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Why have Poland and Hungary banned grain imports from Ukraine?

Posted on April, 18, 2023 at 07:44 am


The war in Russia-Ukraine continues to rage on and after over 400 days cracks continue to appear in the Western solidarity to Kyiv. First it was France’s Emmanuel Macron with his comments on China and Taiwan and now it is Poland and Hungary.

Over the weekend, both the European nations announced that they were banning imports of grain and other food from neighbouring Ukraine and that the bans would continue until 30 June.

What is the reason for such a move? How does it impact the ongoing war? We take a closer look and give you all the answers.

Food grain ban

On Saturday, leader of Poland’s governing party, Jarosław Kaczyński, said, “Today, the government has decided on a regulation that prohibits the importation of grain, but also dozens of other types of food, to Poland.”

Otherwise “it would lead to a far-reaching crisis of Poland’s farming sector… We have to protect Polish agriculture,” he added. Speaking at a convention of his right-wing Law and Justice (PiS) party in the northern village of Lyse, Kaczyński stressed that Poland remained a staunch supporter of neighbouring Ukraine. “We remain, without even the slightest change, friends and allies of Ukraine,” he said.

Poland has been a vocal and active supporter of Ukraine during the war, handing over tanks and pledging fighter jets to the country.

Also read: What is the grain deal Russia has suspended? What does this mean for the world?

The government announced that the ban on imports would last until June 30 and includes a prohibition on imports of sugar, eggs, meat, milk and other dairy products and fruits and vegetables.

Polish agriculture minister Robert Telus was also quoted as saying, “The increasing imports of agricultural products from Ukraine cause serious disturbances in the markets of our countries, great damage to producers and social unrest. We cannot accept a situation where the entire burden of dealing with increased imports rests mainly with farmers from our countries.”

On Sunday, the country’s Economic Development and Technology Minister Waldemar Buda clarified that the ban applied to goods in transit as well as those staying in Poland.

Following in Poland’s footsteps, Hungary too announced that they would be banning the import of agricultural products from Ukraine. Minister of Agriculture Istvan Nagy took to Facebook to announce the ban, saying that the Hungarian government is committed to representing the interests of its farming community.

It further added that the continuation of the current domestic market processes would cause serious damage to Hungarian agriculture, so “extraordinary measures must be put in place to hinder them.”

Why the bans though

The bans are a result of the Russia-Ukraine war. When Vladimir Putin-led Russia invaded Ukraine last year in February it blocked ports and sea routes used to export Ukrainian grain to Africa and the Middle East.

One must understand that Ukraine is called the bread basket of the world, exporting food grains across the globe. In fact, when Moscow initially blocked the ports, food prices had risen drastically causing food shortages.

Fearing the worst consequences, the European Union then lifted duties on grain from Ukraine to ease distribution to those global markets. However, instead of the grain transiting seamlessly onto global markets, it has remained in Poland and caused a grain glut.

Also read: From Argentina to Turkey, countries that have stopped overseas food trade

This grain glut has brought down the prices drastically, causing massive losses to the Polish farming community. The farmers in Poland, who make up a significant number, have expressed their anger over the Ukraine grain. Earlier in the month, farmers took to the streets protesting the grain glut as Ukraine president Volodymyr Zelenskyy made his way to Warsaw.

On 12 April, farmers attempted to blockade the rail line on the border with Ukraine, but a cordon of police cars prevented them from doing so. The waves of protests also led to Polish agriculture minister Henryk Kowalczyk to resign.

The issue has become a headache for the Polish government in an election year. Polls show that it is the most popular party in the country but could fall short of a majority in the next parliament. It faces a particular challenge from a far-right party, Confederation, which combines libertarian and nationalist views and which contains some members seen as sympathetic to Russia. The party has grown to be the third-most popular party in some polls.

And it’s not just Poland that is voicing displeasure about the Ukraine grain glut. Bulgaria has also voiced its displeasure with the Agriculture Minister Yavor Gechev being quoted by CNN as saying, “Bulgaria is in solidarity with Ukraine, but a local glut is being created on the agricultural market, because instead of export corridors our countries are becoming warehouses.”

Crying foul over ban

Reacting to the news of the ban, Ukraine said the move contradicts bilateral trade agreements. A statement by Ukraine’s agriculture ministry said it had “always been sympathetic to the situation in the Polish agricultural sector and responded promptly to various challenges”.

“At present, unilateral drastic actions will not accelerate the positive resolution of the situation,” it added.

The European Commission voiced its displeasure over Warsaw and Budapest’s decision. Miriam Garcia Ferrer, commission spokesperson for trade and agriculture, was quoted by the Financial Times as saying: “Trade policy is of EU exclusive competence and, therefore, unilateral actions are not acceptable. In such challenging times, it is crucial to co-ordinate and align all decisions within the EU.”

Cracks in the alliance

The tensions over grains is at odds with these countries’ political position on Ukraine, barring Hungary. Most of the nations have supported Kyiv in its war against Moscow. Poland has taken in millions of Ukrainian refugees, while weapons and ammunition flow in the opposite direction; Romania has helped transport millions of tons of Ukrainian corn and wheat.

This change of heart has been noticed by Western governments with one official telling Politico, “Curious to see that some of these countries are (always) asking for more on sanctions, more on ammunition, etc. But when it affects them, they turn to Brussels begging for financial support.”

This comes on the heels of French president Emmanuel Macron’s ‘an ally not a vassal’ remark in connection to Taiwan. The comment irked Europe as it displayed the fault lines in the alliance.

One Member of European Parliament said that the French leader did not speak for the EU. “Macron says, ‘Europe should’ and ‘we Europeans’, but he speaks for France, he can’t really speak for Europe.”

Norbert Röttgen, a German centre-right MP who is a member and former chair of the Bundestag’s foreign affairs committee, told The Guardian that Macron had turned his trip to China into “a PR coup for Xi and a foreign policy disaster” for Europe. “With his idea of sovereignty, which he defines in demarcation rather than partnership with the USA, he is increasingly isolating himself in Europe.”

We don’t know what will happen next, but it is obvious that the drawn-out war is wearing thin on Europe.

Source: First Post