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Energy-efficient drying technologies as the basis for localagroprocessing and cluster development

About the Project

The project provides micro and small agricultural enterprises with access to safe and energy-efficient grain and oilseed drying technology, enabling them to reduce post-harvest losses, lower energy and logistics costs, and increase overall farm profitability. Implementing mobile drying lines within a cluster-based model creates a foundation for autonomous primary processing, the development of local agri-processing hubs, and the transition of MSMEs from a raw-material model to one with higher value added.

The expected results include the commissioning of at least three mobile drying lines and one demonstration training unit, training no fewer than 25 MSME representatives, enabling independent drying and storage of up to 100 tons of grain per producer, and establishing an institutional foundation for the development of local agri-processing clusters.

Objectives

  • Ensure MSMEs’ access to safe and energy-efficient technologies for drying grain and oilseed crops.

  • Reduce post-harvest losses and MSME expenditures on logistics and energy during post-harvest processing.

  • Deploy mobile drying lines within a cluster-based model to support autonomous primary processing.

  • Increase MSME agribusiness profitability by shifting from a raw-material model to higher value-added production.

  • Establish an institutional foundation for the development of local agri-processing hubs and clusters through training and shared infrastructure.

Key Problems and Opportunities in Focus

Problems:

  • Lack of in-house drying and storage facilities among MSMEs.

  • Crop losses, high logistics costs, and dependence on damaged elevator infrastructure.

  • Limited access to traditional dryers due to high capital costs and fuel dependency.

Opportunities:

  • Presence of an agrotechnology cluster and scientific–technical capacity.

  • Growing demand for energy-efficient, autonomous solutions.

  • Potential for decentralizing processing and developing local agri-processing clusters.

Expected Impact

  • Increased resilience and autonomy of MSMEs through the deployment of energy-efficient drying technologies.

  • Provision of at least three MSMEs with their own drying capacity and the ability to store at least 100 tons of harvest per producer.

  • Reduced product losses and lower logistics costs for agricultural enterprises.

  • Increased agribusiness profitability and the creation of at least six jobs.

  • Skills enhancement for no fewer than 25 MSME representatives.

  • Establishment of a foundation for the development of local agri-processing hubs and clusters.

  • Introduction of digital monitoring of technological processes and reduction of the carbon footprint of primary agri-processing in the region.

Donor / Investor Engagement Format

  • grant funding
  • blended finance
  • capacity building
  • co-implementation

Статус готовності - концепт pre-feasibility + investment-ready

Existing Elements:

  • Partnerships

  • Preliminary research

  • Institutional framework

  • Infrastructure resources

Innovation and R&D Project

12 months (1 year)

Total Budget: €194.21 thousand

Structure:

  • Equipment needs: €112.95 thousand (58.2%)

  • Services: €36.39 thousand (18.7%)

  • Other direct costs: €3.44 thousand (1.8%)

  • Administration, monitoring, and sustainability: €31.17 thousand (16%)

  • Other costs: €1.02 thousand (0.5%)

Regional (Sumy region)

  • Micro and small agricultural enterprises and farms in Sumy Oblast growing grain and oilseed crops and lacking their own drying and storage facilities.

  • SMEs in the agri-processing sector interested in moving toward primary processing and higher value-added production.

  • Agribusiness representatives and MSME staff requiring training in the safe and energy-efficient operation of modern drying technologies.

  • Academic staff, researchers, and students of agricultural and engineering disciplines involved in applied research and demonstration projects.

  • Territorial communities interested in developing local agri-processing, job creation, and strengthening the resilience of the local economy.

Public Organization "Agrotechnological cluster of the North-Eastern region of Ukraine"

  • Sumy National Agrarian University (Sumy) — key scientific partner;

  • Institute of Agriculture of the North-East of NAAS (Sumy);

  • Sumy Regional Development Agency (RDA);

  • Higher education institutions, research organizations, business associations, machinery manufacturers, and advisory services;

  • Farms and SMEs of Sumy Oblast.

To discuss partnership opportunities:

Contact Person: +38 093 454 99 28 (Oleksandr Ivchenko)
Email: oleksandr.ivchenko@snau.edu.ua

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