DEVELOPMENT OF THE AGRICULTURAL SECTOR OF THE ECONOMY OF UKRAINE IN THE CONDITIONS OF EUROPEAN INTEGRATION

Authors

  • Kateryna Voloshchuk dr.sc.(econ.), prof., professor at the department of economy, entrepreneurship, trade and exchange activities, HEI “Podillia State University”, Kamianets-Podilskyi
  • Vitalii Voloshchuk dr.sc.(econ.), assoc. prof., professor at the department of management and public administration, HEI “Podillia State University”, Kamianets-Podilskyi
  • Oleksandr Ilash candidate for the third level of higher education “Doctor of Philosophy” C 1 “Economics and international economic relations”, HEI “Podillia State University”, Kamianets-Podilskyi

DOI:

https://doi.org/10.37332/

Keywords:

sustainable development, agricultural sector, scenarios, diversification, export, adaptation measures, interactive innovations, European integration

Abstract

Voloshchuk K.B., Voloshchuk V.R., Ilash O.M. DEVELOPMENT OF THE AGRICULTURAL SECTOR OF THE ECONOMY OF UKRAINE IN THE CONDITIONS OF EUROPEAN INTEGRATION

Purpose. The aim of the article is to identify the main trends, consequences and deepen scientific approaches to substantiating scenarios for the development of the agricultural sector of Ukraine, while simultaneously identifying new opportunities for exporting products that are opening up in the context of European integration.

Methodology of research. The following methods were used in the research process: analysis and synthesis – when studying the complex multi-component process of development of the agricultural sector of Ukraine, which requires harmonization of legal, economic and technical components in the context of European integration; dialectical and monographic – when studying the experience of the EU and Ukraine; using SWOT analysis, an interpretation of strengths and weaknesses, opportunities and threats was carried out; the Monte Carlo method was used to interpret the probability distribution of possible development scenarios; abstract and logical – when forming conclusions and proposals.

Findings. Three possible scenarios for the development of the agricultural sector of the Ukrainian economy in the context of European integration have been identified: optimistic – expanding access to the EU and world markets, increasing investments in the processing industry and AgTech, improving logistics infrastructure with minor climate changes; basic – under conditions of preserving existing trade preferences, partial diversification of export destinations, and moderate investment injections; pessimistic – in the case of strict trade restrictions from the EU, escalation of hostilities or intensification of negative climatic factors, shortage of mineral fertilizers.

Originality. Deepening scientific approaches to identifying trends and predicting possible scenarios for the development of the agricultural sector, identifying new opportunities for product exports based on an interactive innovative approach, developing and scaling breakthrough technologies and innovations from idea to reality, as factors for increasing productivity, ensuring sustainable and highly probable accelerated development and recovery of the Ukrainian economy in the conditions of European integration.

Practical value. The results of the study have practical significance. In particular, a three-vector strategy for global cooperation and algorithms for selecting priorities were proposed. These can be used by both government authorities and business representatives to adapt the model to operational conditions and become the scientific basis for the development of mechanisms of contractual relations in the process of deepening trade and economic integration of Ukraine into the EU. The implementation of practical recommendations to stimulate investment in processing and diversification of production to support supply chains and risk insurance mechanisms will make it possible to avoid fluctuations in farm and personnel incomes and government revenues, and significantly reduce the gap in GDP per capita in Ukraine and the EU countries.

Key words: sustainable development, agricultural sector, scenarios, diversification, export, adaptation measures, interactive innovations, European integration.

References

1. “Association Agreement between the European Union and Ukraine”, available at: https://www.kmu.gov.ua/en/yevropejska-integraciya/ugoda-pro-asociacyu (access date June 24, 2025).

2. The Cabinet of Ministers of Ukraine (2024), Order of the Cabinet of Ministers of Ukraine “On approval of the Strategy for the Development of Agriculture and Rural Areas in Ukraine for the period until 2030 and approval of the operational plan of measures for its implementation in 2025-2027” dated 15.11.2024 no. 1163-r, available at: https://zakon.rada.gov.ua/laws/show/1163-2024-%D1%80#Text (access date June 24, 2025).

3. Lupenko, Yu.O. and Nechyporenko, O.M. (Eds.) (2025), Prohnoz vyrobnytstva silskohospodarskoi produktsii v Ukraini u 2025 rotsi [Forecast of agricultural production in Ukraine in 2025], NNTs “IAE”, Kyiv, Ukraine, 24 p.

4. Zhara, I. (2025), “Government mechanisms for implementing European integration of the agricultural sector of Ukraine”, Ekonomichnyi prostir, Iss. 198, pp. 42-46, DOI: https://doi.org/10.30838/EP.198.42-46.

5. Zoria, O.P., Zoria, S.P. and Mauer, D.R. (2023), “Directions of investment and innovative development of agricultural production in Ukraine in the context of European integration changes and food challenges”, Tsyfrova ekonomika ta ekonomichna bezpeka, no. 8(08), pp. 83-88, DOI: https://doi.org/10.32782/dees.8-14.

