Dairy, Retail

03/ 12/ 2014

On 27 November 2014, some Draft Laws the EBA lobbied against were withdrawn from the Verkhovna Rada of Ukraine in line with the Parliament’s Regalement:

Draft Law On amendments to certain laws of Ukraine (regarding state regulation of milk purchasing price) No 4194a of 27 June 2014.
Draft Law On amendments to the Law of Ukraine “On state support of agriculture of Ukraine” regarding the establishment of milk purchasing prices and bringing into order the mechanism of state price regulation for agricultural products (goods) No 2297 of 14 February 2013.

All the above initiatives envisaged state regulation for the minimum purchasing price for milk. The EBA has always lobbied against any administrative price regulation for milk and was suggesting the alternative options for regulating the issue of justified purchasing pricing for milk via meetings with different stakeholders. The administrative regulation of price contradicts with certain provisions of the Law of Ukraine “On Prices and Pricing” №5007-VI of 21 June 2012, WTO norms, as well as the Program of economic reforms for 2010-2014 “Wealthy society, competitive economy, effective state” that declares a ban on state intrusion into the price formation of agricultural goods.

We express our sincere gratitude to the EBA member-companies that were involved in the process of the withdrawal of the aforementioned Draft Laws. The Association will continue to advocate the interests of our members as well as to facilitate the introduction and implementation of relevant reforms to ensure business growth in Ukraine.

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