The project will support ongoing policy and institutional reforms in the Agriculture and Rural Development (ARD) sector based on an action plan under the “Agriculture and Rural Development Strategy to 2030” and governed by Ukraine's commitment during its accession path to the EU.

The main objective of the Institutional and Policy Reform for Smallholder Agriculture Project, Phase III (IPRSA III) is to help the Government of Ukraine align its laws and policies for agriculture, rural development, fisheries, and aquaculture with the EU acquis.
The project aims to achieve several specific goals:
- Support Ukraine's preparation for future EU membership by aligning agricultural and rural development sectors with EU standards and policies, including the Common Agricultural Policy (CAP) and the Common Fisheries Policy.
- Strengthen the capacity of the Ministry of Agrarian Policy and Food and its agencies to implement key reforms.
- Improve the functionality of services and systems in these sectors.
- Promote a more competitive and sustainable agricultural sector.
- Assist with the digitalisation of services like the State Agrarian Register.

The specific expected results include:
- Legislative alignment: Continuous support for aligning Ukrainian laws and policies with EU legislation in the fields of agriculture, rural development, and fisheries.
- Institutional capacity building: Strengthening the agricultural component of the Ministry of Economy, Environment, and Agriculture and its executive agencies to design and implement key reforms and manage EU funds in line with good governance standards.
- Services and infrastructure enhancement: Improving the functionality of Ukraine's service and control systems to meet relevant EU and international standards.
- Digitalisation of services: Contribution to the digitalisation of agricultural sector services, including the State Land Registry and related databases.
- Improving competitiveness: Contribution to a more inclusive, sustainable, competitive, and growth-oriented agricultural sector that improves the livelihoods and rural incomes of smallholder farmers.
- Sustainable practices: Encourage the use of good agricultural practices (GAP), ensure sustainable management of natural resources, and promote climate change mitigation and adaptation.
- EU policy preparation: Prepare national institutions for the implementation of the EU's Common Agricultural Policy (CAP) and Common Fisheries Policy (CFP).