On July 2, the European Union introduced protective tariffs for eggs and sugar from Ukraine due to excess import volumes.
Points of attention
- The EU's new safeguards mechanism limits free trade with Ukraine for seven agricultural products.
- The European Union may become dependent on Russia for importing urea, which may have consequences in the context of sanctions and the political situation in the world.
- Cheap Russian fertilizers, particularly urea, help European farmers but make it difficult for fertilizer producers in the region to compete.
The Ukrainian authorities assured EU that they will not introduce fees on the import of goods
It is reported that this happened despite the Ukrainian government's statement that the EU has no such plans for the near future.
In the spring, the EU created a safety mechanism to limit free trade with Ukraine. In June, it was used for the first time in relation to Ukrainian oats.
Currently, two more names have come under its influence, reports Agriculture.
The new safety mechanism provides that the so-called "emergency brake" for seven agricultural products will be automatically activated if the import volumes reach the average annual import volume recorded between July 1, 2021, and December 31, 2023.
For eggs and sugar, this average is 23,188.96 tons and 262,652.68 tons, respectively.
EU may fall into a new dependence on Russia
According to the latest data, about 33% of urea imports (the cheapest of offered fertilisers — Ed.) come from Russia to EU countries.
It should be noted that last year, the supply of urea approached a record level.
Sales of Russian natural gas to Europe have declined significantly since 2022. However, the import of some types of fertilizers, such as urea, even increased after the full-scale invasion of the Russian Federation into Ukraine, the editorial office notes.
The fertilisers have helped European farmers, but it is difficult for fertiliser producers to compete.
