From July 1, the trading companies of Moldova are obliged to ensure the presence on the retail shelves of at least 50% of food products produced in their country. This angered the Ukrainian Fruit and Vegetable Association (UPOA), which called the changes in Moldovan legislation “protectionist”.
In their opinion, this decision puts pressure on producers in other countries, in particular, "limits opportunities for Ukrainian producers of vegetables and potatoes."
“Under such conditions, Ukrainian products, in particular vegetable group and potatoes, will remain in non-competitive conditions when exported to the Moldovan market,” the UPOA said.
The Ministry of Economy, Trade and Agriculture of Ukraine noted that such actions of Chisinau can be considered as "a violation of the national regime in relation to internal taxation and regulation and can harm Ukrainian exporters." The department clarified that about 338 tariff lines fall under the law, including: fruits and vegetables, dairy and meat products, oils and sauces, non-alcoholic and alcoholic drinks, as well as frozen foods.
“If we look at the terms of validity of the tomatoes to be sold, for example, Moldovan tomatoes, they are set for the period from May 15 to October 31. That is, when Ukrainian producers can supply their products to the Moldovan market. At the same time, they find themselves in previously uncompetitive conditions with local products, and it is clear that the Ukrainian exporter loses from this. For Ukrainian producers, Moldova is the only market for selling volumes of potatoes, especially washed ones, ”the Ukrainian Fruit and Vegetable Association concluded.
As a reminder, amendments to the legislation of the Republic of Moldova were introduced by the parliament back in December 2020. The list of products subject to the provisions of the new law must be updated annually and approved by the government of the Republic of Moldova. In this regard, on March 30, the Secretariat of the Economic Council under the Prime Minister of Moldova initiated consultations with local manufacturers on the preparation of such a list.