The Government of Ukraine has allocated an additional UAH 700 million to support the programme of partial compensation for the cost of Ukrainian agricultural machinery. The decision was made on 2 July 2025 during a meeting of the Cabinet of Ministers. This is a continuation of the policy of stimulating the modernisation of the agricultural sector and supporting local machine building as part of the Made in Ukraine initiative.
The programme provides for compensation of 25% of the cost of machinery (excluding VAT) if it has at least 60% local content. According to Andriy Teliupa, Deputy Minister of Economy, this not only allows agricultural producers to upgrade their machinery on favourable terms, but also ensures sustainable demand for the products of Ukrainian companies.
“In the first half of 2025, more than 3,400 units of machinery have already been sold for more than UAH 2.4 billion. The state compensated 492 million. The programme works not only for agrarians, but also for the development of related industries and the creation of new jobs,” Teliupa said.
The Ministry of Economy predicts that the new funding will allow up to 3,000 more applications to be approved. It is also expected to create at least 600-700 jobs in the manufacturing sector.
The compensation is available to farmers registered in the State Agrarian Register (SAR) who purchase equipment from the official List, which currently includes more than 13,800 items from 157 Ukrainian producers.
The programme is based on CMU Resolution 130 and is part of the government’s Made in Ukraine initiative, which aims to expand domestic production, localisation and investment in industrial infrastructure.
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