Import duties are a major obstacle to exporting margarines to the EU

According to Ruslan Zagrebelny, B2B Commercial Director for the oil-and-fat products of “Delta Wilmar CIS” LLC, imposing a 10% duty on import in 2015 for the goods used in manufacture of margarines greatly reduced the competitive advantages of the Ukrainian products in the European market. “If at the end of 2014 we set a goal to export over 1,400 tons of margarines to Poland within January-December 2015, then as early as in January we had to lower our sights to 800 tons. The price policy factor took a backseat. Nevertheless, the buyers’ interest to our products is kept up due to its high quality indicators,” – added Ruslan Zahrebelnyi. “Delta Wilmar CIS” LLC has always strictly adhered to all the manufacturing standards at its facilities, which allows making margarines without any transfats and preservatives.

It is a reminder that the Law of Ukraine “On Measures to Stabilize the Balance of Payments of Ukraine as per Article XII of General Agreement on Tariffs and Trade 1994” came into force on January 1, 2015. Under the above law, a 10% duty on import was imposed for the goods of 1-24 commodity groups, and a 5% duty on import for the goods of 25-97 commodity groups, in accordance with the Ukrainian Customs Commodity Classification Codes for Foreign Trade. The company has a full understanding of the need of imposing such measures, but still hopes that this restriction will last only a year.