2023-05-12 19:59:00
First it was the Eastern European neighbors of the Ukraine who bought cheap agricultural imports from the war-torn country sued. Ukrainian wheat, corn, rapeseed and sunflower oil caused prices of domestic agricultural products to fall. The farmers of the affected EU countries went on the barricades. Whereupon the governments of Poland, Bulgaria, Hungary and Slovakia unilaterally and illegally imposed by the EU on imports of Ukrainian agricultural products.
At the end of April, the EU Commission announced that the conflict had been resolved – through “protective measures” for the affected farmers. These should receive 100 million euros in compensation payments. The Ukrainian grain should be allowed to cross the border once more, but no longer get stuck in the neighboring countries only be transported through.
But now it’s the Western Europeans who are protesting and see themselves disadvantaged. On France’s initiative, twelve agriculture ministers have sent an armored letter sent to Brussels with “serious concerns” regarding this deal. The signatories also include Austria’s Minister Norbert Totschnig (VP) and his German colleague Cem Özdemir (Greens). You criticize that the agreement undermines the internal market.
Because Ukrainian grain now ends up in the Western European countries and causes prices to drop here. According to reports, this is less regarding human food and more regarding animal feed.
The whole problem arose through a well-intentioned action regarding a year ago. At that time, the EU granted Ukraine extensive trade facilitation to help the country defend itself once morest the Russian invasion. Quantity restrictions on the import of agricultural products were eliminated, as were tariffs. Only recently did the EU countries agree to extend these simplifications for another year. Like with that The resulting flood of grain from the Ukraine is to be dealt with, however, is another question that has not yet been resolved.
Originally intended to be Ukrainian grain the EU states only happen to get to the buyer countries in North Africa or the Middle East. But large quantities got stuck – due to a lack of capacity for onward transport from Polish ports or because intermediaries sensed good business.
The fact that Ukrainian agricultural products were exported to the west on a large scale across the land border in the first months of the war was due to the blockade of the Soviet Union Ukrainian Black Sea ports through Russia. Arrived at the mediation of Türkiye an agreement to export grain across the Black Sea. It might expire on May 18th. The extension is being negotiated. On Friday it was said from Ankara that it was regarding to be completed.
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