Due to the geographical location and climate peculiarities, Ukraine is one of the world’s top agricultural producers. Ukraine possesses unique soils: nearly 1/3 of world reserves of black soils are located in Ukraine. Historically, Ukraine was one of the largest producers of wheat, sugar and sunflower in the world. In 1995-2005 agricultural industry in Ukraine was restructured. The former collective farms were transferred into new forms of ownership and farming enterprises and large agricultural holding companies were established.
In 2006-2008 the agricultural producers started to use modern agronomical technologies, which resulted in particular in growth of productivity of Ukrainian soils. Upon Ukraine’s accession to the WTO many restrictions on export of Ukrainian agricultural products were lifted.
The value of agricultural products less depends upon currency fluctuations than the products of other industries, which increases profitability of investments in Ukrainian agriculture in view of recent depreciation of Ukrainian currency. There are plenty of fertile, not cultivated agricultural lands in Ukraine, value of lease and acquisition of which is low as compared to the countries of Europe.
Profits distribution and agricultural business management is conducted in different ways depending on the type of each agrarian enterprise. In this connection it is important to choose the most effective legal and organizational form for a future enterprise, register it and develop a tax planning structure.
Konnov & Sozanovsky’s specialists render skilled legal support in all spheres of agrarian business. Our specialists are experienced in due diligence of land assets.
In particular, our lawyers deal with the preparation of all legal documents related to the use and ownership of agricultural land and construction of objects for processing and storing of agricultural products. Our lawyers prepare documents for privatization of land plots, review and prepare sets of documents related to the transactions involving land plots such as purchase and sale; registration of inheritance; donation; assignment of lease rights.
Sale of products, their export and import assumes the establishment and maintenance of business relations with contractors. Lawyers of our firm will assist you in the preparation and analysis of agreements, both with Ukrainian and foreign partners, render legal support during customs procedures, and protect your rights in courts or other state bodies.
In Russia special attention has always been paid to the development of agricultural industry. As in many northern states, agriculture in Russia focuses mainly on the livestock production. Farming accounts for about 40% of the gross product of agriculture, livestock breeding — over 60%. Development of the agricultural sector is one of the four top national projects in the Russian Federation.
Significant results in the Russian agricultural industry were successfully achieved within two years of implementation of the national project “Agriculture Sector Development”.
Credit financing of agricultural manufacturers is now intensively developing. Several thousands of farmer cooperatives have been established in the country. Large national agricultural corporations have also appeared in the Russian Federation with turnovers of more than hundreds of millions of US dollars («Euroservice», «Prodo», «Razguliay»).
Allocation of profit, as well as agricultural business management, is carried out differently, depending on the form of business management in agricultural enterprises. In this respect, it is important to select the most effective legal and organizational form for a future enterprise, register it, develop a tax planning structure, and take advantage of the offered privileges coming from a special attitude of the state to this sector of the Russian economy.
Lawyers of Konnov and Sozanovsky provide legal support in all spheres of agricultural business. Our specialists have broad experience in due diligence of land assets of agricultural companies.
In particular, our lawyers deal with the execution of land use documentation and title documents on land plots for agricultural production and building of objects for processing and storing of agricultural products.
Sale of products, their export and import assumes the establishment and maintenance of business relations with contractors. Lawyers of our firm will assist you in the preparation and analysis of agreements, both with Russian and foreign partners, render legal support during customs procedures, and protect your rights in courts or other state bodies.