Tensions continue over Ukrainian grain import ban

On 15^th September 2023, the European Commission rejected the extension of a ban on imports of Ukrainian agricultural products (corn, wheat, sunflower and rapeseed) into five neighbouring EU countries (Poland, Slovakia, Hungary, Romania and Bulgaria). In return, Ukraine agreed to establish legal measures to avoid new surges in grain exports and tighten the control over agricultural products. Based on these actions, the European Commission believes this should prevent market distortions in the neighbouring countries. However, Poland, Slovakia and Hungary announced on Friday (15^th September) their own restrictions on the import of Ukrainian grain products despite the European Commission's decision. The transitions of Ukrainian agricultural production by countries are still allowed. A Mintec source added, “there are huge concerns because cheap Ukrainian agricultural imports can once again overwhelm neighbouring countries, and this could leave insufficient storage capacity for the autumn harvest.” Another Mintec source added, “it is also all political. Poland has the upcoming [15^th October] parliamentary elections with the aim to win more voters in the countryside. Same as Slovakia. They are trying to protect local farmers and win their vote.” Mintec learned that Ukraine has started legal action against Poland, Hungary and Slovakia over the refusal to lift the Ukraine import ban, which is considered a violation of the unilateral EU trade agreement. As the situation develops, the extension of the import ban and the establishment of solidarity lanes will continue to shape the landscape of agricultural trade in the region. Mintec will continue to update this story as more details unfold.