Customs visa-free travel is coming to an end: EU restricts imports of Ukrainian grain, honey and sugar
14 May 2025 21:51
Ukraine will be the third largest exporter of agricultural products to the EU in 2024, but new restrictions are ahead that could hit the agricultural sector. This is reported by "Komersant Ukrainian" with reference to the Telegram channel of MP Nina Yuzhanina.
According to updated data from the Eurostat statistical agency, in 2024, Ukraine became one of the three leading suppliers of agricultural products to the European Union. During the year, exports of Ukrainian agricultural products to the EU amounted to 13.1 billion euros, which is 6.7% of the total imports of the agricultural sector.
The main EU partners in this area include:
- Brazil – 17.1 billion euros (8.8%);
- The United Kingdom – 16.6 billion euros (8.5%);
- Ukraine – €13.1 billion (6.7%);
- The United States – €12.0 billion (6.1%).
Customs visa waiver and its consequences
The success of Ukrainian agricultural exports became possible due to the abolition of duties and quotas on Ukrainian goods in 2022 – as part of the so-called customs visa-free regime, which the EU introduced as one of the tools to support the Ukrainian economy in the context of a full-scale war.
This regime allowed Ukrainian producers to maximize the benefits of simplified access to the European market and provided a significant inflow of foreign exchange earnings to the state budget.
New restrictions from June 2025
However, starting June 6, 2025, the situation will change dramatically: The EU will reintroduce duties and quotas on some of Ukraine’s exports. The new restrictions will apply to:
- grain crops
- honey
- eggs
- sugar;
- other products that traditionally account for a significant share of Ukraine’s exports.
Reasons for the decision and Europe’s reaction
The initiator of the reintroduction of restrictions was Poland, which stated the need to protect the interests of European farmers, especially in the face of high competition from Ukrainian farmers. Its position was supported by a number of other EU countries, including France and Hungary. At the same time, there are also countries that have advocated maintaining preferences for Ukraine, but they are in the minority.
Implications for Ukraine’s economy
According to the Cabinet of Ministers, the return of customs control could reduce annual revenues from agricultural exports by about 3.5 billion euros. This poses a significant risk to the state budget, currency stability, and the overall health of the agricultural sector, which is one of the key drivers of the country’s economy.
The European Union is currently preparing a transitional mechanism to smooth out the effects of the new restrictions. However, Ukrainian experts and agribusiness representatives warn that the reduction of duty-free access to the EU market could negatively affect thousands of producers and complicate the post-war recovery of the industry.
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