The EU trade Commissioner will discuss the extension of trade preferences Ukraine

KYIV, 29 Sep — RIA Novosti. European Commissioner for trade Cecilia Malmstrom on Thursday will visit Kyiv with two-day visit, which intends to discuss the expansion of the EU market for Ukrainian companies and for the allocation of Kiev the help of 600 million euros.

Trade preferences

According to the press service of the EU delegation in Ukraine, in the framework of the visit Malmstrom will meet with Prime Minister Vladimir Groisman, Deputy Prime Minister for European and Euro-Atlantic integration Ivanna klympush-Tsintsadze, and the Minister of foreign Affairs Pavel Klimkin. The Commissioner also intends to meet with representatives of Ukrainian business circles and parliamentarians.

“The purpose of the visit is to take stock of the progress achieved in the implementation of the Association agreement concerning trade and the broader business climate”, — said the representative office.

The press service noted that the visit of the Commissioner will be an occasion to discuss the possibility of opening a wider market with the EU for Ukrainian companies.

In late July, during a meeting with Ukrainian Prime Minister in Brussels, malmström announced the intention to publish a decision of the European Commission on the allocation of Ukraine additional trade preferences.

According to the head of the Ukrainian government, additional preferences should be subject to critical product categories such as poultry, agricultural products of animal origin, flour, fruit juices, electrical appliances, aluminium and articles thereof.

According to the Ministry of economic development and trade of Ukraine, Kyiv continues to increase exports of goods to EU countries, positive growth demonstrates most of the industries. The volume of Ukrainian exports of goods to EU countries in the first six months of 2016, compared to the same period of 2015 grew by 6.7% (412,1 million dollars).

In the Ministry predict that Ukrainian exports to the EU will continue to grow given the price situation on foreign markets, this will lead to an increase in exports according to the results of 2016. The share of Russia in exports of Ukraine decreased in the first half up 9.2% against 12.6% over the same period in 2015.

The promised 600 million euros

During the visit of the European Commissioner for trade will also be considered a question of allocation to Kiev the next tranche in the framework of the EU macro-financial assistance in the amount of 600 million euros.

The Ukrainian Parliament last week passed the necessary allocation of the tranche, the law creating the National Commission for regulation in energy and utilities. In addition, MPs demand-the EU should lift the ban on the export of certain types of timber, lumber and roundwood. A number of factions in the Verkhovna Rada are against lifting the moratorium. Temporary ban on export abroad of wood was introduced not only to prevent the uncontrolled export, but also to support the Ukrainian woodworking industry.

Earlier, Vice-President of the European Commission on energosoiuz maroš Šefčovič said that the EU maybe before the end of the year to allocate Kiev promised financial assistance if Parliament adopts the necessary laws.

In Ukraine from January 1, 2016 came into force a regime of free trade area (FTA) with the EU. In the circumstances, Russia was forced to take action that mitigates the emerging economic risks and suspended in respect of Ukraine to the Treaty on the FTA. Prior to the entry into force of the abolition of the regime of the FTA all Ukrainian goods, except for sugar imported to Russia without paying duties.

Zeroing of customs duties on importation of European goods into Ukraine could lead to uncontrolled flow to the territory of the Russian Federation, pointed out in Russia; in addition, in the protection of its producer, the Russian Federation banned the import of agricultural products, raw materials and food from Ukraine from 1 January 2016. Ukraine, in turn, from January 10 this year introduced a ban on the importation of 43 kinds of products from Russia.

Earlier the President of Ukraine Petro Poroshenko said that the closure of Russia’s access to its market for Ukrainian goods “became an economic shock for the country. According to him, the loss amounted to at least $ 15 billion.