Following the announcement of an agreement in principle between the EU and Ukraine on trade earlier this week (see EUROPE 13670/1), the European Commission published details of the quotas granted to Ukraine on Friday 4 July.
Above all, the two parties had to reach agreement on the fate of 40 tariff quotas under the DCFTA, which concern products that have not yet been liberalised.
Most of these are increasing in volume, with the exception of beef, pork, mutton and cigarettes or cigars, for which quotas remain unchanged.
Other sensitive agricultural products (which were subject to a safeguard) have been increased as follows:
- the tariff quota for chicken has been increased from 90,000 tonnes per year to 120,000 tonnes;
- that for egg production has been increased from 6,000 to 18,000 tonnes per year;
- Ukrainian honey will be able to enter in much larger quantities, as the quota has been increased from 6,000 tonnes to 35,000 tonnes per year;
- maize: from 650,000 to 1 million tonnes per year;
- oats: from 4,000 to 7,700 tonnes per year;
- barley groats and meal: from 7,800 and 33,200 tonnes per year;
- finally, white sugar quotas have been increased fivefold: from 20,070 tonnes to 100,000 tonnes per year.
According to the Commission, these increased volumes are balanced, as they are well below the peaks in imports observed during the period when liberalisation was complete, between June 2022 and June 2025.
The following products will be fully liberalised, i.e. no longer subject to quotas, if the agreement is ratified: bran, milk cream, yoghurts, buttermilk, kefir, whole milk powder, fermented milk, grape juice, mushrooms and food preparations.
The Commission also details the quota increases granted by Ukraine on three European agri-food products: 45,000 tonnes per year, instead of the current 20,000 tonnes for pork; poultry quotas have been increased six-fold - 12,000 tonnes instead of the current 20,000 tonnes. And sugar has increased from 40,000 to 100,000 tonnes per year.
Alignment of standards. As announced in the agreement in principle, these extended tariff quotas are conditional on Ukrainian standards being brought into line with European standards. Ukraine will have to provide an annual report on progress in this area. In 2028, a final report will determine whether the two parties can go even further in liberalising trade.
The Council must now approve this agreement in principle for it to apply. The Commission hopes to forward the legal text to Member States this month.
See details of quotas: https://aeur.eu/f/hpp (Original version in French by Léa Marchal with Isalia Stieffatre)