The Verkhovna Rada’s Temporary Investigation Commission on Investor Rights Protection insists that customs and law enforcement agencies respond to the situation with Ukraine’s import of roses, 95% of which cross the border illegally, said the chair of the Temporary Investigation Commission, People’s Deputy (Servant of the People) Galina Yanchenko.
“Flower mafia”: 95% of imported roses in Ukraine are brought in illegally. As a parliamentary special commission, we demand a response to this problem from customs and law enforcement agencies,” she wrote on her Facebook page.
According to Yanchenko, on Wednesday, the Temporary Investigation Commission held a meeting on the protection of investors’ rights, dedicated to the situation with flower smuggling.
“Miracles” really do happen with roses entering Ukraine. Six months ago, after receiving complaints from businesses, we compared Ukrainian customs data with European databases and saw systematic abuses: massive underestimation of customs value, budget losses of more than UAH 600 million over three years, and the destruction of domestic producers through smuggling and dumping. In other words, we are not just dealing with customs schemes, but an attempt to kill Ukrainian floriculture,” the MP noted.
Yanchenko said that the materials collected by the Temporary Investigation Commission have already formed the basis of criminal proceedings by the Economic Security Bureau, with preliminary estimates of at least UAH 100 million in abuses.
“But this is not enough. We expect real investigations and the perpetrators to be brought to justice. If the situation does not change, we will join forces with law enforcement agencies to conduct joint raids and inspections of suspicious cargo at customs,” warned the chair of the Temporary Investigation Commission, reminding everyone that every hryvnia counts during wartime.
The Temporary Investigation Commission meeting was attended by representatives of the State Customs Service, the Economic Security Bureau, the State Bureau of Investigation, the Office of the Prosecutor General, as well as Ukrainian manufacturers and importers.
As reported, in 2021, Ukraine introduced a special duty on imports of cut fresh roses for three years, regardless of the country of origin and export. The duty rate in the first year of its operation was 56%, in the second – 44.8%, and in the third – 35.84%.
Based on the results of the duty’s impact provided by the Ministry of Economy, the Interdepartmental Commission on International Trade (ICIT) concluded that the application of special measures had a positive effect on the activities of domestic producers, but did not completely eliminate the consequences of the damage caused to them. Therefore, recommendations to extend the duty have been submitted to the ministry.
