A new system for allocating agricultural land is being introduced

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A new system for allocating agricultural land is being introduced

The President signed a decree "On further measures to create favorable conditions for attracting investment in the industry and increasing the productivity of agricultural land".

A new system for allocating land plots for agriculture is being introduced as an experiment, based on the independence of tenants and the cultivation of crops with high added value.

At the same time, land plots from 3 to 50 hectares in size, without violating the integrity of the contours and irrigation system, will be put up for electronic online auctions on the E-auksion platform.

The documentation for each lot, and then in the lease agreements for the plots, will necessarily indicate:

the standard cost of the plot and the soil quality;
the results of the analysis of the composition and quality of the soil, indicating the time of the study;
recommended main and secondary crops for crop rotation;
water supply methods, minimum and maximum annual water limits guaranteed by the state;

land management project, providing for the possibility of placing on the outskirts of the field (outside the security zone) agricultural service facilities on an area of no more than 1% of the leased area, but not exceeding 20 acres.

All resident individuals and legal entities, including enterprises with foreign investment, can participate in electronic auctions. In this case, the winner of the auction will have to register a legal entity or change the legal address in the region where the land plot is located.

The starting price at electronic auctions will be set at 50% of the standard value of the land plot. Unsold lots will be re-listed every five days with a gradual reduction in price by 10%, but not less than 20% of the starting price.

Under the new system, the winner of the electronic auction - the tenant, in addition to the rights and obligations stipulated by the Land Code, will receive the following rights:
lease of a land plot for a period of 49 years with the possibility of extension;
independent determination of the types, varieties and volumes of agricultural crops;

transfer of their rights and obligations under the lease agreement to another person free of charge or for a fee (sublease) in accordance with the Land Code and others.

The tenant will be obliged to:
organize crop rotation;
rationally use the land plot, preserve and improve soil fertility;
regularly enter data on grown crops, their volumes and sold products into the Tax Committee information system;

check the standard cost of the plot, soil quality, its composition and quality in accordance with the established procedure and with a certain frequency.

The new system will be implemented at the first stage on free land plots at the disposal of district khokimiyats, in districts from the approved list, where the cultivation of cotton and grain crops is not planned for the harvest of 2025 and subsequent years. The system will come into effect before the spring sowing season of 2025.