According to an investigation, several Dutch seed producers, greenhouse builders, and agricultural machinery manufacturers continue to operate in Russia—despite its war in Ukraine.
Ten Dutch agricultural companies have participated in Russian agricultural trade fairs over the past two years. Eight of these were present this week at YugAgro in Krasnodar—one of the sector’s largest events.
This pattern however, does not only apply to the Netherlands. Italian and German companies have paid almost €3 billion altogether in taxes to Russia since the war started in 2022. This suggests that Brussels simply cannot halt trade on a political whim.
These companies export goods that are mostly exempt from European Union sanctions, although certain items—such as diesel engines used in agricultural machinery—are restricted. Sanctions do not target products essential to food security; rather, they focus on the economic activities of individuals and companies contributing to Russia’s war effort.
Research from Wageningen University and the Dutch statistics office (CBS) shows that the Netherlands is the second-largest supplier of agricultural machinery to Russia, after Germany.
Most Dutch companies still active in Russia now operate through local subsidiaries, meaning they also pay taxes in Russia. Several even maintain Russian-language websites and marketing channels—including podcasts—the paper notes.
Economists said that this activity is unsurprising, given the global strength of Dutch seed breeding and greenhouse technology, even though the financial stakes for the companies remain relatively small.
According to Professor Jack Peerlings of Wageningen University
These Dutch companies won’t go bankrupt if an export ban to Russia is introduced tomorrow…. And the Russians won’t go hungry either, because the country is largely self-sufficient in food.
