Abstract

During the last decade Ukraine observed emergence of large agricultural holdings that cultivate tens or hundreds of thousands of hectares of farmland. An increase in global food demand became a prerequisite for that change, as well as accessibility of financial resources for large companies and the affordable access to land plots for rent and the lack of restrictions on land concentration in national legislation. The study examines the effectiveness of agro holdings in the context of determining the optimal size of land use, as well as socio-economic problems of rural areas caused by the industrialisation of agriculture. We considered the main socio-economic risks associated with the further expansion of land banks, agro holdings and the procedures for concluding Land Lease Agreements. The suggestions concerning the land-use regulations for agro holdings are presented in order to revive rural areas and support the competitiveness of small and medium farms.

Key words: agricultural enterprise, agro holding, land lease, land use, corporate enterprises

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