Britain decides to extend duty-free trade with Ukraine until 2029

United Kingdom and Ukraine will extend agreements on the abolition of import duties and tariff quotas in trade until 2029, except for poultry meat and eggs, for which the extension will be valid for two years until 2026, reported the website of the British government.

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Britain was the first to cancel trade tariffs for Ukraine in 2022 and is now the first to extend the cancellation for such a significant period.

Liberalization of trade tariffs is part of British policy aimed at supporting Ukraine, along with military, humanitarian and economic aid.

"This move is designed to help Ukrainian businesses impacted by the war and is the most generous tariff break offered by any country," the UK Department for Business & Trade said in a statement.

Britain is not the main, but important trading partner of Ukraine. Ukrainian businesses traditionally export flour, grain, dairy products, poultry meat and semi-finished products, tomato paste, honey, corn, wheat, juices, mushrooms, and sugar to the UK.

The decision to cancel import duties and tariff quotas is legally enshrined in the agreement on political cooperation, free trade and strategic partnership.

The agreement between Ukraine and Britain is bilateral, that is, British companies can also use the duty-free regime in trade with Ukraine. In the structure of the import of goods from Britain to Ukraine, the supply of transport, machines, various chemical and pharmaceutical products prevails.

The European Union is going to extend the duty-free regime for Ukraine for a year, until the middle of 2025, but Ukraine expects that in the future trade liberalization will become permanent and will be included in the association agreement.