European Commission may limit shipments of sugar and eggs from Ukraine to EU within two weeks - media
MOSCOW. June 20 (Interfax) - The European Commission (EC) may introduce restrictions on shipments of eggs and sugar from Ukraine to the European Union in the next two weeks, Ukrainian media reported, citing Euronews.
"The EU is expected to continue reducing imports of key food products from (...) Ukraine (...) following the implementation of a controversial new preferential trade scheme," the publication said.
Euronews says that egg imports from Ukraine have reached a critical level, and are at the point where the EC must introduce restrictions within the next two weeks, which are similar to those imposed on the import of oats from Ukraine through June 5, 2025.
In addition, European trade analysts say that sugar imports are also in the EC's crosshairs. Two competent sources named sugar as a likely candidate for European control and confirmed that import figures for this product have exceeded the "emergency brake" limit.
Luc Vernet of the FarmEurope think tank said some of Ukrainian sugar entering the EU may have 'for domestic processing' status, or be imported for re-export, which could affect the European Commission's assessment.
"If the trigger level is reached for sugar, tariffs will be reactivated within 14 days maximum," the publication said.
The issue is being closely watched by the EU association representing European sugar consumers from the food and drink sector (CIUS), which is concerned about possible restrictions on import volumes of sugar for processing.
"We fear that sugar volumes will not be sufficient to meet EU market demand in the coming years," a CIUS spokesperson said.
Ukraine set a record for sugar exports (108,000 tonnes) in May, which was the result of farmers expanding sugar beet production as an option for business diversification when growing grain. Ukrainian association Ukrtsukor says that the country exports 65% of its sugar to the EU.
As reported, the EU Council approved the extension of temporary trade liberalization measures for Ukraine on May 13 for another year, through June 5, 2025. Meanwhile, it provided for the use of an "emergency braking" mechanism for particularly sensitive agricultural products, notably sugar, eggs, poultry, oats, corn, honey, and cereals if imports of these products in 2024 exceed their average volumes recorded in H2 2021 and throughout 2022 and 2023. Similar "emergency braking" measures can be applied in 2025 if the volume of Ukrainian exports exceeds 5/12 of the 2024 quota from January 1 through June 5, 2025.
According to the regulation on autonomous trade measures applied to Ukrainian products, Ukraine will be able to supply 57,101 tonnes of poultry meat, 9,662 tonnes of eggs, 109,439 tonnes of sugar, 18,507 tonnes of honey, 4,648 tonnes of corn, 1,017 tonnes of oats, and 8,603 tonnes of cereals to the EU duty free from June 6, 2024 through June 5, 2025.