EU Parliament Renews Suspension Of Import Tariffs On Ukrainian Agricultural Goods

MOSCOW (UrduPoint News / Sputnik - 27th April, 2023) The European Parliament by a majority vote gave its approval on Thursday to a draft report by its International Trade Committee providing for the renewal of the suspension of European import tariffs on goods from Ukraine for another year.

In May 2022, the EU Council endorsed the proposal of the European Commission to suspend all import duties on Ukrainian goods. The suspension will be valid until June 5, 2023.

"The International Trade Committee gave its green light on Thursday for a one-year renewal of EU import duties on Ukrainian exports to support the country's economy," the statement said, specifying that the measure includes the renewal of "the suspension of import duties, anti-dumping duties and safeguards on Ukrainian exports."

The decision applies to agricultural goods exclusively, as industrial products are subject to zero duties since January 1, 2023, in accordance with the EU-Ukraine Association Agreement, signed in 2014 and providing for preferential access to the European market for Ukraine's companies since 2016.

The document will be put to a vote in the European Parliament during its plenary session from May 8-11.

The measure is expected to enter into force the day after its publication in the Official Journal of the EU.

The developments come against the backdrop of some European states' increased concerns which were triggered by the surge in imports of grain from Ukraine. This followed the signing last June of the duty-free trade agreement between the European Union and Kiev and the launch of so called green corridors for transit of agricultural products from Ukraine to the world market in March 2022, which ended in cheap Ukrainian grain flooding EU markets, prompting outrage among local farmers.

On April 20, Brussels proposed a mechanism to stop imports of Ukrainian grain, corn, sunflower seeds and rapeseed into the EU until June 5, in an attempt to support the affected EU farmers. Later on, six of the EU member states urged the European Commission to extend the ban until the end of 2023.

On April 15, Poland and Hungary said they were banning imports of Ukrainian agricultural products until June 30, citing the need to protect domestic farmers from the uncontrolled influx of cheap grain from Ukraine. Slovakia followed suit on April 17 and Bulgaria on April 19.