In Mykolaiv, an agricultural giant wants a land lease privilege

In Mykolaiv, Nibulon has applied to the city authorities for a land rent relief.

This became known during a meeting of the Standing Committee on Economic and Investment Policy of the Mykolaiv City Council.

The land in question is about 50 hectares of territory in the seaport area, which, according to the company, may be contaminated with explosives and cannot be used at the moment.

Nibulon said that because of this, the company is actually unable to use the land, but is forced to pay rent.

The company is asking for a tax break of approximately UAH 14 million. At the same time, its representatives argue that these budget losses can be compensated for by increasing the personal income tax - according to their calculations, this could bring in about UAH 20 million in revenues.

However, during the discussion, members of the city council's budget committee questioned these calculations, particularly because the company's headquarters is located in Kyiv.

The deputies also emphasized that the issue of tax privileges should be addressed systematically, not individually for individual companies.

As a result, the parliamentary committee did not support Nibulon's appeal. The final decision may be considered at a session of the city council.

Earlier, Intent wrote that Mykolaiv-based Nibulon has suffered losses of about $400 million since the beginning of the full-scale invasion, lost about 40% of its staff and is currently operating at 32% of its capacity.

The CEO said that Nibulon has also opened a new demining unit and received a $4 million grant from the German government to purchase demining machines. They have already cleared 1,500 hectares of agricultural land.

On June 30 , Nibulon also announced that it had received funding from the Danish Export Investment Fund (EIFO) to increase the capacity of its Bessarabian branch in Izmail.

Thus, on May 4, it became known that Mykolaiv-based Nibulon received a permit for land demining.

Nibulon JV LLC was established in 1991. Prior to the Russian military invasion, the grain trader had 27 transshipment terminals and crop reception complexes, a one-time storage capacity of 2.25 million tons of agricultural products, a fleet of 83 vessels (including 23 tugs), and owned the Mykolaiv Shipyard. "Before the full-scale war, Nibulon cultivated 82 thousand hectares of land in 12 regions of Ukraine and exported agricultural products to more than 70 countries. In 2021, the grain trader exported the highest ever volume of 5.64 million tons of agricultural products, reaching record volumes of supplies to foreign markets in August - 0.7 million tons, in the fourth quarter - 1.88 million tons, and in the second half of the year - 3.71 million tons.

Андрій Колісніченко