BRUSSELS – In response to rising concerns about the influx of Ukrainian egg imports, Zsolt Feldman, Hungary’s State Minister of Agriculture and Rural Development, has called for guarantees to address unfair competition under the European Union’s free trade agreement framework.
His remarks came during the Agriculture Council meeting in Brussels, where Bulgarian Minister of Agriculture and Food, Georgi Takhov, urged the EU to suspend Ukrainian egg imports until the single market is properly regulated.
Takhov’s request comes as Bulgaria faces a dramatic rise in egg imports from Ukraine. Over 2.6 million tons of eggs entered Bulgaria during the first half of 2024, a staggering fivefold increase compared to the same period in 2023.
This surge has led to significant economic strain on local poultry farms, many of which have gone bankrupt.
Feldman echoed Bulgaria’s concerns, emphasizing the need for the EU to protect its producers by ensuring fair competition within the single market.
“We cannot ignore the challenges faced by member states whose domestic markets are being flooded with imports under unfair conditions,” Feldman stated. “The European Union has a responsibility to balance its trade commitments with protecting its internal producers from economic harm.”
Hungary’s minister highlighted that several other EU countries have also raised similar concerns about Ukrainian imports in recent months.
He pointed out the existing autonomous trade measures (ATM) that allow for certain products to be regulated within the single market. The ATM, which remains in place until 2025, could be applied to Ukrainian eggs if necessary, Feldman argued.
The issue of Ukraine’s free trade arrangement with the EU has been a contentious one, especially in the context of the ongoing war and the economic support offered to Ukraine.
While many member states have shown solidarity with Ukraine, the impact of free trade on local agricultural sectors has sparked growing frustration among producers in countries like Bulgaria and Hungary.
Feldman also drew attention to a recent Franco-German proposal to raise the de minimis aid to 50,000 euros.
The proposal, which has already garnered support from 16 EU member states, aims to provide more financial aid to struggling enterprises without breaching state aid rules.
Feldman underscored that this level of backing from member states signals a majority within the Council, pressing the European Commission to take prompt action.
The de minimis rule allows small amounts of state aid to be distributed without requiring prior notification to the EU, with a ceiling of 300,000 euros per enterprise over three years.
Increasing the threshold would offer additional financial relief to smaller agricultural businesses that are particularly vulnerable to unfair competition from non-EU imports.
As the middle of September approaches, Feldman stressed the urgency of addressing this issue. “We must act swiftly to protect our agricultural sectors, particularly those like Bulgaria’s, which have been disproportionately affected by this influx of Ukrainian eggs.
The European Commission must consider the long-term impact on our producers and take the necessary steps to guarantee fair trade.”
With ongoing debates about the future of the EU’s free trade agreements, the matter of Ukrainian egg imports remains a point of contention that could shape future agricultural policies within the bloc.
The European Commission is expected to issue a response in the coming weeks as pressure mounts to regulate the market and protect domestic producers.