May/June 2022 - 24

GLOBAL PERSPECTIVES
Ukraine-Russia conflict wreaks
havoc on global markets
By Melanie Epp
CONTRIBUTING WRITER
W
hen the Ukraine-Russia crisis
began at the end of February,
Russia's actions took the
world by surprise.
Reactions came swift and hard, as
countries around the world imposed
economic sanctions aimed at crippling
the Russian economy. The repercussions
and reactions to those actions can be
felt globally. Grain exports have slowed,
raising commodity prices higher. The
cost of energy and food has skyrocketed,
and many economies have hit record
high levels of inflation. What does all
this mean in the world of potatoes?
TOO DANGEROUS TO PLANT
FOR UKRAINIAN POTATO
FARMER
Nick Gordiichuk, managing director of
Agrico Ukraine and vice-president of the
Ukrainian Potato Growers Association,
farms 600 hectares (approximately 1,500
acres) on two separate farms. He grows
winter wheat, corn and
sunflowers, but most of
his land is dedicated to the
production of seed potato.
Divided unevenly, the
first is a 100-hectare farm
in Brovary near Kyiv. The
second, a 500-hectare farm
dedicated to seed potato
production, is located in the
Chernihiv area in Andriivka.
When fighting began
his
wife,
mother
and
three
Russian troops. At the time of writing, it
was too unsafe to return to the region.
Work started at farms around Kyiv,
but quickly stopped when mines and
unexploded bombs were discovered in
the fields. Areas in the east and south of
the country, and areas around Kyiv, will
be difficult to farm, said Gordiichuk.
But farms in the west of the country
should be accessible.
But even if farmers could get in their
fields, they face further challenges that
keep them from getting
planting
season
off
to
a
good start, said Gordiichuk,
pointing to the availability
and price of fuel, as well
as transportation costs as
significant issues.
" Drivers do not want
to drive to temporarily
occupied areas, " he said.
Unfortunately, many of
potato
seed
in Odessa are completely blocked. " The
banks are reluctant to finance farmers
of farms when you have a war operation
in the country, " said Gordiichuk.
POTATO PRODUCTION
IN UKRAINE
Ukraine is the fifth largest producer
of potatoes in the world. Annually, the
country
produces
approximately
20
million tonnes, similar to the U.S. Most
of that, however, is grown in smallscale,
backyard plots for
domestic consumption,
explained Gordiichuk, who
is one of just 20 seed potato
producers in the country.
Only about 55,000 hectares
are
under
commercial
production.
Ukraine's main export
Cedric Porter
Gordiichuk's
stores are located in these areas.
The unavailability of fertilizer and
crop protection products is also posing
significant
challenges
for
farmers. Finding labor is
also a challenge, as at last
count, 25% of Ukraine's
population
has
been
Nick Gordiichuk
Feb. 24, Gordiichuk fled to Romania
with
daughters. He returned home alone a
couple of weeks later. The 100-hectare
farm near Kyiv was deemed safe enough
to return. But the second farm, the
500-hectare farm devoted to seed
potato production, is occupied by
24
Spudman.com
displaced. Some 7 million
people are considered
internally displaced, while
another 3 million left the
country entirely.
Gordiichuk is particularly
concerned
about
finding
laborers who can manage heavy
equipment. " There are not enough
workers, " he said. " Tractor drivers were
mobilized for the army. "
Ukraine farmers are also facing
liquidity challenges. Those who had
wheat and other grains to sell in the
spring are stuck with the grain, as ports
market was Russia, said
Gordiichuk, but that
market closed in 2014 when
aggression first began. In fact, today,
Ukraine doesn't export any potatoes.
The European Union has been closed
to the country since 2002 due to three
quarantine diseases. Gordiichuk says
the phytosanitary system has not been
functioning since the collapse of the
Soviet Union. However, the country is
working with the EU on various projects
in an attempt to harmonize with EU
standards. They hope the EU will become
an export market in the near future.
Cedric Porter, editor of World Potato
Markets, offered a more global view
of the war's impact on global potato
markets. To address potential seed
potato shortages in Ukraine, Porter
said the Polish Potato Association is
working with the Ukrainian Potato
Producers Association to coordinate the
supply of table potatoes for the civilian
population, as well as seed potatoes
for growers. As it's planting season in
http://www.Spudman.com
May/June 2022

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