RISOIL envisages farmland bank expansion to 15 thou. ha: Khajishvili

Shota Khajishvili, RISOIL co-founder and director
Photo by: Latifundist.com

RISOIL group of companies is set to expand its farmland bank in 2022, announced the co-owner and director of the group Shota Khajishvili in an interview with Latifundist.com.

The company currently manages around 3-4 thou. ha of cropland. The company's development strategy for 2022 includes a land bank increase to 10-15 thou. ha, says Shota Khajishvili.

"As a matter of fact, agribusiness has always been of interest to us. Land is an ever promising asset. And with the opening of the land market, we decided to develop this business," comments RISOIL co-owner and director.

He adds that Odesa region is considered a priority at the moment. The company will buy farmland in Odesa region first and then offers in the neighbouring regions are likely to be discussed.

The price per hectare in Ukraine is in the range of EUR 1,000-3,000 depending on the region, proximity to the essential infrastructure, storage facilities or the capacity to irrigate the fields, Khajishvili explains.

"We are not buying a furniture or shoe factory, but we are investing in the agribusiness extremely close to us, remaining in the same chain. After all, we have been dealing with agricultural products all our lives," he comments.

The company has a department in charge of buying agricultural land.

Farmland market for individuals—citizens of Ukraine, not more than 100 ha per person—was opened on July 1, 2021.

The right to purchase land will be given to legal entities in 2024.