1 July 2025, 10:08, World

EU, Ukraine agree on updated free trade deal, limit quota increases for key agri products

The European Commission and Ukraine have concluded negotiations on the main principles of revising their Deep and Comprehensive Free Trade Area (DCFTA), European Pravda reported, citing EU Trade and Economic Security Commissioner Maroš Šefčovič.

“We are pleased to announce that the Commission and Ukraine have reached an agreement in principle on updating our bilateral DCFTA following the consultation process under Article 29. This agreement opens a new chapter in EU–Ukraine trade relations,” Šefčovič said.

He added that the updated agreement “establishes a long-term, predictable, and mutually beneficial framework that will benefit exporters, businesses, and farmers on both sides, while also strengthening Ukraine’s path toward EU membership.”

According to Reuters, the EU market will be fully open for less sensitive Ukrainian products such as fermented milk or grape juice. For products like butter, skimmed milk powder, gluten, oats, and barley groats, quotas will be increased to match the highest levels recorded in recent years.

For sensitive products — including sugar, poultry meat, eggs, wheat, corn, and honey — quota increases will be limited. No additional volumes are planned for other types of meat.

The agreement also requires Ukraine to open its market to EU imports of poultry, pork, and sugar, and to align its agricultural production standards with EU norms by 2028, including animal welfare and pesticide use requirements.

Both sides will have the right to apply safeguard measures in case of negative impacts on their domestic markets, and the deal provides for periodic reviews.

Final approval still depends on the consent of EU member states.