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Ministry of Agrarian Policy of Ukraine: Closure of the market by the Russian Federation won’t affect the agricultural sector of Ukraine greatly
Veröffentlicht am 22 Dezember 2015 16:21

"From January 1, 2016, Russia prohibits the importation of certain agricultural products, raw materials and food from Ukraine. There will come in effect the notorious embargo on goods originating from Ukraine. The stance of the Ministry of Agrarian Policy and Food is unequivocal: the closure of the Russian market won’t be a disaster for the agricultural sector of Ukraine". Minister of Agrarian Policy and Food of Ukraine Olexii Pavlenko announced.

"The current volumes of agricultural exports to Russia account for 2% of the total volume of exported agricultural products. The loss of these percent is rather undesirable, but it is hardly a disaster. Higher losses will be felt by consumers of Ukrainian products in Russia", stressed Olexii Pavlenko.

According to the Minister, the trade turnover of agricultural products between the Russian Federation and Ukraine in the first 10 months of this year has fell by about 70% (by over US $ 1 billion) as compared to the similar period of last year and amounted US $456.2 million. China, India and some other countries replaced the Russian Federation in the TOP 10 importers of Ukrainian products.

Olexii Pavlenko also noted that after the introduction of a full FTA with the EU from 1 January 2016 there would change the competitive conditions for agriculture business, particularly for food producers.

"The opening of new markets for agricultural products will prolong for the following year the important processes of export diversification. Today Ukraine feeds more than 140 million people on the planet. But we can maintain up to half a billion people", summed up the Minister of Agriculture.

Reference:

Over 10 months of 2015, Ukrainian agrarian exports made up to the following areas:
Asia – 48% (US $5.5 billion);
the EU – 26% (US $3.0 billion);
Africa – 13% (US $1.5 billion);
the CIS – 10% (US $1.2 billion.);
Other - 3% (US $0.3 billion).


 

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