Ukrainian agro-industrial complex: to survive on the contrary ...

Another problem with the export of products of the Ukrainian agro-industrial complex - Poland, Bulgaria, Hungary, Slovakia and Romania signed a joint statement on the extension until the end of the year of the ban on the import of 4 grain crops from Ukraine. Apparently, the problem is not new, but, as they say, there are some nuances.

From the beginning, it is worth focusing on the actions of European partners. Here, for example, Polish Prime Minister Mateusz Morawiecki said that "Poland will not open the border with Ukraine for grain products on September 15."

"At the meeting, we prepared and signed a joint position - of five countries - regarding, first of all, the extension of the ban on the import of four grains to our countries after September 15. But the agreement also contains our joint declaration that we are very open to transit," added the head of the Polish Ministry of Agriculture, Robert Telus, after the meeting of the agriculture ministers of Poland, Hungary, Slovakia, Romania and Bulgaria.

"Less than two months later, according to the decision of the European Commission, we have to reopen the border (with Ukraine for grain products — ed.) on September 15. I want to say clearly, here from the Ministry of Agriculture of the Republic of Poland - we will not open this border. "Either the European Commission will agree to develop regulations that will continue this ban, or we will do it ourselves," Moravetskyi said.

We will remind you that in June, the European Commission relaxed restrictions on the import of Ukrainian agricultural products to five European countries and promised to gradually cancel them. If anything, if the European Commission refuses to extend the ban on the import of grain from Ukraine to the five EU countries after September 15, Poland will unilaterally "close the border". This was previously emphasized by the same Prime Minister of Poland.

"I want to say clearly here at the Ministry of Agriculture of Poland: we will not open the border. Either the European Commission will agree to jointly develop rules that will extend this ban (on the import of grain from Ukraine - ed.), or we will do it ourselves," he said.

In other words, it is understandable that the European partners of Ukraine take care of their own producers. But it looks very doubtful, because there are several issues that the EU is either ashamed to mention or tries to avoid. After all, practices have appeared in the European Union that violate the terms of the Agreement on the Association of Ukraine with the EU. This is exactly what the letter to the Prime Minister of Ukraine Denys Shmyhal states, in which the members of the public union "All-Ukrainian Agrarian Forum" ask to take measures to fully restore the supply of Ukrainian agricultural products, primarily to the EU markets. Information about this letter was published by the "UNN" information agency. In particular, representatives of the Ukrainian agricultural sector are concerned about the initiatives of individual EU member states and the European Commission, which carry the danger of destroying the Ukrainian agricultural sector of the economy. They are also concerned about the facts that indicate non-fulfillment of Article 35 of the Agreement. This article states that no party to the Agreement shall introduce any prohibitions or restrictions on the import of any product of the other party. However, agrarians are convinced that the practice of restrictions, in particular regarding the import of Ukrainian grain into the territory of a number of EU member states, violates the provisions of the Agreement and is discriminatory towards Ukraine. The mentioned inequality is also evidenced by the provision according to which Ukraine must refrain from introducing any restrictions on trade with the EU. That is, the agrarians point out, Ukraine is required to waive the right to take any protective measures in response to restrictions unilaterally imposed on it by the EU.

It is worth thinking about the following: Poland, Slovakia, Hungary, Bulgaria and Romania cannot compete with Ukraine in the agro-industrial complex, and blocking Ukrainian exports contradicts the positions of the European Commission and the European Parliament. This opinion was expressed by the president of the Ukrainian Agrarian Confederation, Leonid Kozachenko, in an exclusive comment to UNN.

"Let's put it this way - they can't compete and their farmers lose a lot. They (the governments of the mentioned countries — editor's note) have to additionally subsidize them. They believe that in such a case, Ukraine should not do it (supply the products of the agro-industrial complex — ed.),” the expert emphasized.

In his opinion, such actions are a violation of the position of the European Commission and the European Parliament regarding Ukrainian exports, including transit ones, across the borders of the European Union. As a possible way to solve the problem, Leonid Kozachenko sees the creation by these countries of a corridor through their territories and blocking the actions of their local traders who will purchase Ukrainian products and sell them on the domestic market, because this creates problems for all parties to the process.

"Just give us the opportunity (transit export — ed.), because we sell the main part to countries like Italy, Portugal, Spain, France. The Netherlands buy a lot from us, Germany. But not these 5 countries that are blocking us now," the expert explained another side of this problem.

As the expert added, the solution to the problem on the side of these countries is the creation of transit corridors.

Тo sum up, we already have something to think about. Especially in connection with the fact that agricultural products accounted for 53% of the total Ukrainian exports in the last year and currently the domestic agro-industry is the locomotive of the Ukrainian economy.