EU considering new trade regime with Ukraine, media reports
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The European Union does not plan to extend the preferential trade agreement framework in its current form past its June 5 expiration date and is considering a new set of rules instead, the Polish news portal RMF24 reported on Jan. 28.
While the European Commission allegedly does not plan to reinstate pre-invasion trade rules, it is considering alternatives within the 2016 Deep and Comprehensive Free Trade Area (DCFTA) framework, including quotas for agricultural products and additional safeguards.
The EU lifted customs duties on Ukrainian agricultural products in 2022 to alleviate the country's economy amid Russia's full-scale invasion. This led to large-scale protests among European farmers, namely in Poland, who claimed the influx of cheaper Ukrainian products was threatening their businesses.
The newly proposed framework would establish specific export and import volumes, potentially aiding Ukraine's integration into the EU single market while addressing concerns from member states about agricultural imports.
European Agriculture Commissioner Christophe Hansen reportedly noted widespread support among agriculture ministers for transitioning to a "more stable DCFTA agreement" instead of extending the current regime.
Preliminary technical negotiations between the EU and Ukraine have reportedly begun, with formal discussions expected soon.
The EU's current free-trade scheme has already been updated with an automatic safeguard mechanism for sensitive sectors, such as eggs, poultry, sugar, oats, maize, hulled grains, and honey.
Poland has implemented import bans on certain Ukrainian products, such as grain, citing negative impacts on Polish agriculture.