6. Hazuda, S. (2024), “Development of partnership relations of subjects of agrarian regions under the conditions of European integration”, Ekonomika ta suspilstvo, Issue no. 61, DOI: https://doi.org/10.32782/2524-0072/2024-61-136.

7. Kozak, O.A., Hryshchenko, O.Yu. and Puhachov, V.M. (2023), Torhivlia ahroprodovolchoiu produktsiieiu mizh Ukrainoiu ta Yevropeiskym Soiuzom v umovakh viiskovoho stanu [Trade in agri-food products between Ukraine and the European Union under martial law], monograph, Kyiv NNTs “IAE”, Kyiv, Ukraine, 112 p.

8. Kushnir, N., Tsaruk, D., Shpak, V. et al. (2024), “Analysis of digitalization modern global trends and factors in the context of Ukraine’s agricultural sector”, IOP Conference Series: Earth and Environmental Science, 1429, 012006, DOI: https://doi.org/10.1088/1755-1315/1429/1/012006.

9. Puhachov, M.I., Zhuk, V.M., Shpykuliak, O.H. et al. (2024), Orhanizatsiino-ekonomichni zasady otsiniuvannia vplyvu viiskovoi ahresii ta kompensatsiinoi polityky na rozvytok ahrarnoho pidpryiemnytstva v Ukraini [Organizational and economic principles of assessing the impact of military aggression and compensation policy on the development of agricultural entrepreneurship in Ukraine], monograph, NNTs “IAE”, Kyiv, Ukraine, 308 p.

10. Kantsedal, N.A. and Leha, O.V. (2021), “Informative role of accounting in effectiveness of agrarian enterprises' investment strategy”, Ahrosvit, no. 11, pp. 11-20, DOI: https://doi.org/10.32702/2306-6792.2021.11.11.

11. Kantsedal, N.A. and Leha, O.V. (2022), “Institutional indicators of investment attractiveness of the agricultural sector of ukraine in war conditions”, Prychornomorski ekonomichni studii, no. 74, pp. 126-134, DOI: https://doi.org/10.32843/bses.74-18.

12. Moisieiev, V. “Ukraine's European integration ‒ as of September 2024”, available at: https://surl.li/aiwxnl (access date June 24, 2025).

13. Khodakivska, O., Ramos, O., Nechyporenko, O. et al. (2021), “The effectiveness of innovative development management: an interstate assessment of economic competitiveness in the context of European integration and economic security”, Mizhnarodnyi zhurnal informatyky ta merezhevoi bezpeky, Vol. 21(11), pp. 67-72, DOI: 10.22937/IJCSNS.2021.21.11.

14. Lupenko, Yu., Khodakivska, O., Nechyporenko, O. and Shpykuliak, O. (2022), “The State and Trends of Agricultural Development in the Structure of the National Economy of Ukraine”, Naukovi horyzonty, Vol. 25(6), pp. 121-128, DOI: https://doi.org/10.48077/scihor.25(6).2022.121-128.

15. Zinchuk, T.O., Kovalchuk, O.D. and Usiuk, T.V. (2024), “Modernization paradigm of European rural development policy: institutional approach, challenges, prospects”, Economy of Ukraine, Vol. 67, no. 8, p. 51, DOI: 10.15407/economyukr.2024.08.051.

16. Hadzalo, Ya.M. and Luzan, Yu.Ya. (2021), “Development of the agricultural sector of Ukraine's economy under European integration”, Ekonomika APK, no. 8, pp. 6-17, DOI: https://doi.org/10.32317/2221-1055.202108006.

17. Skydan, O., Khodakivska, O., Bugaychuk, V. et al. (2024), “Post-war Development of Ukraine’s Economy in the Context of Accelerated Integration into the European Union”, In: Alareeni, B., Elgedawy, I. (Eds.) Opportunities and Risks in AI for Business Development. Studies in Systems, Decision and Control, Vol. 545, Springer, Cham., DOI: https://doi.org/10.1007/978-3-031-65203-5_62.

18. Voloshchuk, K. and Voloshchuk, V. (2025), “Development of the agricultural entrepreneurship ecosystem in the conditions of war and European integration”, Innovatsiina ekonomika, No. 1, pp. 171-180, DOI: https://doi.org/10.37332/2309-1533.2025.1.20.

19. European Commission (2022), Key policy objectives of the CAP 2023-27, available at: https://agriculture.ec.europa.eu/common-agricultural-policy/cap-overview/cap-glance/key-policy-objectives-cap-2023-27_en (access date June 24, 2025).

20. Export value of agricultural products from Ukraine to the European Union (EU-27) from 2015 to 2024 (in million U.S. dollars), available at: https://www.statista.com/statistics/876118/ukraine-agricultural-exports-to-the-eu/ (access date June 24, 2025).

Downloads

Published

2025-09-30

Issue

Section

Статті

How to Cite

“DEVELOPMENT OF THE AGRICULTURAL SECTOR OF THE ECONOMY OF UKRAINE IN THE CONDITIONS OF EUROPEAN INTEGRATION”. INNOVATIVE ECONOMY, no. 3, Sept. 2025, pp. 22-32, https://doi.org/10.37332/.