The government wants to lift the moratorium on land sales from January 1, 2012





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17.01.2011 16:34
Articles about real estate | The government wants to lift the moratorium on land sales from January 1, 2012 Moratorium on land sales would be canceled on Jan. 1, 2012. An official has a year to create rules and procedures for this process. SLC will make to the government bill on the land market. " This is one of the two laws, the adoption of which is a prerequisite for lifting the moratorium on sale of farmland, writes "Business".

"The bill today is fully developed, we are ready to on Monday (January 17) to the Cabinet of Ministers", - deputy head of the State Committee Nikolai Kalyuzhny. According to the procedure of the concerned ministries will have 3 days to agree on a bill, then hit the President's Administration, where will be forwarded to the Verkhovna Rada.

Kalyuzhny sure - the bill will be passed in the first quarter. With regard to other legislation which should form the basis of land reform - About Land Registry - it will be recorded in February, and its adoption is planned before July 1 this year.

Thus, 2011 may be the first in a long time, when the parliament will not have the end of December to extend the moratorium on land sales.

"Parliament has done so annually for at least the past seven years. Now it will be enough not to renew the law and allow the sale of land to enter into force", - said Alexander Sokolov, director of analytical department of company "Pro Consulting. According to him, for the remaining time the legislators have the opportunity to develop and adopt key legislation.

"If the decision is made and given clear guidelines, the terms are real. In addition, the laws then you can modify and make changes," - says Sokolov.

The fact that a decision on the land market is assumed opaque hinted Viktor Yanukovych, saying that 2011 will be a year of land reform. According to him, forcing authorities to hurry "the level of corruption that has been achieved in the use of the land."

"I'm inclined to think that the moratorium will be extended - its action is over at the end of the year. And with the beginning of 2012 will be implemented by the land market" - says the president of the Ukrainian club of agrarian business Alex Lissitsa.

First on the queue to buy - agricultural holdings, which at the time of the abolition of the moratorium have formed a large land banks. The process of consolidation of farms has continued in recent years greatly intensified. "According to our and the agency Agroeffektivnost" estimates only for the last 2 months about 1 million hectares of land transferred from ineffective managers in the management of more efficient farms, "- says Lissitsa.

The reason for this trend - the fact that last year was difficult for farmers, and exhausted the resources of the farms were forced to withdraw from the market, assign the right to hire new managers - usually because of large holdings. Quotas on grain exports and lower prices for grains on the background of increased cost of production of Agrarian done business for some farms unprofitable.

From this perspective, the introduction of export restrictions as a factor reducing the attractiveness of agri-business for small landowners seems logical and would make them more compliant after the lifting of the moratorium. At the same time, large holdings on the eve of the long-awaited decision in a hurry to "stake out" plots and tend to increase as the leased area.

In recent years, the regiment of the big landowners (although the status of tenants) have arrived. With the purchase of Mariupol. Illich one of the largest landowners in the country was Rinat Akhmetov. The company has the second largest in the country, the land bank - the majority of land is an enterprise in the long-term lease.

Despite the fact that the Ukrainian agricultural businessmen are likely to be the first to exercise its right to acquire land, the share of foreign investors also remain opportunities for investment.

"It's no secret that the earth and is now sold, but that's how often unacceptable for Western investors. And our technical landlords and tenants as a formal caution to invest in land holdings," - says Sokolov.

"Of course much of the land under the control of holding companies, but estimated about 70% of the land until the free," - said the expert. He noted that cooperation is likely to be of Ukrainian businessmen and foreign investors, where the Ukrainian side will provide land plots which have, and foreigners - means for their development.

"If in fact these laws would be considered, I am sure that Ukraine will have a lot of money - or investors, or it will be the means of our local" Cypriots "- is another matter, but in a large influx of investment is no doubt," - says Lissitsa .

The bill on the land market suggests that the allotments will only be able to acquire Ukrainian citizens and legal entities registered in the country. Within a year after the enactment of the law, foreign citizens and companies will be required to dispose of agricultural lands. If they do not, then it will be compulsorily through the courts.

We introduce a limit on the amount of land in the hands of one. " Limits will vary in different areas - depending on the actual area of agricultural land located in the region. Still being discussed with a maximum of 2 hectares for a single owner. It is already clear that this restriction can easily be circumvented by re-registering "excess" land to the relatives of the landowner or just figureheads.

Purchase and sale of land can not be done at a price below the minimum. Minimum price equated to the normative - in 2010 it amounted to 12 thousand UAH. In 2011, plans to increase the minimum by more than twice - up to 25 thousand UAH. In addition, the possibility of land purchases on credit with deferred for 5 years.

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Content tags: land Legislation
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