UKRAINE TO CHALLENGE IMPORT BAN AT WTO
Poland, Slovakia, and Hungary announced their own restrictions on Ukrainian grain imports on Sept. 15 after the executive European Commission decided not to extend its ban on imports into Ukraine’s five EU neighbors. The three countries said they were acting to protect their farmers and economies from plummeting commodity prices due to the influx of grain in their domestic markets. Restrictions imposed by the EU in May allowed Poland, Bulgaria, Hungary, Romania, and Slovakia to ban domestic sales of Ukrainian wheat, maize, rapeseed, and sunflower seeds while permitting transit of such cargoes for export elsewhere.
Ukraine is expected to sue Poland, Hungary, and Slovakia, “in the near future,” a senior Ukrainian official said on Monday. Ukraine has been struggling to export its grain since Russia’s February 2022 invasion and subsequent blockade of its ports. Alternative land routes through Europe have aided exports, particularly since the July collapse of the Black Sea Grain Initiative, which had helped safely export grain via the Black Sea.
(Link: WorldGrain.com)
KYIV ACTS ON ‘COMPROMISE’ PLAN AFTER FILING WTO TRADE COMPLAINT OVER FOOD BAN
Poland, Slovakia, and Hungary announced restrictions on imports from Ukraine on Friday after the European Commission decided not to extend a ban on sales into Ukraine’s five EU neighbors. Ukrainian Prime Minister Denys Shmyhal confirmed that Kyiv would impose retaliatory import restrictions on certain categories of goods from Poland and Hungary if they did not lift their unilateral bans, and Ukraine is conducting an investigation to show that the unilateral bans are discriminatory.
Shmyhal said Kyiv had proposed to the European Commission on Tuesday an export control plan on four groups of farm products to prevent market distortions — a plan he described as a compromise scenario. The Ukrainian government approved the introduction of export licenses for a number of agricultural products for export to Ukraine’s five EU neighbors. “It stipulates that four crops — corn, rapeseed, sunflower seed, wheat, which are exported to 5 countries — must be licensed by the economy ministry in agreement with the agriculture ministry.” Russia’s war on Ukraine has disrupted Kyiv’s ability to export farm products through its ports, leading to a surge in shipments via road, rail, and barge through its five neighbors.
(Link: Reuter.com)
