In the wake of the European Commission’s choice not to extend the ban, Poland, Slovakia, and Hungary have independently announced restrictions on Ukrainian grain imports. This decision comes after Ukraine was once a major global grain exporter before Russia’s invasion in 2022 disrupted its ability to transport agricultural produce to international markets. Ukrainian farmers have been relying on grain exports through neighboring countries as they were unable to use the preferred Black Sea ports. However, this influx of grains into neighboring countries led to reduced prices, impacting local farmers and prompting governments to ban agricultural imports from Ukraine.
The European Union had intervened in May to prevent individual countries from imposing unilateral bans and imposed its own ban on imports into neighboring countries. Under this ban, Ukraine was allowed to export through these countries, provided the produce was sold elsewhere. The EU allowed this ban to expire on Friday after Ukraine committed to tightening control over exports to neighboring countries.
EU Trade Commissioner Valdis Dombrovskis urged countries to refrain from unilateral measures against Ukrainian grain imports. However, Poland, Slovakia, and Hungary immediately responded by reapplying their own restrictions on Ukrainian grain imports, while still allowing transit of Ukrainian produce.
While the exact extent of Ukraine’s export restrictions remains unclear, these new bans raise questions about how they will impact the flow of produce from Ukraine. The situation highlights divisions within the EU regarding the economic impact of the war in Ukraine on member countries, particularly those with influential agriculture and farming lobbies.
Ukrainian President Volodymyr Zelenskyy welcomed the EU’s decision not to further extend the ban on Kyiv’s grain exports. However, he emphasized that his government would respond “in a civilized fashion” if EU member states violated EU rules. On the other hand, Poland, Slovakia, and Hungary argue that their actions are in the best interest of their economies.
The EU had created alternative land routes, known as Solidarity Lanes, for Ukraine to export its grains and oilseeds after Russia withdrew from a U.N.-brokered Black Sea grain deal. The EU Commission stated that the existing measures would expire as planned on Friday, given Ukraine’s commitment to implementing measures such as an export licensing system within 30 days.
Farmers in the neighboring countries have frequently voiced concerns about a glut of products affecting domestic prices and pushing them towards bankruptcy. The situation underscores the delicate balance between ensuring fair trade and supporting domestic agriculture within the EU.