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Poland, EU reach agreement on Ukrainian grain imports: reports

28.04.2023 17:00
Poland has reached an agreement with the European Union’s executive Commission on a bloc-wide ban on the import of grain from war-torn Ukraine to protect domestic farmers from an influx of cheap produce, according to news outlets.
Polish Prime Minister Mateusz Morawiecki.
Polish Prime Minister Mateusz Morawiecki.Twitter/Chancellery of the Prime Minister of Poland

The deal was announced by Polish Prime Minister Mateusz Morawiecki on Friday, public broadcaster Polish Radio’s IAR news agency reported. 

Speaking to the media in the village of Zaranna, central Poland, the prime minister said: “We have managed to reach an agreement with Brussels."

Morawiecki added: “On my way here, I spoke to the vice-president of the European Commission and trade commissioner, Valdis Dombrovskis. I communicated to him the decision of the Polish government, a decision which is consistent with our agreement with farmers, because above all we are looking after Polish farmers.” 

He told reporters: "At the same time, we want to support ... Ukraine in its fight against the Russian invasion, while working with the EU.”

The prime minister said that the agreement with Brussels had been struck thanks to Poland’s “strong voice in the EU,” a voice that was “further strengthened by four other countries" allied with Poland.

“This voice has been heard,” Morawiecki stated, as quoted by Polish state news agency PAP.

His office said in a tweet that Morawiecki "talked to Trade Commissioner Valdis Dombrovskis about the situation on the agricultural market and the arrangements currently underway with the European Commission.”

EU agrees to ban five Ukrainian grains: reports 

Under the deal, the EU will replace national bans on Ukrainian grain, imposed by several countries, “with an EU-wide embargo on the import of five products: wheat, corn, rapeseed, sunflower and sunflower oil,” the IAR news agency reported. 

Poland, Bulgaria, Romania, Slovakia and Hungary had demanded that the ban also include other agricultural items, such as eggs, poultry and milk products, according to officials.

However, Brussels will first determine whether there have been disruptions to the markets for these products, in which case it may move to restore tariffs, the IAR news agency said.

Moreover, the European Commission will provide EUR 100 million in aid for farmers in the five Central European countries, with Poland set to receive the biggest chunk, EUR 40 million, according to IAR. 

Each of these countries will be able to increase this aid from its own coffers, to the tune of up to 200 percent of the sum received from Brussels, according to officials. 

In addition, the Commission has pledged to swiftly approve new state aid to farmers, reporters were told. 

Last week, Poland announced a new PLN 10 billion (EUR 2.2 billion) aid package for the country’s farmers affected by an influx of Ukrainian food imports. 

Suspension of EU import duties on Ukrainian produce 

Meanwhile, EU countries are set to begin talks on maintaining the suspension of duties and quotas on a long list of Ukrainian exports destined for the bloc, including many agricultural products, the PAP news agency reported. 

The suspension is designed to help Ukraine cope with the economic fallout from Russia's war and facilitate trade for farmers, the Euronews outlet reported.

The measure is meant to last until June 5, but the Commission has proposed a one-year extension until June 2024, according to news reports.

The European Parliament, whose approval is necessary, is set to debate the proposal at a session on May 8, the PAP news agency reported.

The Council of the European Union is due to make the final decision on May 25, with “supporters of the extension enjoying a qualified majority in the Council,” a senior Polish diplomat told PAP. 

According to unofficial information, Poland, Bulgaria, Hungary, Romania and Slovakia are pushing for “extraordinary protective measures, protective procedures, aid for farmers and logistics assistance from the European Commission,” the news agency reported. 

Central Europe grapples with influx of Ukrainian food imports 

Central European states have been seeking to strike a deal with the EU on bloc-wide policies to help farmers after some of them—such as Poland, Hungary, Slovakia and Bulgaria—unilaterally banned Ukrainian food imports, according to news outlets.

Poland last week agreed to lift an embargo on the transit of Ukrainian grain and food products, on condition that shipments will be "sealed, escorted and monitored," officials said at the time.

Several Central European states served as transit routes for Ukrainian grain that could not be exported through Ukraine’s Black Sea ports due to Russia's full-scale invasion in February last year, news outlets reported.

Due to logistics bottlenecks, millions of tons of grains then became trapped in countries bordering Ukraine, forcing local farmers to compete with an influx of cheap Ukrainian imports, according to a report by Radio Free Europe/Radio Liberty.

Friday is day 429 of Russia’s war on Ukraine.

(pm/gs)

Source: IAR, PAP, Euronews