Further trade concessions to Ukraine approved by the European Parliament

July 5, 2017.

    European Parliament backed further trade concessions to foster the economic development of Ukraine on Tuesday.
    The EU offers further trade concessions to Kiev, confirming a June informal agreement with EU ministers. In talks, MEPs approved most of the proposed new concessions, but reduced the volume of the additional quota for certain agricultural products.
    Key points:
    Annual additional quota volume of tomatoes reduced to 3 000 tons/year from 5 000 tons/year; wheat quota from 100 000 to 65 000, maize quota from 650 000 to 625 000, barley from 350 000 to 325 000 and urea, a raw material for fertilisers, does not receive further quota preferences than those outlined in the Deep and Comprehensive Free Trade Area (DCFTA),
    the fight against corruption becomes a condition for granting Ukraine preferential exports, and
    industry representatives, not just member states, may request a report on possible measures protecting EU producers.
    The new trade concessions were approved by 566 votes to 96 and 28 abstentions.
    “The EU offers timely support for Ukraine, while addressing the concerns of our farmers too. By granting new concessions, we want to back ongoing reforms, strengthen small and medium enterprises and provide the necessary impetus for increasing trade flows. I hope this will prove to be both economically and politically advantageous to the people of Ukraine”, rapporteur Jaroslaw Walesa (EPP, PL) said.
    Quick facts:
    The DCFTA, part of the Association Agreement and provisionally applied since January 2016, provides for the mutual opening of markets for goods and services, but the EU reduces and abolishes duties faster. In view of Ukraine’s economic difficulties and its efforts to reform, the EU would offer additional new trade concessions. The EU is Ukraine's largest trading partner, whereas Ukraine accounts for 0.8% of the EU's total trade.
    The EU is Ukraine's largest trading partner, whereas Ukraine accounts for 0.8% of the EU's total trade.