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Mechanism for authorising Romanian economic operators to import cereals from Ukraine, Moldova, in decision-making transparency
The mechanism for authorising Romanian economic operators to import wheat, maize, sunflower seeds and rapeseed from Ukraine and the Republic of Moldova was published on Tuesday in decision-making transparency on the website of the Ministry of Agriculture and Rural Development (MADR), the institution announced.
"The Ministry of Agriculture and Rural Development has posted in the decision-making transparency a draft Emergency Ordinance establishing the legal framework for imports of agricultural products from Ukraine or the Republic of Moldova, more specifically, it introduces an authorisation mechanism for Romanian economic operators to allow the import of four products: wheat, corn, sunflower seeds and rapeseed," reads the MADR press release sent on Tuesday.
The authorisation procedure requires that the economic operator with headquarters and working point(s) on the territory of Romania, who intends to import agricultural products from Ukraine or the Republic of Moldova, apply to the Ministry of Agriculture and Rural Development for the issuance of the import authorisation, based on the presentation of a document showing the need to complete stocks, as well as other necessary documents mentioned in the draft.
According to the draft, the establishment of these measures to regulate imports of agricultural products from Ukraine or the Republic of Moldova was necessary given that the war of aggression in Ukraine has had a major impact on shipping operations in Ukrainian ports on the Black Sea, from where approximately 90% of Ukraine's exports of cereals and oilseeds were made, a context in which Romania facilitated the import and transit at EU level of 65% of agricultural products of Ukrainian origin.
These, together with the indirect effects, namely the substantial increase in input prices, have now led to a situation where about 45% of Romanian farmers are unable to pay their debts for inputs and instalments due in September and October 2023 respectively, due to the very low prices received for agricultural products (wheat, barley, rapeseed, sunflower and maize), which have not covered the very high production costs.
At the same time, the operation in Romania of the solidarity corridors with Ukraine has allowed, on the one hand, the transit of products through Romania for intra-Community trade or export to third countries, a volume that totals approximately 29 million tonnes of agricultural goods in the period March 2022 - September 2023, but at the same time, it has created certain premises for unloading significant quantities in Romania, due to the fact that prices were convenient for buyers (...).
Taking into account Communication of the EU Representation in Brussels No 6583 of 18.09.2023 on the measures in the Action Plan proposed by Ukraine to avoid distortions on the markets of the 5 member countries (Bulgaria, Poland, Romania, Slovakia or Hungary) concerning the 4 products (wheat, maize, sunflower and rapeseed, (...) it is necessary to urgently regulate the legal framework for the establishment in Romania of a verification and authorisation system for the import of agricultural products from Ukraine or the Republic of Moldova, the MADR draft explains.
The European Commission put an end in September to the ban introduced by five EU member states in Eastern Europe, including Romania, on Ukrainian cereal imports, in exchange for commitments by Kyiv to take measures to control the influx of cereals to neighbouring countries. However, Poland, Slovakia and Hungary have announced that they will maintain their own restrictions on Ukrainian grain imports, despite the Commission's decision.