In article it is reported about strategic objectives of Ukraine at accession to WTO as the states with a considerable export potential of agricultural industry, and also about public policy measures on the basis of the analysis of advantages and risks for agricultural industry from participation in the WTO.
Access on the market agricultural and foodstuff
One of the main spheres of the Agreement on agricultural industry on which member countries of the WTO assume obligations, is it is available domestic market of agricultural production.
Result of performance by Ukraine of obligations on access on the market agricultural and foodstuff becomes not only simplification of access of nonresidents on domestic market of the country, but also the Ukrainian producers on foreign markets.
At the expense of bigger openness of the markets of the countries – members of the WTO, for exporters of the Ukrainian agricultural products new possibilities in the world markets in the long term will open.
Participation in the WTO is strategically convenient to Ukraine as to the state with a considerable export potential of agricultural industry:
§ accession to WTO will accelerate conclusion of agreement about free trade between
Ukraine and EU that will assist simplification of access of the Ukrainian agricultural production on the markets of EU countries;
§ liberalization of a mode of access of the Ukrainian exporters to foreign markets
becomes a revival factor in exportooriyentirovanny areas of economy, including – agricultural industry;
§ liberalization of a mode of access of the Ukrainian exporters to foreign markets
becomes a factor of acceleration of structural reforms in agrarian sector which will assist growth of competitiveness of national producers;
§ in long-term prospect participation in the WTO will bring advantages to the countries –
to exporters of agricultural production with limited financial possibilities of subsidizing of export to which Ukraine belongs also. As a result of implementation of requirements of the WTO about gradual decrease in protection of domestic markets and decrease in level of export subsidies there is a growth and stabilization of the world prices almost on all agricultural goods;
§ result of price stabilization on external, and then and on internal agroprodo-
the volstvenny markets there will be a decrease in tactical uncertainty in these markets. Agricultural producers can more effectively and distribute more rationally the resources that, in turn, becomes a positive factor of development of the domestic agrofood market;
The agreement on agricultural industry provided reforming continuation
international trade. Thus, Ukraine will have an opportunity realization of the current and strategic trade and economic interests by participation in multilateral trading agreements when developing new rules of international trade. As to the exporter of agricultural production with limited possibilities of subsidizing of export it will be convenient to Ukraine to join Kernsky group of the leading countries, liberally adjusted exporters of agricultural products - Australia, New Zealand, Canada and other countries – the exporters of grain interested in restriction of protectionist actions in agrarian sector.
Whether will facilitate WTO membership work of the Ukrainian exporters in the world markets?
The important aspect connected with WTO membership – this introduction of sanitary and fytosanitory actions. Periodic fytosanitory scandals essentially complicate work of the Ukrainian exporters of agricultural production in foreign markets. The greatest resonance got scandals in Canada and France in 2003 when forbade unloading of the Ukrainian fodder wheat owing to what there was a preconvinced relation to the Ukrainian grain and on other sales markets. There were cases of identification of pollution antibiotics of powdered milk which intended for export in ES.Preobladayushhaya a part of raw materials for this party arrived on milk plants from small producers.
Members of the WTO recognize sanitary and fytosanitory standards of other members as equivalent in case the exporter shows to the importer that his actions reach appropriate level of sanitary or fytosanitory protection. As a result, the Ukrainian exporters of agricultural products receive the tool against prejudiced application of sanitary and fytosanitory standards.
The analysis of advantages and risks for agricultural industry of Ukraine from participation in the WTO allows to reduce considerably risks, to neutralize possible negative consequences, to accelerate realization of advantages from liberalization of trading modes and to define the public policy directions:
• increase of competitiveness of national producers at the expense of improvement of quality and safety of production by introduction of the international quality standards;
• export promotion for the purpose of expansion of foreign markets of sale for the Ukrainian exporters;
• stimulation of internal demand for the food;
• assistance to growth of competitiveness of domestic producers in domestic and foreign markets by carrying out restructuring of unprofitable agricultural enterprises, effective state regulation of the agrarian markets and use of mechanisms of support of agricultural producers;
• assistance to development of the rural zone, to active use of advantages of "a green basket" WTO.
Participation in the WTO will assist acceleration and the most effective realization of the specified directions of an agrarian policy which, in turn, will work for preparation of agrarian sector of Ukraine for realization of eurointegration intentions.
On materials:
T.A.Ostashko Agricultural industry in the conditions of the WTO, Institute of Rural Development.