News
11.12.2013
Ukraine’s refusal from FTA with European Union will hinder development of AIC of Ukraine
After Ukraine joined the WTO, the agro-industrial complex of Ukraine became one of the most export favored area. The production of all types of AIC products including finished and semi-finished products has grown significantly. In the first place, this is the result of the inflow of huge foreign and national investments into agrarian sector of Ukraine. Nowadays it’s rather up-to-date to be an agrarian, while before the membership some parliamentary factions scarified Ukrainian villages with devastation, unemployment and starvation.
After Ukraine joined the WTO (first half of 2007) the export of AIC products less the majority of finished products, semi-finished products, beverages, etc. grew by 77% in monetary terms. Thus, between 1 January 2008 and 31 December 2012 Ukraine exported agrarian products for the amount of $50.97 bln. According to the studies in 2012 export in AIC sector reached its peak at $18 bln.
Last marketing year 41% of our grain buyers were from the EU countries. In 2012 the share of EU countries in total export of agrarian products constituted 27%. If FTA was signed with European Union, we would have the opportunity to increase export by $1 - $1.2 bln. during the first year. And this does not take into account that our exporters would have access to other markets in wealthy countries, first and foremost, of the Arab world.
Speculations of some politicians concerning the allegedly “ridiculous quotas” on our products in European Union have no sense whatsoever, since those are additional duty-free volumes of our products that are added to already existing supplies to the countries of united Europe. However, the major goal of FTA with Europe is huge inflow of additional foreign investments that could significantly increase domestic production, GDP, export and currency supplies.
