastructure in rural areas

Adding value to agricultural raw materials

Development of new products, procedures, and technologies in the agrarian sector

Assistance to farmers in compliance with food quality assurance schemes

Setting up production groups

Support of semi-commodity economies in the process of restructuring


Not enough attention is paid to the support of private households, their conversion into commercial farms (amalgamation and consolidation) and into family farms.

Lack of integrated approach to implementation of Internet technologies and outreach of communications network to rural communities and farms as vehicles for dissemination of knowledge and new technologies.

2

Improvement of rural environment.

The system of incentives is proposed for development of sustainable agrarian environment through the system of target payments which would encourage the farmers to preserve the environment and to use good agricultural practices.

A number of measures is proposed which must catalyze sustainable development of rural areas: elaboration of the Code of Good Agricultural Practices, the environmental monitoring of agricultural areas, and drinking water supply to rural communities. However, these measures are not defined concretely and need more in-depth elaboration.

Lack of conceptual approach to stimulation of farmers’ compliance with environmental protection measures and lack of comprehensive approach to the awareness of rural citizens and to implementation of environmental protection measures.

3

Improvement of living standards in rural areas and support of agricultural diversification

It is proposed to create conditions for integrated development of rural territories and improvement of social living standards of rural citizens




1) Economic growth through development of micro-enterprises in the agricultural sector and non-farm businesses

Included in the draft Program

2) Basic services for enterprises and rural citizens. Incentives for involvement of females in SME and local services labour market

Included in the draft Program

3) Conservation and development of rural national heritage (support of local initiatives and investment in cultural heritage)

Not included

4) Development of micro-businesses and crafts; support of regional products; support of entrepreneurship

Included in the draft Program

Needs more attention in part of regional product development

5) Training of young people in business development (tourism, environmental services, traditional rural techniques)

Included in the draft Program

6) Development of telecommunications network and Internet technologies. Access of each rural community to Internet literacy and Internet trade.

Included, but very limited.

It relates rather to management system and commodity producers than to rural communities, for which no outreach solutions were proposed.

7) Development of conditions for innovative use of renewable power sources, which can create new conditions for extension of local services and development of local initiatives

Included in the draft Program

8) Promotion of tourist industry. Definition of tourism as a key sector of diversification and creation of jobs in rural areas.

Included, but very limited.

It is viewed as a component of job creation and development of private initiatives, but only as part of other priorities. No real steps of development are proposed.

9) Rehabilitation and development of villages. Upgrading of rural infrastructure (roads, engineering structures, systems of services)


Included in the draft Program

4

Approach LEADER+ 24

Support of local strategies based on bottom-up approach and public-private partnerships in order to introduce changes and contribute to creation of jobs and development of rural regions:

Basic approaches are proposed to improvement of rural development management system




1) Mobilization of local potential through replication of successful experience, stimulation of dissemination, and support of local initiatives

Included, but very limited.

The need to deliver trainings in dissemination of successful models of rural development calls for more attention.

2) Support of local initiative groups and organizations. Improvement of relationships between the private sector and the communities. Implementation of development projects in cooperation with administrative authorities and in cooperation between the regions.

Included, but very limited.

Needs extension and application of the mechanism of support for elaboration and implementation of Rural Communities Socio-Economic Development Programs

3) Support of cooperation between the public authorities and the communities; development of new approaches, initiatives, and technologies of knowledge dissemination, new rural products, and services


Included in the draft Program

4) Improvement of local management and support for development of civil society organizations and initiative groups. Creation of organizations network.


Included, but very limited.

Needs further development in part of management system restructuring through creation of Rural Development Agencies and the network of civil society organizations for protection of rural citizens’ interests.


Comments

The Program reflects the rural development problems in a quite comprehensive way and proposes approaches to integrated rural development and solutions of rural social problems.


However, there is a number of quite important areas which were declared as key priorities in the EU Rural Territories Development Policy (for 2007-2013), the draft All-National Program for Social Development of Villages till the Year 2011, the draft Program “Prosperity through Agrarian Development”, the Formulation of Strategic Medium-Term Rural and Agricultural Development Policy (2006), and the feedback of NGO leaders and international technical assistance projects, but were not properly reflected in the Program under consideration:
  1. The Program does not reflect the mechanisms of partnership support for rural development at the cost of national and local government, local rural enterprises, and organizations in accordance with the programs for socio-economic development of communities.



  1. The Program does not display properly a package of measures which would allow rural communities to have sufficient powers to solve socio-economic development problems.



