The European Commission will reinstate duties on Ukrainian eggs and sugar
20 June 2024 10:44
Following the reintroduction of duties on Ukrainian oats, the European Commission is preparing to reintroduce them for Ukrainian eggs and sugar, reports "Komersant Ukrainian" reports with reference to Euronews.
According to the EU representative, the volume of imports of Ukrainian eggs has already reached the quotas set by the EU. Therefore, according to the current rules, the European Commission will impose restrictions within the next two weeks.
According to trade experts familiar with the matter, the European Commission is also considering imposing restrictions on sugar imports from Ukraine. After all, the data available on the customs union’s website already exceeds the level of “emergency braking”.
Having reached the appropriate volume of supplies, Ukraine itself stopped exporting sugar to the EU at the end of May, but the European Commission should definitely include its own protective mechanism.
The situation is being closely monitored by the Association of European Food and Drink Producers (CIUS). As it turns out, it does not approve of the European duties on Ukrainian sugar and is concerned about possible restrictions on its imports.
Earlier, the EU reintroduced duties on Ukrainian oats.
The preferential trade regime and its enemies
The decision to allow the free import of Ukrainian goods into the EU was made by the EU at the beginning of the full-scale Russian invasion as a gesture of support for the Ukrainian economy and in response to the Russian naval blockade of Ukrainian ports. During the two years of its operation, the simplified regime has gained a lot of opponents in the EU. In particular, the governments of Bulgaria, Poland, Hungary, Romania and Slovakia demanded that imports of Ukrainian products be restricted (later France joined this position). They claim that cheap agricultural products from Ukraine are swallowing up their markets.
Six major European farmers’ associations also protested strongly against Ukrainian products. Polish farmers have even staged a border blockade, not only with Ukraine but also with Germany.
Nevertheless, after a tough debate, the simplified trade regime with Ukraine was extended until 5 June 2025. However, at the request of these countries, it was severely restricted.
Thus, the provisions on duty-free trade were amended to include further “safeguards” to protect European producers.
In particular, the European Commission may take any measures it deems necessary if imports from Ukraine cause “significant disturbances” on the EU market or the markets of one or more EU Member States. In such a case, the European Commission may launch an “emergency brake” for particularly sensitive agricultural products. This list includes the following products:
- poultry
- eggs
- sugar
- oats
- cereals
- corn;
- honey.
However, the European Commission has not only options but also responsibilities. If imports of these goods exceed the average import volumes recorded in the second half of 2021 and for the whole of 2022 and 2023, customs tariffs must be restored within 14 days.
Thus, the EU has effectively reintroduced import quotas for many Ukrainian goods, albeit at a rather high level.
