Ukrainian farmers can lose from the introduction of Moldova’s quota of about $ 1.5 million

According to experts ‘ estimates, the projected revenue losses of Ukrainian farmers from the introduction of Moldova quotas on our milk and meat, is about 1.5 million U.S. dollars, accounting for about 11.3% of revenues from exports of these products in this country.

«Such conclusions can be drawn, a more detailed analysis of last year’s (may-December 2015) activity of exporters on the market», — stated in the message of the Analytical Department of Ukrainian agrarian Confederation (UAC).

So, according to the decree approved by the Government of the Republic of Moldova, the new quotas will be in effect from may to December 2016. According to the state statistics service, over the same period last year, Ukraine exported goods to Moldova at a sum of approximately $ 22.4 million. USA, from them of agricultural products — by 18.2 million dollars. United States, accounting for 81.4% of the total. And this is with zero customs rate, noted in the var.

«The most noticeable would be a loss for butter, cheese and ice cream (product group 0405, 0406, 2105) — $ 1.2 million. USA, that is 14,7%. It is associated with a small amount of quota (750 tons) and with higher rates of customs duties», — is spoken in the message.

In the var indicate that less visible policy of Moldova would have an impact on meat (group 1601, 1602) and dairy (group 0403) product — 55,8 thousand dollars. USA (6.6%), and 111.9 thousand dollars. USA (7.0 per cent), respectively: «Milk and cream (0402 group) would have suffered less — only 66.1 thousand dollars. USA (3,0%), which in the first place, due to the relatively high fixed volume quotas (1000 tonnes)».

In General, sums up the var, the loss of domestic exporters because of the policy of Chisinau (including restrictions on the import of cement) is estimated at 1.9 million dollars. USA that effectively negates the attractiveness of this market for domestic producers.

As reported, the government of Moldova temporarily, until the end of 2016, introduced quotas on the supply of dairy and meat products of Ukrainian origin, and established duties on imports that exceed set quotas to protect less competitive domestic producers. Moldovan producers of dairy and meat products are concerned about the influx of Ukrainian «molochky» and has repeatedly called on the authorities to impose restrictions on imports of these products from Ukraine.

According to expert estimates, the share of exports of Ukrainian dairy products to Moldova in 2015 was approximately 12%. The share of export of butter amounted to about 6%, while dairy products – more than 72%, milk and cream – more than 62%, cheese – by about 25%. Experts do not believe that imposed by the limitations of Moldova will be able to stop shipments from Ukraine.

Kiev urged Chisinau to negotiate trade restrictions on Ukrainian goods and in case of refusal promised to introduce similar measures against Moldovan products.

Ukrainian farmers can lose from the introduction of Moldova’s quota of about $ 1.5 million 06.05.2016

Май 6th, 2016 by
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