The EU and Ukraine will enjoy an enhanced, fair and permanent trade framework as from 29 October, as the EU-Ukraine Deep and Comprehensive Free Trade Area (DCFTA) enters into force.
The upgraded DCFTA delivers additional, mutually beneficial trade liberalisation, while taking fully into account the sensitivity of certain EU agricultural sectors. It illustrates in a very tangible way the EU’s unwavering commitment to supporting Ukraine.
At the same time, it limits EU imports of sensitive agricultural products compared to the levels under the autonomous trade measures (ATMs), enshrines a robust new safeguard clause, and provides for the alignment of Ukrainian and EU production standards.
The DCFTA will support long-term economic certainty and stable trade relations for both parties, while contributing to the gradual integration of Ukraine into the EU Single Market.
The upgraded agreement is structured around three key pillars:
- Enhanced trade flows: it strikes a balance between providing a clear framework of rules to support Ukraine’s crucial trade with the EU, while fully taking into account the sensitivities of EU agricultural sectors and stakeholders by carefully calibrating different levels of market access for specific products. For the most sensitive items, such as sugar, poultry, eggs, wheat, maize, and honey, there are only modest increases compared to the original DCFTA. For other products, enhancements have been made to benefit both sides, based on our complementary markets. And finally for certain non-sensitive products, full liberalisation has been agreed.
- Aligned production standards: new market access is conditioned to the gradual alignment of Ukraine to EU production standards, such as animal welfare, use of pesticides and veterinary medicines. Ukraine is expected to report every year on its progress in that regard. This approach is consistent with the logic of Ukraine’s EU accession process and the adoption of the EU acquis.
- A robust safeguard clause: a safeguard mechanism enabling the adoption of appropriate measures can be activated should imports of products covered by the additional liberalisation cause serious difficulties for either party. In the EU’s case, the assessment of a possible disturbance can be made at the level of one or more Member States.
Both sides have also agreed to explore measures to help Ukrainian exporters reach their traditional markets in third countries, thus providing additional commercial opportunities for Ukraine and contributing to global food security.
