Ukraine prepares for possible changes in trade with the EU and seeks new markets.
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Ukraine is expanding its capabilities in agro-export geography ahead of a possible review of trade arrangements with the European Union
Minister of Agrarian Policy and Food Vitaliy Koval reported that in recent years, Ukraine's export share to the EU has decreased from 73% to 52%, compared to the pre-war figure of 36%. In the future, two trade scenarios with the EU are being considered.
The first scenario involves the continuation of autonomous trade measures with an expanded list of 'sensitive products'. The second scenario is based on Article 29 and involves long-term planning with a significant increase in quotas for the export of Ukrainian goods to the EU.
'So we see two main scenarios for the development of events. The first basic scenario, which the Ministry of Agrarian Policy articulates in negotiations, is that the war has not ended, so we ask to continue the ATZ regime, but with an expanded list of sensitive products, which currently stands at 7. The second scenario, which is being discussed in the corridors, is the liberalization of trade under Article 29, that is, based on long-term planning to expand the number of products that can be imported into the EU. Yes, the idea is about quotas, but revised and significantly increased. For example, before the war, Ukraine could supply 20,000 tons of sugar to the EU. However, for Ukraine, this is extremely little - just a few working days of our factories. Now preparations are underway for the final stages of negotiations,' the minister said.
In addition to the European Union, Ukraine is actively expanding its presence in markets of other countries. Exports to African countries have increased to $2.6 billion, which is an increase of more than 30% annually. There is also an observed development of cooperation with countries in the Middle East and Southeast Asia, notably Malaysia, Indonesia, and Bangladesh.
The ministry is working to reduce bureaucratic barriers in trade with potential partners. Special attention is paid to cooperation with countries in the Middle East, where the state guarantees reliable trade relations. The European market continues to be important for Ukraine due to premium prices, convenient logistics, and high standards of product quality.
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