2023-04-28 21:57:00
EU wants to protect farmers
Dispute over Ukrainian agricultural imports resolved
4/28/2023 11:57 p.m
Because of the Russian war, Ukraine can only export grain across the Black Sea to a limited extent. Some EU neighbors are angry because agricultural products end up on their markets instead. According to the EU Commission, there is now an agreement.
In the dispute over agricultural imports from Ukraine, the EU Commission says it has reached an agreement with several Eastern European countries. Concerns from farmers in several neighboring EU countries and Ukraine itself were taken into account, Commission Vice President Valdis Dombrovskis wrote on Twitter. Poland, Bulgaria, Slovakia and Hungary will therefore lift their countermeasures. In return, there will be “extraordinary protective measures” for wheat, corn, rapeseed and sunflower seeds. He did not give details.
In addition, affected farmers benefit from a 100 million euro support package intended for them. The agreement preserves “both Ukraine’s export capacity so that it can continue to feed the world, as well as the livelihoods of our farmers,” wrote EU Commission President Ursula von der Leyen in a first reaction on Twitter.
Import restrictions should fall
The four countries have restricted agricultural imports from Ukraine, arguing that cheap grain from the war-torn country is distorting their own markets. They justified the step with the protection of their domestic producers. Romania also complained. As part of the agreement that has now been reached, the import of the controversial agricultural goods might be allowed once more – but only for onward transport and not for sale in the affected EU neighbors.
Von der Leyen promised an additional aid package worth millions for Eastern European farmers last week. The background is their complaints regarding a drop in prices. As a result of the Russian war of aggression, Ukraine can export fewer agricultural products by sea to Africa, for example, but uses the land route through the EU. In neighboring countries such as Poland and Hungary, this ensures full silos and significantly falling producer prices.
Ukrainian imports remain duty-free
Following the Russian attack last year, the EU suspended tariffs on imports from Ukraine to give the country better access to international markets. Ukraine is one of the most important grain producers, but can only use its Black Sea ports to a limited extent because of the war.
Earlier this Friday, the EU member states had agreed to suspend tariffs for another year. This is intended to strengthen the Ukrainian economy, as announced by the Swedish Council Presidency. The Committee of Permanent Representatives of EU countries has signaled its support. Whether all countries welcomed the decision remained unclear – but unanimity is not required for a final decision. The EU Parliament still has to approve the extension. After that, the EU states will formally vote on the measure.
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