MEPs have today (Tuesday, April 23) voted to extend the suspension of import duties and quotas on Ukrainian agricultural products for another year, until June 5, 2025, with 428 votes in favour, 131 against and 44 abstentions.
The European Commission can now take “swift action” and impose any measures it deems necessary should there be “significant disruption” to the EU market or the markets of one or more member states due to Ukrainian imports.
As part of reinforced safeguard measures to protect EU farmers, the commission can trigger an emergency brake for particularly sensitive agricultural products, namely poultry, eggs, sugar, oats, groats, maize, and honey.
If imports of these products surpass the average of import volumes recorded in the second half of 2021, and all of 2022 and 2023, tariffs can be re-imposed, according to the European Parliament.
Ukraine trade supports
After Russia launched its war of aggression, the EU put in place autonomous trade measures (ATMs) in June 2022 which allow duty-free access for all Ukrainian products to the EU. These measures were extended by one year in 2023.
In January 2024, the commission proposed to renew the suspension for another year with additional safeguards to protect the EU market. During negotiations, the council and parliament added more measures to protect EU farmers.
As part of the agreement on these new rules, the commission pledged to launch talks with Ukraine on permanent trade liberalisation “soon”, and to keep the parliament closely engaged in the process.
Member states (the Council of Ministers) will now have to formally approve the regulation. The current trade measures expire on June 5, 2024, and the new regulation should enter into force immediately following this date.
EU farmers
The representative body for farmers and co-operatives in Europe, Copa Cogeca said that while this latest agreement “represents an improvement” compared to previous ATMs, it “remains challenging” for EU producers and manufacturers.
Copa Cogeca said that EU producers and manufacturers will have to be included in the discussion between Ukraine and the EU on the trade relationship after June 5, 2025, and that their demands must be answered in order to ensure a “balanced outcome”.
“Although the compromise extends the reference period, incorporating the latter half of 2021, and includes some additional products like oats and groats, it falls short of addressing EU producers and manufacturers’ concerns.
“The imported volumes will remain significant and will continue to affect the markets. Furthermore, no restrictions are planned for the hugely impacting cereals such as common wheat and barley,” the representative body said.
Copa Cogeca stressed that, with these ATMs, the volumes exported to Europe remain “substantial and will not be sustainable” in the long term, especially with the standards of production and crop cultivation in Ukraine remaining “lower” than in the EU.