The farmers in Poland and Bulgaria have been protesting over the falling prices of grains due to the inflow of huge amounts of Ukrainian produce. The farmers blame the market glut from Ukraine’s grain that has flooded their markets for the decrease in prices. Ukraine’s normal transport routes through the Black Sea are blocked due to Russia’s invasion, which has resulted in an increase in exports of grain by road and rail through Poland and other neighboring countries.
The European Union has waived customs duties and import quotas to facilitate the transport of Ukrainian grain through Romania, Bulgaria, and Poland to markets that had counted on these deliveries. However, farmers in transit countries suffer financial losses because the promised out-channels are not working as planned. EU leaders have agreed to ask the European Commission for immediate action on the issue.
To meet the farmers’ demands, Poland’s Agriculture Minister has promised financial support and easier rules for constructing grain storage. After talks with farmer organizations, he agreed on more than $277 million in compensation to farmers and subsidies for companies transporting the grain to ports. The Polish government supported the transport of grain through its territory with an assurance that it was intended for export elsewhere and would not enter their local market.
Bulgaria’s farmers began a three-day blockade of main checkpoints on the border with Romania to protest tariff-free imports of Ukrainian grain. Brussels offered a total of $61 million in compensation to affected farmers, but protesters say the amounts are insufficient. Some farmer leaders called for the Agriculture Minister’s resignation.
Poland’s Prime Minister, Mateusz Morawiecki, said grain from Ukraine was “destabilizing our market” and steps should be taken to urgently export it while reducing imports from Ukraine. Agriculture Minister Kowalczyk blamed falling grain prices on a worldwide trend but admitted that the original plan to transit grain through Poland did not go exactly as expected. Poland aims to limit entry of Ukrainian grain to its market, but also wants to help Ukraine; however, they have a serious problem with their own farmers and Polish agriculture.
Brussels has offered compensation to affected farmers. Support measures worth €56.3 million were announced for Bulgarian, Polish, and Romanian farmers in response to concerns about increased imports of Ukrainian cereals and oilseeds on local markets.
The opposition parties criticize the government for not using a bill on the protection of Polish agriculture. The farming industry is an essential part of Poland’s economy, and farmers claim that Ukrainian grain floods the market, decreasing prices. This causes hardship for farmers who cannot compete with the low prices.
In conclusion, the inflow of Ukrainian produce has caused significant disruption to the agriculture industry in Poland and Bulgaria. The farmers’ protests over falling prices continue as they demand financial support and easier rules for constructing grain storage facilities. Compensations have been offered, but some believe they are insufficient. The government is taking steps to reduce imports while increasing exports; however, this issue is complex and requires careful handling.
Image Source: Wikimedia Commons
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