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Ukraine-EU mutual trade posts highest since Association Agreement
16 February 2022, 06:00
Mutual trade of Ukraine with the EU countries, including the UK, aggregated USD 12.6 bln in 2021. This is the highest indicator reached since the Association Agreement between Ukraine and the European Union was signed (in 2014), states Mykola Puhachov, deputy director of the National Scientific Center, NAAS corresponding member.
The positive trade balance posted USD 4.2 bln.
The Netherlands, Poland, Germany, Spain, Italy, France, as well as the UK and Belgium, have maintained a firm position among the major EU partners for Ukraine in recent years, he said.
These countries form 82% of total Ukraine's agri-food trade with the European Union.
Last year, Ukraine imported about USD 4.2 bln worth of agricultural products from EU member states, up nearly 19% from 2020.
Imports of agricultural products to Ukraine from the EU, adds Mykola Puhachov, still lack the well-established structure as in exports. However, several groups of products still dominate this structure.
For the second straight year, dairy products accounted for a relatively large part (8%) of domestic imports from the EU. Imports of this group reached USD 335 mln, 20% up YoY. The volume of foreign purchases of cheese increased from USD 207 mln in 2020 to USD 251 mln last year.
The import of residues and waste, animal feed products to Ukraine summed USD 289 mln.
"Supplies to the Ukrainian market of finished grain products amounted to USD 252 mln. Last year, imports of meat and co-products stood at USD 203 mln. In total, these product groups accounted for about 62% of the value of food imports from the EU," reports Mykola Puhachov.
Learn more: TOP 10 Importing Countries of Ukrainian Grain in 2020
The expert stated that in 2022, given the continued favourable trends, there is every reason to expect further development of mutual agri-food trade between Ukraine and the European Union, both in terms of exports and imports.
Grains export from Ukraine in 12M 2021 totalled 50.8 mln t. China, Egypt and Turkey are the largest markets in the period.
In late January, the EU approved imports of Ukrainian grains in 2022, including wheat and barley.
