Ukraine's agricultural associations call on European parliament to extend trade preferences

MOSCOW. Feb 28 (Interfax) - A number of Ukrainian agricultural associations have sent a letter to the European Parliament's Committee on International Trade requesting that autonomous trade preferences for Ukraine be extended for another year in light of the list of protective measures on products deemed sensitive for European farmers, namely, poultry meat, eggs, and sugar, Ukrainian media outlets said, citing a statement of the press service of the Ukrainian Agribusiness Club (UCAB).

According to UCAB, the adoption of protective measures proposed by the European Commission will cost the Ukrainian economy about $250 million of lost export revenues. However, if members of the European Parliament adopt over 100 amendments identical to the ones demanded by COPA-COGECA and other European agricultural associations, the deficiency in Ukraine's export revenues will increase to $5 billion.

"The year 2024 will be difficult for Ukraine [...]. The country runs an exceptionally high current account deficit, beyond the one experienced in the wake of 2008-2009 financial crisis, and significant budget deficit, increasing the risk of currency devaluation by 50%," UCAB said.

In 2023, agricultural exports brought Ukraine 61% of foreign currency revenues, including over a half from the EU, UCAB said. Therefore, any proposals to limit imports of Ukrainian agricultural products to the European market could prove disastrous for the Ukrainian economy, it said.