15 Sep 2023 21:42

European Commission ends ban on Ukrainian grain exports to several EU countries

BRUSSELS. Sept 15 (Interfax) - The European Commission (EC) on Friday announced the termination of the restrictive measures on the export of Ukrainian grain and other products to the European Union.

Ukraine in turn has agreed to introduce measures, such as an export-licensing system, within 30 days to avoid a new spike in grain shipments to the EU, the EC said in a statement published in Brussels on Friday.

The EC has analyzed data relating to the impact from Ukrainian exports of four categories of farm products (wheat, corn, rapeseed and sunflower seeds) to the EU market and concluded that thanks to a platform which coordinates these exports, and the temporary measures introduced on May 2, 2023, the market distortions in the five member states bordering Ukraine have disappeared, the document said.

"A constructive attitude of all participants in the platform helped to solve concrete problems and ensured that exports to third countries outside the EU are flowing and even increasing," it said.

The document also compels Ukraine to "put in place from September 16, 2023 effective measures to control the export of four groups of goods in order to prevent any market distortions in the neighboring member states" and "submit an action plan to the platform no later than close-of-business on Monday September 18, 2023."

The EC and Ukraine undertook to follow the situation, using a coordinating platform "to be able to react to any unforeseen situations."

"The European Commission will refrain from imposing any restrictions as long as the effective measures by Ukraine are in place and fully working," the statement said.

The EU's active support for Ukrainian grain and other food products, in particular via "solidarity lanes" has proved a success, but on the other hand it led to "temporary distortions in the markets of the five member states that share a border with Ukraine," namely, Bulgaria, Hungary, Poland, Romania and Slovakia, a comment to the EC resolution said.

This led them to impose temporary restrictions on a number of Ukrainian food exports from May 2, 2023.

Concurrently, the five members, the EC and Ukraine set up a coordinating platform, which helped "develop infrastructure and increasing logistical capacity, as well as removing administrative barriers to the export of agricultural products from Ukraine," the EC said.