"The mechanism does not work". Business calls for the abolition of export duties on soybeans and rapeseed

The European Business Association (EBA) has called on the government and the Verkhovna Rada to abolish the export duty on soybeans and rapeseed introduced by the recently adopted Law #4536-IX. About this said EBA press service.
The business also proposes to provide a mechanism for reimbursement of funds already paid.
The EBA reminded that on September 2, President Volodymyr Zelenskyy signed a law that introduced a 10% duty on the export of these crops.
It was assumed that agricultural producers exporting their own products would be exempt from the tax. However, according to business representatives, this "mechanism does not work" because there is no clear procedure for confirming the origin of grain.
As a result, the EBA Grains and Oilseeds Committee notes, the situation has become critical:
- export activity has virtually stopped, with ships idle in ports;
- mixed batches of grain cannot be processed promptly;
- farmers and exporters suffer losses every day;
- the state loses foreign exchange earnings and the trust of international partners;
- the accumulation of ships in ports creates serious security risks.
In addition, according to the EBA experts, the imposed duties contradict Article 31 of the EU-Ukraine Association Agreement, which prohibits any restrictive measures on exports.
The agricultural sector remains a key driver of the Ukrainian economy: last year alone, it generated $24.7 billion in export earnings, accounting for 59% of all Ukrainian exports.
EBA has already sent official letters to the Prime Minister Yulia Sviridenko, Chairman of the Verkhovna Rada Ruslan Stefanchukas well as relevant ministries and parliamentary committees.
In them, the EBA calls for the abolition of the duty and the regulation of the procedure for its reimbursement for farmers who have already paid the fee.
- On September 12, the UGA reported that due to the new duty 500,000 tons of soybeans and rapeseed were left in warehouses.
Comments (0)