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Ukraine government to pay up to 50% of cost of rebuilding irrigation systems

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Ukraine's government will cover up to 50% of the cost of reconstruction, or construction, of irrigation systems for farmers and will pay them to keep farming in frontline areas, Prime Minister Denys Shmyhal said.

The funds will come from a UAH 200 million ($4.9 million) allocation from the state budget to support land reclamation and the restoration of irrigation infrastructure, Shymhal said after a Cabinet meeting.

The government also offered subsidies of UAH 1,000 each for farmers in areas of potential conflict and UAH 2,000 per hectare in hostile zones in a push to increase the planted area.

"If a farmer invests his own funds, the state will support him by covering up to 50% of the costs of reconstruction or construction of new irrigation systems,” Shmyhal said. 'We understand how difficult it is to sow and harvest on these lands and in these communities, so we will support our people who work there."

The government said Ukrainian farmers have harvested 28.5 million tonnes of grain so far in the 2024 harvest, including 21.6 million metric tons of wheat, 458,500 tons of peas and 5.5 million tons of barley.

The Ministry of Agriculture raised its overall 2024 grain forecast to 56 million tons from 52.4 million.

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