According to the results of August, Ukrainian exports to the countries of the European Union almost reached pre-war volumes. And according to the results of quarters 1-3, it will even exceed the corresponding pre-war indicators. This was announced by Taras Kachka, Deputy Minister of Economy – Trade Representative of Ukraine, on the air of the national telethon.
“Today, trade between Ukraine and the European Union has actually resumed. In August, exports to the EU made 90% of the exports recorded in August 2021. And for the three quarters of 2022, our exports to the EU were even several percent more than in quarters 1-3 of 2021 despite the war,” said Taras Kachka.
A number of steps taken by EU countries and the Government of Ukraine contributed to the trading activity of Ukrainian exporters. In particular, the cancellation of quotas and customs duties by the European Union simplified exports of agricultural products. The solidarity lanes initiated by the European Commission for Ukraine and the strengthening of the capacity of the customs infrastructure greatly contributed to the revival of trade.
As the Deputy Minister reminded, “customs visa-free” will start on 1 October, that is, the Convention on a common transit procedure and the Convention on the simplification of formalities in trade in goods will enter into force for Ukraine. That will allow cargoes to cross the borders between Ukraine and EU countries even faster.
At the same time, according to Taras Kachka, in general, the volume of Ukrainian exports, compared to the pre-war level, has almost halved.
“If in January-February, Ukraine exported monthly for a total of 6 billion US dollars and more, now we are reaching the level of 3.4 billion US dollars – this will be approximate result in September,” noted the Deputy Minister.
Exports to the countries of North Africa and Asia decreased the most. And now it is being restored only in the context of the grain initiative and the opening of ports. Trade with the russian federation and the republic of belarus has also completely stropped.
“Ukrainian business quite deliberately used the break in trade relations with the russian federation in practice. In the first weeks of the war, we completely banned imports from the russian federation as a response to aggression. And now, in order to increase the sanctions pressure and at the same time provide legal grounds for Ukrainian companies that had contractual obligations, we also introduced a ban on exports. It means that it is a fairly clear position that Ukrainian companies are free from fulfilling their obligations under contracts with entities of the russian federation,” Taras Kachka noted.