Ukraine the third largest chicken supplier to EU
EU chicken imports from Ukraine expected to decline
12 November 2024
2 minute read
By: Ukraine is the third largest supplier of chicken meat to the EU, according to a recent US Department of Agriculture (USDA) Global Agricultural Information Network (GAIN) report.
Russia’s illegal invasion of Ukraine in February 2022 ushered significant changes to the 2014 Deep and Comprehensive Free Trade Agreement (DCFTA) between the EU and Ukraine. The EU-Ukraine DCFTA set Tariff Rate Quotas (TRQs) for chicken parts and whole birds.
On May 30, 2022, the EU enacted EU regulation 2022/870 that established Autonomous Trade Measure (ATM) to support the Ukrainian economy. The 2022 ATM established temporary free-trade measures to supplement the trade concessions of the DCTA. Ukrainian chicken meat was made immediately eligible to enter the EU without tariffs or quotas. With this measure in place, EU chicken meat imports from Ukraine almost doubled in 2022 and further increased in 2023. However, with the surge of imports from Ukraine, the EU Council amended the ATM while also extending it until June 5, 2025.
Under the new rules, the EU Commission can act to impose any measures it deems necessary when there are significant disruptions to the EU market due to Ukrainian imports.
The new safeguard measures, designed to protect EU farmers, enable the EU to trigger emergency measures for a list of sensitive agricultural products including poultry, chicken meat and eggs. When imports of these products surpass the average of import volumes recorded in the second half of 2021, and all of 2022 and 2023 equivalent to approximately 133.000 MT, tariffs will be re-imposed.
At the same time, the Ukraine government has also set up a system of export licenses. Consequently, EU imports of Ukrainian chicken meat are expected to decline in 2024 and 2025 compared to previous years.
A significant share of the Ukrainian chicken meat exports to the EU goes to Slovakia where it is processed by a local Company named EU Poultry which has a partnership with the Ukrainian company MHP. The proximity of the Slovakian facility to the Ukrainian border has facilitated shipments of chilled chicken meat from the Ukrainian slaughterhouses. The final product can then be sold as an EU processed product, essentially bypassing the need to declare Ukrainian origin to the final consumer.
