Ukraine exported 1,650 tonnes of cheese in January-April 2020, which is 31.7% less than in the same period in 2019.
According to the State Customs Service, in monetary terms exports decreased by 26.4% and amounted to $6.38 million.
The import of cheese grew 2.4 times, to 13,110 tonnes, in money terms 2.2 times, to $57.86 million for the first four months of 2020.
The export of Ukrainian butter decreased by 44.5%, to 4,130 tonnes, in money terms by 37.5%, to $19.18 million. The import of this product amounted to 4,120 tonnes ($16.89 million) in the reporting period against 377 tonnes ($2.33 million) in January-April 2019.
According to the service, the export of milk and cream (condensed) decreased by 34.2%, to 6,490 tonnes for the first four months of 2020. Ukraine supplied condensed milk and cream totaling $13.9 million, which is 29.5% lower than in January-April 2019. The import of this group of goods grew 2.2 times, to 1,410 tonnes, in money terms by 2.5 times, to $3.3 million.
The decision of the European Commission to increase import duties for maize from EUR 5.27 to EUR 10.40 per tonne is not a threat to export of Ukrainian maize, Prse of the Ukrainian Grain Association (UGA) Mykola Horbachev has said.
“Changing the duties for maize is exclusively the market mechanism for protecting the domestic market, and not an administrative one. So, when the price for maize on the exchange grows, the duty is leveled, and when it falls, the duty increases. This practice works automatically and is not something new for the market, after all, at least it have existed for the past 20 years, or even more,” he told Interfax-Ukraine.
The president of the UGA said that in Ukraine the potential for the export of maize has actually been exhausted in the current agricultural year.
“Today, about 26 million tonnes out of the expected 29-30 million tonnes have been exported. Thus, Ukraine has already managed to supply most of maize to the EU,” Horbachev said.
This decision will also not have an impact on maize exports in the next season, as crop prices may increase with a new crop. The association said that share of the total Ukrainian maize exports to the EU is about 45%. To date, Ukraine has already supplied about 10.5 million tonnes of maize to the EU.
The European Commission from April 27, 2020 fixed the import duties in the cereals sector. The import duties for maize, sorghum and rye are now fixed at EUR 5.27 per tonne and the automatic calculation lead to a new figure of EUR 10.40 per tonne on May 6.
Ukraine in January-March 2020 exported 1,210 tonnes of cheese, which is 26.5% less than in the same period in 2019.
According to the State Customs Service, in monetary terms exports decreased by 20.3% and amounted to $4.67 million.
The import of cheese in the first quarter of 2020 grew by 2.5 times, to 10,210 tonnes, in monetary terms 2.4 times, to $45.2 million.
Export of Ukrainian butter decreased by 47.4%, to 3,100 tonnes, in money terms by 39.3%, to $14.48 million. Import of the products in the reporting period amounted to 2,790 tonnes ($12.03 million) compared to 211 tonnes ($1.44 million) for the first quarter of 2019.
According to the service, the export of milk and cream (condensed) decreased by 25.3%, to 4,450 tonnes in the first three months of 2020. Ukraine supplied condensed milk and cream for a total of $10 million, which is 11.8% lower than in January-March 2019. Imports of the goods grew by 2.2 times, to 1,030 tonnes, in money terms 2.5 times, to $2.39 million.
The duty of 65% on coal imported from the Russian Federation to Ukraine with some exceptions is imposed from April 15, 2020, according to government resolution No. 261 dated March 18.
The exception is anthracite coal, bituminous coal and coking coal for metal industry, as well as lean coal for companies generating electricity and heat.
The imposition of the duty on imported electricity earlier announced at the government meeting is not envisaged in the document.
Structure of import of services to Ukraine in 2019 (graphically)
The Cabinet of Ministers proposes to the Verkhovna Rada to adopt the bill “On Amending the Customs Tariff of Ukraine regarding the temporary application of import duty rates on certain types of grain crops.”
Relevant bill No. 3310 was registered in parliament on April 7, 2020.
The text of the bill is not yet available on the Rada’s website. However, an informed source on the market, explained in a comment to Interfax-Ukraine that it was about canceling duties on the import of vegetables and cereals before July 1.