The Government in Bucharest has promised to help farmers affected by instability on the grain market.
Many pundits are already talking about a so-called „geopolitics of grain” developing on Ukraine’s western borders. As early as May 2022, the EU had suspended customs duties on all products imported from Ukraine. This country’s neighbors reported a massive flow of corn, wheat or sunflower. Granaries were overstocked and local prices plummeted, which sparked farmers’ anger. Romania is the only neighbor of Ukraine to allow grain imports from this country. Poland and Slovakia, two otherwise staunch supporters of Kyiv, have banned Ukrainian grain imports to protect local farmers. According to Radio Romania’s correspondent in Sofia, the main reason is that, despite the existence of so-called „solidarity corridors”, in the last year Ukraine had difficulties exporting significant volumes of foodstuffs, which disrupted production and trade chains.
A traditionally Russian-friendly country and currently on bitter terms with Ukraine, Hungary too banned the imports of honey and certain meats from Ukraine until June 30. Romanian farmers, who in turn have protested the current situation, claim their losses exceed €200 million due to the imports of cut-rate grain from neighboring Ukraine, which sells at approximately €100 per ton. Facing the growing discontentment of its citizens but also wary of angering Brussels, the Romanian government promises to compensate farmers. Officials have announced a €10-milllion package addressing affected farmers. This adds to the €10 million disbursed so far by the European Commission, raising total assistance to €20 million, designed to offset expenses related to stockpiling last year’s yield. Farmers can file the necessary documents at the Agriculture Payments and Intervention Agency, 15 days after the decision is published in the Official Gazette. Asked if lawmakers plan on temporarily banning Ukrainian grain imports, government spokesman Dan Cărbunaru said Romania has chosen to comply with European legislation, which places it in a position to bargain. Meanwhile, the European Commission has announced an additional assistance package for farmers worth €100 million, which will be divided among the five affected countries.
(Bogdan Matei, Radio Romania International)
