Europe-Ukraine agreement boosts trade cooperation

The States of the European Free Trade Association (EFTA) and Ukraine recently signed a trade agreement to reinforce trade relations by offering the European countries involved - Switzerland, Iceland, Liechtenstein and Norway - a foreseeable framework for the commercialisation of different products.

 

For Norway, specifically, fish and shellfish are the main products that are exported to Ukraine. Last year, these products represented 93% of their sales to that country.

 

"The agreement is important because it guarantees the Norwegian exporters and investors increased predictability and better conditions in a large and nearby market. The agreement will help to increase added value and assure job posts in Norway," said Trond Giske, Norwegian minister of trade and industry.

 

For the parties, it is crucial to commit to the non-use implicit in antidumping measures and that the agreement puts forth the control of veterinary and phytosanitary issues.

 

A mixed commission will supervise the operation of the agreement, which will enter into use following its approval by part the parliaments of the EFTA States and Ukraine.

 

Talks between both parties began in April 2009 and finalised after five rounds of negotiation.

 

While the agreement is in force, the Ukraine will eliminate its tariffs and the EFTA States will suppress customs rights on all manufactured goods.

 

Ukraine will also offer Norwegian investors the same treatment it does its citizens.

 

In 2009, EFTA countries exported US$578 million worth to Ukraine and imported US$138 million in return.

 

So far, a total of 21 free-trade agreements have been signed with a total of 30 nation partners outside the EU.