Ukrainian Farmers Unhappy with EU Free Trade Agreement
- New Europe Investor
- February 15, 2016
On the 1st January this year, the free trade agreement between Ukraine and the European Union came into force. However, there have been rumblings by some in the country over the quotas set.
Some Ukrainian farmers argue that quotas have been set too low to the point where volumes had ‘been exhausted in the first weeks of January.’
The free trade agreement between the European Union and Ukraine will see tariffs gradually decline over a ten year period, whilst quotas on the 36 commodity groups gradually increasing over the a five year period.
Ukrainian farmers and representative groups are working hard to export further into EU markets to make up for the loss of the Russian export market.
There are still many areas to be ironed out and exploited regarding the association agreement between Ukraine and the European Union. Whilst exhausting most quotas to the EU, Ukraine failed to reach export quotas in a variety of products last year such as malt and poultry.
According to a survey by the International Centre of E-Commerce Allbiz, 40% of Ukrainian companies are now looking to take advantage of European Union free trade agreements.