Ukraine abolishes special duty on rose imports

The Interdepartmental Commission on International Trade (ICIT) has abolished the special duty measures in force in Ukraine for the import of fresh-cut roses, regardless of their country of origin and export.

As noted in the ICIT decision of 20 May, which came into force on 22 May and was published in the Uriadovy Kurier newspaper on 12 April 2024, Askania-Flora LLC proposed to extend the special duty on the import of roses to Ukraine, introduced three years ago: the amount of the duty in the first year of its operation – 56 per cent, in the second – 44.8 per cent and in the third – 35.84 per cent.

The ICIT found that the volume of imports of fresh roses has significantly decreased over the three years of the special duty after reviewing the report provided by the Ministry of Economy (economic code 0 603 11 00). This decrease is not due to unpredictable circumstances leading to an increase in imports but rather to factors of probable threat due to the presence of significant export potential that can be redirected to Ukraine. There are other factors in the domestic market related to the military aggression of Russia against Ukraine, the conduct of hostilities on the territory of Ukraine and the difficulties faced by the domestic industry (changes in logistics, energy instability, imbalance in foreign exchange markets, and other factors).

The Ministry of Economy confirmed that import prices remain below the selling price and cost of similar goods on the domestic market.

Simultaneously, key financial and economic indicators of national manufacturers, such as increased profitability and production capacity, are showing improvement, signalling a hopeful future for the industry.

In this regard, the ICIT completed a review of special measures for importing fresh roses to Ukraine (economic code 0603 11 00) and decided not to extend them.

⋅ Read more on the Netherlands Ministry of Agriculture website on this link.