According to the recent calculations, in 2019 the level of profitability of agricultural production in agricultural enterprises decreased to 7.6%, as opposed to 22.8% in 2018, which became the lowest figures since 2006, declared the Director of the National Scientific Center “Institute of Agrarian Economics”, Academician of the National Academy of Agrarian Sciences (NAAS), Yuri Lupenko, on January 30.
According to him, the reduction of prices of the most major agricultural products in terms of the rising prime cost figures, became the main factors reducing the profitability.
So, last year the prices of grain crops decreased by 7.4% compared with 2018, sunflower seed prices — down almost 11%, and rapeseed prices — down almost 7%. In the animal husbandry industry, the prices of eggs reduced in the most significant way (down 22.5%), as well as the rates of liveweight gain of cattle and pigs (down 5%).
Generally, the revenues of agricultural enterprises from selling of agricultural products increased by almost 13%, while the prime cost figures increased by 28.6%. At the same time, in the crop production segment the revenues increased by 15.4%, and the prime cost — up 32.1%. The revenues of livestock producers decreased by 1.5%, while the prime cost increased by almost 12%, said Y.Lupenko.