News

Turkey and Ukraine are preparing an agreement that will affect product prices

Turkiye
Ukraine
Regulation & Compliances
Market & Price Trends
Published Mar 3, 2024

Tridge summary

Turkey is expected to reduce its import duty on Ukrainian milk by half, from 176%, following the establishment of a free trade zone with Ukraine. Despite this, Ukrainian milk will still be subject to taxation by Turkey. The cost of Ukrainian goods in Turkish stores will decrease more significantly than Turkish products in Ukrainian stores. Despite resistance from Turkish manufacturers, both nations have politically agreed to ratify the free trade zone. Changes to the Agreement are anticipated, but key stakeholders are not included in the discussions.
Disclaimer: The above summary was generated by a state-of-the-art LLM model and is intended for informational purposes only. It is recommended that readers refer to the original article for more context.

Original content

According to experts, Turkey's import duty on Ukrainian milk is 176%, but after the introduction of a free trade zone with Ukraine, the rate should be halved. This is reported by UNIAN. Analysts are sure that under such conditions Turkish milk will enter Ukraine almost freely, but Ukrainian milk will be taxed by the Turks even under conditions of free trade. In percentage terms, Turkey lowers rates more than Ukraine. Experts note that the final cost of Ukrainian goods for the consumer in a Turkish store decreases much more noticeably than for Turkish products in a Ukrainian store. After the tariff reduction, Turkish goods will become cheaper in Ukraine by 5% on average, and Ukrainian goods for Turks by almost 20%. Turkish manufacturers who oppose the Agreement draw attention to this. However, most analysts are sure that both countries have made a political decision to ratify the free trade zone and are only seeking to renew it. Market participants report that they plan to add ...
Source: Agropolit
By clicking “Accept Cookies,” I agree to provide cookies for statistical and personalized preference purposes. To learn more about our cookies, please read our Privacy Policy.