Ukraine and the EU Prepare for an Updated Trade Agreement: New Opportunities for Agricultural Exports and Emerging Challenges
In the coming days, Ukraine and the European Union are expected to sign a revised trade agreement that will not only expand quotas for Ukrainian agricultural exports but also establish new legal mechanisms for their protection and development.
This new pact envisions an increase in quotas for cereals such as wheat and barley, along with enhanced volumes for poultry and sugar products.
However, the agreement also raises concerns about potential import restrictions that some EU member states might implement to safeguard their local farmers from increased competition.
According to officials, wheat quotas could rise from one to 1.3 million tons, barley from 350,000 to 450,000 tons, and poultry imports from 90,000 to 120,000 tons, while sugar quotas could grow from 20,000 to 100,000 tons.
These progress points, however, are accompanied by the risk of short-term restrictions, such as Poland’s recent statements about immediately applying measures to protect its agricultural sector after the agreement’s ratification.
Experts emphasize that Ukrainian exporters are actively diversifying their markets, seeking new trade routes beyond the EU.
Although this transition takes time and strategic effort, global competition remains fierce, pushing the Ukrainian agrarian sector to adapt swiftly.
Countries like Egypt, Indonesia, China, Vietnam, Turkey, and others already constitute significant import destinations with growing shares in Ukraine’s export structure.
Particularly, the export of vegetable oils to India, Iraq, Turkey, and China shows promising growth, highlighting the importance of integrating into global supply chains.
Ukrainian farmers face the ongoing challenge of maintaining their competitiveness by leveraging new markets and navigating evolving international trade rules, a crucial factor for sustainable growth and stability in the global arena.