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Business asks for zero import duty on Ukrainian plywood imported to Turkey

06/ 02/ 2020
  The relevant provision may be documented within the Free Trade Agreement between Ukraine and Turkey, the conditions of which are being negotiated. In particular, the intention to conclude the Agreement on the Free Trade Area was confirmed during the recent meeting of the presidents of both countries. The EBA member companies are interested in fixating the conditions of export and import operations in the Agreement, which will meet the interests and needs of Ukrainian plywood producers. As Turkey develops its own plywood production, it sets the economic barriers for the import of Ukrainian plywood to its market (introducing the indicative (tariff) cost on the imported plywood, an additional import tariff for the plywood of Ukrainian production), provides privileges  for the Turkish producers in the settlement of taxes for the initial period and other stimulating measures. At the same time Turkey imports a significant amount of raw materials for the plywood production which are at a deficit in Ukraine. According to the EBA experts, the available amount of the plywood resources is 30% less than the real capacity of Ukrainian companies. These circumstances only weaken the already unprotected national plywood market. Taking into account those mentioned above, the EBA member companies appealed to the trade representative of Ukraine with a request to facilitate the fixation of the provision on setting the import duty at a rate 0% for the Ukrainian plywood imported to Turkey in the Free Trade Agreement between Ukraine and Turkey.

The relevant provision may be documented within the Free Trade Agreement between Ukraine and Turkey, the conditions of which are being negotiated. In particular, the intention to conclude the Agreement on the Free Trade Area was confirmed during the recent meeting of the presidents of both countries.

The EBA member companies are interested in fixating the conditions of export and import operations in the Agreement, which will meet the interests and needs of Ukrainian plywood producers. As Turkey develops its own plywood production, it sets the economic barriers for the import of Ukrainian plywood to its market (introducing the indicative (tariff) cost on the imported plywood, an additional import tariff for the plywood of Ukrainian production), provides privileges  for the Turkish producers in the settlement of taxes for the initial period and other stimulating measures.

At the same time Turkey imports a significant amount of raw materials for the plywood production which are at a deficit in Ukraine. According to the EBA experts, the available amount of the plywood resources is 30% less than the real capacity of Ukrainian companies. These circumstances only weaken the already unprotected national plywood market.

Taking into account those mentioned above, the EBA member companies appealed to the trade representative of Ukraine with a request to facilitate the fixation of the provision on setting the import duty at a rate 0% for the Ukrainian plywood imported to Turkey in the Free Trade Agreement between Ukraine and Turkey.

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