  1. The Program does not provide any package of measures for preservation and development or rural cultural traditions.



  1. Diversification and development of non-farm businesses, especially rural tourism and regional products.



  1. Protection and preservation of rural environment contains mere declarations and deals mostly with environmental-friendly production enterprises, and not with rural development.



  1. No effective mechanism was proposed for outreach of telecommunications and Internet technologies to rural communities (extension of network, know-how, training, etc.).



  1. No sufficient emphasis is made on the fact that it is important to develop the infrastructure of civil society institutions in order to protect the rights of rural citizens and boost up local initiatives in the process of building up rural communities.


Recommendations
  • It is necessary to pay more attention for supporting private household’s owners and creation family farmer enterprises through establishing and realization of the programs which are directed to WTO.



  • To create integrated system of environmental protection in rural area through the financial mechanisms of assistance and proper programs not only at the level of agricultural producers but also rural communities.



  • To introduce the real mechanisms to support measures regarding saving of cultural legacy of rural territories, saving of originality and development of regional products.



  • There is necessity in more clear mechanism of participation of public in development and realization of the socially important programs of local development. Improvement of the proper normatively legal base.



  • It is necessary to pay more attention to elaboration of mechanisms of non-agricultural business activation and their diversification (green tourism, services, handicraft and folk trades)


5. Annex


List of stakeholders/organizations interviewed and policy papers used for proposed areas of agrarian market infrastructure component in the framework of forthcoming EU-funded agricultural sector programme in Ukraine


Key international donors/projects interviewed:
  • World Bank
  • USAID
  • FAO
  • UNDP
  • Ukrainian-German Advisory Group
  • SWISS bi-lateral Programme
  • SIDA
  • CIDA
  • On-going TACIS projects
  • DFID
  • IFC


Key policy documents used:

WB appraisal document on competitiveness of agro-production and food safety

Proposals for a joint project with the WB on competitiveness of agro-production and food safety (MAP)

EU-Ukraine Action Plan

Monitoring of EU-Ukraine Action Plan from EU and Ukrainian sides

Jointly developed documents (FAO, UNDP, USAID, EU):
  • Support and regulation of agrarian marketing;
  • Ukraine after 2000: A fundamental change in land and farm policy.

“Support to the formulation of mid-term policy in agriculture and rural development (FAO project)

EU policy on agricultural and rural development (2007 to 2013)

WTO SPS Agreement

Regulation EC №178/2002;

Regulation EC №882/2004. .


General description of the sector-wide TACIS project in the framework of EC Action Programme for Ukraine 2006


The aim of the project is to introduce agreed general sector programme (based on SWAP) on development of agricultural and rural development policy and strategy, thus giving the opportunity to the Government of Ukraine to join its own and international donors’ forces in developing common political scheme in line with EU policies.


The objective of SWAP is to transfer the management responsibilities from the EC to the Government of Ukraine by delegating planning, management and financial responsibilities in the sphere of development programmes in agriculture and rural development. Technical and financial assistance from other donors and international funding institutions (IFI) should be in line with operational financial plans and mid-term expenditure framework for each sector, which will ensure more effectiveness and impact of integration processes.


Sectoral development programmes like SWAP usually have six major conditions:

1. Clear sector development policy and strategy, which determine the objective defined by the Government and the ways of its achievement and distinguish the regulatory role of the Government and its role in service provision, as well as the role of non-governmental organizations and necessary institutional reforms.

2. Mid-term expenditure framework for sector, developed on the basis of complex action plan, which determines expected level of available internal and external resources and the ways of their use for policy implementation.

3. Monitoring system of programme implementation with corresponding indicators, which ensure obtaining measurable data during the programme implementation towards the achievement of political goals and expected results, including cross-cutting issues (gender, relevant social groups’ involvement)

4. Formalized process of donor coordination aimed on maximizing the effectiveness and results.

5. Agreed process of movement towards harmonization of reporting system, budget development, financial management and procurement

6. Systemic mechanism of consulting with the clients and beneficiaries of state services and with non-governmental providers of these services.


The project is directed on assistance to Ukraine in introducing SWAP or SWAP programme for agriculture and rural development in the context of Ukraine’s joining WTO and further EU integration.

The project has following three major components:
  1. Standards of food safety and quality;
  2. Development of agrarian market infrastructure;
  3. Rural development.


On the basis of thorough analysis of agrarian sector, carried out with EU support, these issues are considered as major priorities, which limit the intentions of Ukraine in getting better access to the world market, increasing productivity of production and products’ quality standards, increasing international competitiveness and improvement of living standards for rural citizens.