Agrarian Economy 2019 Т. 12 № 3-4:85-89

Market of agricultural land in Ukraine: problems and prospects of establishment

Stupen N., Doctor of Economics, Professor
0000-0003-1238-4016
Lviv Polytechnic National University
Dudych H., Ph.D., Associate Professor
0000-0002-1604-6535
Dudych L., Ph.D.
0000-0001-5711-7857
Taratula R., Ph.D., Associate Professor
0000-0002-6943-382X
Lviv National Agrarian University

ANNOTATION

The article deals with the main problems of formation of the agricultural land market in Ukraine, i.e. creation of socio-economic conditions for the civilized market, introduction of a system of state regulation of the land market, formation of markets for agricultural products, introduction of public procurement. State regulation is also important to ensure the land market performance. The state should retain control over the formation and development of land tenure institutions. It is established that the role of agroholdings in development of the land market is ambiguous, i.e. leased land, used for a considerable period of time by agro holdings with violation of the requirements of their rational use. The article also substantiates a negative effect, caused by absence of a land market, on the investment attractiveness of land. For foreign investors, Ukraine may be recognized as an investment risk zone. The SWOT analysis was used to analyze introduction of the agricultural land market. The analysis shows that there are both positive and negative phenomena in the land market establishment. Despite of all pros and cons of the land market, its introduction is a prerequisite for development of market economic relations. It is revealed that on the way of the land market formation, there are complex unsolved problems that are worth of attention, i.e. establishment or non-imposition of restrictions on the land area; subjective composition of future market participants. The sequence of measures, which should precede the free sale of agricultural land in Ukraine, should include land inventory, improvement of the methods of market valuation of land and its conduct, establishment of restrictions on sale of land, adoption of the appropriate legislative support. The experience of land reform show that it is impossible to implement land-based measures recklessly without considering the consequences and possible mistakes. The establishment of a civilized land market requires development of a set of legislative and regulatory acts that can ensure state regulation of the purchase and sale of agricultural land.

KEY WORDS

land market, agricultural lands, land valuation, limitations

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