International Trade Today is a service of Warren Communications News.

Upgraded Free Trade Deal Between EU and Ukraine Takes Effect

An "upgraded" version of the EU-Ukraine Deep and Comprehensive Free Trade Area entered into force Oct. 28, the European Commission announced. The deal provided updates in three areas: trade flows, production standards and safeguards.

Sign up for a free preview to unlock the rest of this article

If your job depends on informed compliance, you need International Trade Today. Delivered every business day and available any time online, only International Trade Today helps you stay current on the increasingly complex international trade regulatory environment.

Regarding trade flows, the commission said the upgraded deal "strikes a balance between providing a clear framework of rules to support Ukraine's crucial trade with the EU" and protecting the EU's agricultural sectors "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, the new deal included only "modest increases compared to the original" agreement. For other products, "enhancements have been made to benefit both sides," and for non-sensitive products, "full liberalisation has been agreed," the commission said.

As for production standards, the commission said "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." The EU said Ukraine is expected to issue yearly reports on its process in this regard.

In addition, with the safeguard clause, the EU now can impose safeguards based on disturbances in trade flows "at the level of one or more Member States," the commission said.