Association of confectionery, krohmalopatokovoyi and food concentrates industries "Ukrkondprom" one time signed a memorandum with the Ministry of Economic Development and Agricultural Ministry on joint participation in the development of future trade provisions of the EU market, particularly in terms of FTA.

It said the head of the Association Alexander Baldynyuk in exclusive comments to UKRINFORM, predicting possible implications for the industry signing Association Agreement Ukraine – EU.

"And some progress has been made, to balance the current situation. Ultimately, it was necessary to build "zero for zero" import duty on confections, operating in our country and the EU, as existing terms of trade with the confectionery Member States only unfair to Ukraine. European import duties on confectionery reach 40-50%, whereas the relevant Ukrainian 5-10%, ", – said the source.

According to him, since the beginning of this year, the EU increased its exports of confectionery products and significantly increased its share in the Ukrainian market presence. At the same time stated Baldynyuk, that today the draft Agreement on Free Trade Area with the EU liberalized customs regime provides for three groups of confectionery – sugar, flour and chocolate.

He said, that domestic confectionery industry today is increasingly shifting a phase of qualitative growth and it is ready to compete in European markets. "Industry is developing in a highly competitive domestic and foreign, enabling management to continually improve processes and ensure high international standards of product quality. And the competition, is known, such a thing, which leaves afloat best, at that, that weighty power of domestic producers protects us from lower quality imports. This conclusion: we are able not only to satisfy their own appetites, but "sweeten" life in the same Europeans ", – sums up the president "Ukrkondpromu".

The EU market, he said, has the greatest potential for increasing the supply of Ukrainian confectionery. Its volume is estimated at 40 billion euros, whereas the volume of our traditional market – Customs Union – is only 3 billion euros. so, concludes expert, occupation of domestic enterprises, even small niche market will mean a significant increase in domestic production of confectionery products. Currently, the cause of deterring entry into the European market is extremely high import duties, added Baldynyuk.

Continuing the theme expert said, that crucial for the confectionery industry in Ukraine is the signing of a Free Trade Area with the EU, as this will positively affect the output and export of domestic confectionery, what, in turn, corresponding increase tax revenues to local and state budget of Ukraine. In addition, opening of European markets will diversify exports Ukrainian confectionery enterprises, that is strategically important due to the systematic application of the Customs Union hard and unreasonable administrative barriers against our products.

For arguments heads of associations, enterprise sector are active users of national agricultural products – sugar, flour, krohmalopatoky, milk etc., and the basis of the export of processed agricultural products the country. Ukrainian confectioners and manufacturers of starch provide a significant amount of foreign exchange earnings, exporting products to more than 50 countries.

"Our company annually invest in the development of the industry heavily. The leading confectioneries made full modernization, established the most advanced production lines. Significantly improved manufacturability and naukomistkist enterprises ", – concluded Baldynyuk.

According to the State Statistics, Last year the volume of Ukrainian exports reached kondpromu $1 billion 100 million.

Valery Bar, KIEV. 8 July 2013 year.

Ukrinform