25 leading business associations publicly appealed to President, of the Prime Minister and the Chairman of the Verkhovna Rada of Ukraine with a call for the urgent cancellation of the additional import tax. To appeal committee entrepreneurs joined the Chamber of Commerce Ukraine.

Action additional import duty to the end 2015 year would reduce real GDP in Ukraine 6%, and gross value added in the domestic sectors of the economy on average 18,5%. These results showed a simulation system Global Trade Analysis Project (GTAP), SRI carried State Informatization and Economic Modeling.

In addition, expected negative tax effect due to a shortfall in tax on domestic enterprises to the amount 36,3 billion. hryvnias and an increase in domestic product prices on average by 9,4%, and export prices for domestic products on 7,4%. GTAP modeling has confirmed the actual results of the industry, representing the signatories of the appeal.

Therefore, Ukrainian producers demanded to cancel the additional import fee in the amount of 10% for agri-food products and 5% on other products. The introduction of an additional import duty was not accompanied by thorough calculation of its negative effects, and the amount was quite conditional - the amount of the additional import duty (5% and 10%) in many cases exceeds the standard import duty, contrary to economic logic.

Additional import duty is not a significant factor restricting imports, but rather, due to lower competitiveness of domestic producers on foreign markets, leads to a drop in exports and loss of Ukrainian positions in traditional sales markets.

Each subsequent month of the additional import duty reduces the chances of Ukrainian technological products processed in the competition on the foreign and domestic markets. In such circumstances, is economically attractive production of raw materials, compared to high technology, high-tech products with great degree of processing.

Thus, establishes additional import duty status, as agro-raw appendage.

Full Text attached

RBC Ukraine

17.06.2015

Additional import fee: state regulation against the real economy

…

Association President “Ukrkondprom” Alexander told Baldynyuk, that restrictive government measures have led to the punch by products with advanced processing, mainly export-oriented, in particular, and the EU.

among the goods, covered by an import fee, there are raw materials and equipment, which are not produced and can not be produced in Ukraine, but used Ukrainian confectioners – cocoa beans, coconuts, almond, flavors, packaging machinery and spare parts.

Generally, 40-70% in the manufacture of confectionery products takes imported raw materials.

“Ukraine has complicated access to raw materials, and effort on our exports, which brings currency into the country, – Archive Baldınyuk. – This year we see a decline in exports to our traditional markets, accounting 20-50% exports. it Azerbaijan, Belarus, Kyrgyzstan, Tajikistan, Moldova. It is difficult to explain the war and relations with Russia. Russia does not prevent us to export to Moldova and Belarus”.

Baldynyuk forecasts, that the result of the collection can be a drop in production of almost 40 thousand. tons per year, or 2,7 bn, staff reduction to about 4,5 thousand. person (already 1,5 thousand. fired). And reduced payments to the budget.

“The government must understand, now collected 8 bn, not glean in longer term. If you kill the enterprise, with whom they will collect taxes. Never such a crisis in the industry was not, even in the dashing 90-ies”, – said businessman.

To collect the problem is added to the growth of production costs (flour group – by 80-90% c 2014-2015 years, chocolate saharystaya group – 110-120%), unrecovered VAT (debt to the industry on 1 April – more 200 million), exchange control.

…

Author Natalia Nepryakhin

View full article

This is stated in a note lapping, trained staff scientific institution specified.

Institute of Economics and Forecasting of NAS of Ukraine considers it appropriate to cancel an additional fee imortnyy the following reasons:

– collection contradicts Ukraine Association Agreement with the EU;

– fee violates the requirements of WTO, which could lead to sanctions by other countries in relation to domestic products;

– collection has a negative impact on the economic activity of domestic producers.

The full version of the memorandum can be found here.

11 June in Geneva to be held a regular meeting of the WTO tariff committee. It will be a continuation of this year's April Ukraine talks regarding the introduction of an additional import duty. It was introduced by order of the Cabinet of Ministers 16 February 2015 in size 10% for agri-food products and 5% - the promyslovi.Tse decision caused sharp criticism from many foreign and domestic experts, business. Discussions around this issue and still tochatsya.

See scan-copy paper.

Original article posted in the newspaper “Voice of Ukraine” for link.

ATTENTION manufacturers and suppliers FOOD

Please be advised Rules of professional ethics in the relationship between retail chains, that operate in the retail trade in non-specialized stores foodstuffs, and suppliers.

These Rules are based on the legislation of EU countries, defining such practices, in particular Directive 2011/7 / EC of the European Parliament and of the Council "On Combating delays payments in commercial transactions", Resolution of the European Parliament 11 December 2013 y. "Action Plan in the retail trade in Europe", Communication from the Commission on 13 January 2013 y. "Action Plan in the retail trade in Europe", «Green Paper» European Commission on unfair trade practices between suppliers and retail chains 2013 y. and other EU legislation and WTO in the relationship between suppliers and retailers in the food market.

The purpose of the development and adoption of these rules is to increase competition, promoting investment and innovation, in particular by preventing the practice of shifting costs and risks incurred on the weaker side, excessive pressure on these parties in the relationship between suppliers and retail chains, that operate in retail trade mainly in food products.

The rules are also published on the website of the Chamber of Commerce and Industry of Ukraine for public discussion and the provision of proposals directly to manufacturers and suppliers of food products.