The EBA’s appeal to the European Commission regarding the situation with the ban on the export of agricultural products through the territory of certain countries

21/ 04/ 2023

Listen to online Stop   At the beginning of the week, it became known that Poland, Hungary, Bulgaria, and Slovakia temporarily limit the export of agricultural goods from Ukraine to/through the territory of the respective countries. The European Business Association immediately appealed to the Governments of the above-mentioned countries that such a decision complicates the operation of the grain corridor and creates a threat to the export of agricultural products from Ukraine, which is extremely necessary to support the economy of our state, which is suffering from Russian aggression. Moreover, such bans are a direct violation of European legislation. Hence, article 35 of the Association Agreement between the EU and the European Atomic Energy Community and their Member States, of the one part, and Ukraine, of the other part does not provide any additional prohibitions, restrictions, or measures regarding the goods other than those specified in article 11 of the General Agreement on Tariffs and Trade. Article 11 determines only such restrictions as duties, taxes, or other charges through quotas, import or export licenses, or other measures. There are exceptions for agricultural products, but still, such relate to restrictions (not prohibitions) on imports under specific conditions. The Association Agreement also provides for special protective measures by the parties (Art. 40), but these only relate to duties and tariff concessions (not trade prohibition) imposed after a specific investigation. Its reconfirmed by the decision on temporary trade-liberalization measures (Art. 4 of Regulation (EU) 2022/870 of the European Parliament and of the Council of 30 May 2022 on temporary trade-liberalisation measures supplementing trade concessions applicable to Ukrainian products under the Association Agreement. Therefore, it’s worth noting that mentioned measures lay within the EU authority (not a single state), require specific procedures, and do not foresee trade bans. That is why we believe the applied measure is not corresponding with the existing trade framework between the parties. So, European Business Association in Ukraine appeals to the President of the European Commission Ms. Ursula von der Leyen and the Executive Vice-President of the European Commission Directorate-General for Trade Mr. Valdis Dombrovskis to help to facilitate an urgent review of the recent decisions of the Governments of Poland, Hungary, Bulgaria, and Slovakia regarding the temporary restriction of import of agricultural products from Ukraine. It is necessary that all measures were taken in line with Association Agreement and specific EU regulations. So, we expect that the situation will be resolved in the near future!

At the beginning of the week, it became known that Poland, Hungary, Bulgaria, and Slovakia temporarily limit the export of agricultural goods from Ukraine to/through the territory of the respective countries.

The European Business Association immediately appealed to the Governments of the above-mentioned countries that such a decision complicates the operation of the grain corridor and creates a threat to the export of agricultural products from Ukraine, which is extremely necessary to support the economy of our state, which is suffering from Russian aggression.

Moreover, such bans are a direct violation of European legislation.

Hence, article 35 of the Association Agreement between the EU and the European Atomic Energy Community and their Member States, of the one part, and Ukraine, of the other part does not provide any additional prohibitions, restrictions, or measures regarding the goods other than those specified in article 11 of the General Agreement on Tariffs and Trade. Article 11 determines only such restrictions as duties, taxes, or other charges through quotas, import or export licenses, or other measures. There are exceptions for agricultural products, but still, such relate to restrictions (not prohibitions) on imports under specific conditions. The Association Agreement also provides for special protective measures by the parties (Art. 40), but these only relate to duties and tariff concessions (not trade prohibition) imposed after a specific investigation. It’s reconfirmed by the decision on temporary trade-liberalization measures (Art. 4 of Regulation (EU) 2022/870 of the European Parliament and of the Council of 30 May 2022 on temporary trade-liberalisation measures supplementing trade concessions applicable to Ukrainian products under the Association Agreement.

Therefore, it’s worth noting that mentioned measures lay within the EU authority (not a single state), require specific procedures, and do not foresee trade bans. That is why we believe the applied measure is not corresponding with the existing trade framework between the parties.

So, European Business Association in Ukraine appeals to the President of the European Commission Ms. Ursula von der Leyen and the Executive Vice-President of the European Commission Directorate-General for Trade Mr. Valdis Dombrovskis to help to facilitate an urgent review of the recent decisions of the Governments of Poland, Hungary, Bulgaria, and Slovakia regarding the temporary restriction of import of agricultural products from Ukraine. It is necessary that all measures were taken in line with Association Agreement and specific EU regulations. So, we expect that the situation will be resolved in the near future!