How to get 25% compensation for Ukrainian agricultural equipment: conditions for 2025
4 April 2025 17:27
The government has updated the rules for participation in the program of partial compensation for the cost of domestic agricultural machinery. From now on, this can only be done through the State Agrarian Register (SAR), "Komersant Ukrainian" reports, citing information on the website of the Ministry of Economy of Ukraine.
It was on the initiative of the Ministry of Economy of Ukraine that the Cabinet of Ministers adopted changes to the program of compensation for 25% of the cost (excluding VAT) of Ukrainian agricultural machinery and equipment.
What is the purpose of the innovation?
According to Andriy Teliupa, Deputy Minister of Economy, the update of the rules is related to the implementation of Ukraine’s obligations under the Ukraine Facility international initiative. According to these conditions, by the end of 2025, at least 80% of state aid to the agricultural sector must be distributed exclusively through the State Aid Agency.
This decision has several goals at once:
- to increase the transparency of the allocation process
- to ensure the targeting of support;
- reduce the administrative burden on farmers;
- to stimulate demand for Ukrainian machinery and increase the utilization of domestic production capacities.
Compensation program for Ukrainian machinery: new rules for farmers from 2025
The key update is that participation in the program is now possible only for agricultural producers registered with the State Agency for Agricultural Research. This requirement applies to both existing entrepreneurs and newly established farms.
The criteria for recognizing an agricultural producer have also been clarified:
- at least 75% of the income for the last 12 tax periods must be generated from the sale of agricultural products or the provision of agricultural services;
- for newly established enterprises, this indicator is calculated separately for each month of operation.
Documents: what has changed
The relevant ministry has amended the list of reporting documents. In particular:
- form No. 1-P, which no longer meets the requirements of the current legislation, was canceled;
- the mandatory use of up-to-date statistical and tax reports was introduced.
The Ministry of Economy says that this will allow updating the data on the volume of business activities of enterprises and reduce the risk of manipulation by unscrupulous participants.
Read also: Ukrainian farmers engaged in crop production got direct access to 7 registers
Results of the first months of 2025
In March, agricultural producers received the first payments under the program – UAH 126.6 million was transferred to those who purchased machinery in December 2024 and January 2025. New applications for February and March are still being considered.
Range of equipment: what is available today
As of April 2025, farmers can choose from 11,910 units of machinery from 144 Ukrainian manufacturers. The list is regularly updated – twice since the beginning of the year.
For some categories of machinery, such as:
- combines
- tractors,
- grain carriers
- self-propelled sprayers
…there are special conditions for participation with more detailed requirements for localization and technical characteristics.
25% compensation for agricultural machinery in 2025: who will receive it and how to apply
The program provides for a 25% reimbursement of the cost, excluding VAT, for the purchase of machinery containing at least 60% Ukrainian components.
To receive compensation, an agricultural producer must:
1. Register with the State Agency for Agrarian Policy.
2. Select equipment from the official list on the Ministry of Economy’s website.
3. Purchase it from a certified manufacturer.
4. Submit an application through an authorized bank that supports the program.
Important: compensation is provided only for equipment in which at least 60% of the components are made in Ukraine. Some categories of equipment are subject to additional localization requirements.
What manufacturers need to know
Domestic companies wishing to include their products in the list must apply to the Ministry of Economy and submit documents to meet the program requirements. The application is made via an electronic form on the official website of the Ministry.
Legal justification
The program operates in accordance with CMU Resolution 130 and is part of the “Made in Ukraine” policy, which provides for stimulating demand for domestic industrial products, supporting localization and import substitution.
Why it is important for the economy
The program of partial compensation of the cost of machinery is not only a tool for financial support of farmers, but also a powerful impetus for the domestic machinery market, job preservation and development of local production.
“This is not just about digital transparency. It is about the efficiency of using budget funds, targeted support and, ultimately, stimulating additional demand for Ukrainian machine building products,” said Andriy Teliupa, Deputy Minister of Economy of Ukraine.
Thanks to the introduction of digital services, in particular, the State Agency for State Statistics, the state is moving to a systematic, transparent and effective approach to the implementation of industrial policy in the agricultural sector.
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