Please note that the adoption and entry into force of the Law of Ukraine on the circulation of agricultural land is a prerequisite for the introduction of the land market. In connection with this, Chairman of the State Geocadastre Denis Bashlyk said: “The annual extension of the moratorium had no legal meaning, but primarily fulfilled a PR goal for certain political forces. The absence of populism demonstrated by Parliament this year will in no way affect the rules of the game in the land market. Therefore, any panic forecasts do not give any reason”.
The main condition for lifting the moratorium on the sale and purchase of agricultural land was the entry into force of the land circulation law. Since the adoption of the law did not take place, clauses 14 and 15 of Section X “Transitional Provisions” of the Land Code of Ukraine came into force. According to which, prior to the entry into force of the law on the circulation of agricultural land, but not earlier than January 1, 2020, the right to land share (share) in the authorized capital of companies is prohibited, and it is not allowed:
- purchase and sale of land plots of agricultural purpose of state and communal property, lands that have been transferred to communal property in accordance with paragraph 21 of this section or transferred to communal property in accordance with Article 141 of the Law of Ukraine “On the procedure for allocation of land plots to land owners in kind shares (shares), except for the removal (redemption) of them for public needs;
- purchase or sale or otherwise alienation of land plots and change of purpose (use) of land plots owned by citizens and legal entities for conducting commodity agricultural production, land plots allocated in kind (on the ground) to land owners (shares) for maintenance of personal peasant economy, as well as land parcels (shares), in addition to their inheritance, exchange (mines) in accordance with part two of Article 371 of this Code of land to other lands in a plot with the same regulatory monetary valuation or the difference between the regulatory monetary valuation of no more than 10 percent and the seizure (redemption) of land for public purposes, as well as in addition to changing the purpose (use) of land for the purpose of providing it to investors – parties to agreements on distribution of products for carrying out activities under such agreements.