Uman National University | today: 05/23/2026

Strategic Directions for Development and the Transformation of the Competitive Environment in Ukraine’s Grain Elevator Industry

Author(s) Бабій М. М., , ,
Category Economics
year 2026 issue Issue 108 part 2
pages 102-117 index UDK 339.137:[631.563:664.73]-044.922-043.86:338.43(477)
DOI 10.32782/2415-8240-2026-108-2-102-117 (Link)
Abstract This study examines the strategic foundations for the development of Ukraine’s grain storage industry as a key component of the agricultural market infrastructure and the environment for fostering competitive relations. It is argued that the sector’s operational efficiency is determined by its ability to ensure the uninterrupted flow of grain products, reduce losses, and create added value, provided that the interests of the state, producers, traders, and grain storage enterprises are aligned. It has been established that for the state, the industry serves as a tool for implementing agricultural policy and integrating into global markets, which requires stimulating investment, modernizing infrastructure, and developing logistics corridors, while for businesses, it is a means of increasing profitability, minimizing risks, and optimizing commodity flows, as well as strengthening market positions. This study analyzes the current state and competitive environment of the industry, which is characterized by a high level of internal competition due to a significant number of production facilities and the standardization of services. It identifies the growing influence of consumers and suppliers, barriers to entry for new players, and increasing pressure from alternative storage methods. It is demonstrated that structural changes in production, logistical constraints, and military risks are driving market transformation and increasing the role of non-price factors in competition (service quality, processing speed, and logistical flexibility). It has been demonstrated that the sector’s development is driven primarily by modernization, digitalization, and improved energy efficiency, while increased competitiveness is linked to the diversification of services and the establishment of sustainable partnerships. It is concluded that the integration, cooperation, and transformation of grain elevators into multifunctional logistics and service hubs create the conditions for improving the efficiency and long-term sustainability of the industry’s development.
Key words grain storage facilities, stakeholders, competitive environment, strategic development, integration processes
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