Czech Business Today
Association Agreement With Ukraine
The European Parliament gave its consent to the EU-Ukraine Association agreement on 16th September, ratified right after by the Ukraine’s parliament. By 2016 the free trade part of the Agreement should come into force. The agreement brings better opportunities for Czech export since the Czech Republic is the 5th largest EU exporter to Ukraine.
According to the European Affairs Department at the Czech Government ́s Office, Czech exporters could save about 450 million CZK a year by reducing the tariffs as established in the Agreement. Moreover the Czech exporters could earn 900 million CZK more by reducing the non-tariff barriers. The Agreement could also have a positive effect on employment since it would bring 1700 new jobs. Nevertheless, 127 MEPs voted in Strasbourg against the Agreement, including the Czech MEPs Petr Mach (EFDD) and Miloslav Ransdorf (GUE/NGL) who claim that the Association Agreement between the EU and Ukraine is disadvantageous for Ukraine, because Ukraine is not ready to fulfill conditions that are settled in the Agreement. Moreover the European market is not going to positively react to products from Ukraine since the market is full and based on quotas. According to the Czech MEP Jan Keller (S&D) who also voted against, “the Association Agreement should have been concluded after the Ukrainian parliament elections in October (2014), otherwise the democratizing effect of the Association Agreement is uncertain.”
Some of the eurodeputies believe though that the advantages of the Agreement overcome the disadvantages. Jiří Poche (S&D) is aware of the negative impact that the Association Agreement with Ukraine would have on the EU-Russia relations however he voted in favour of the Agreement since he believes it is necessary to send a signal to the Eastern Europe that we take Ukraine as our strategic partner and we are willing to support it. The Czech MEP Michaela Šojdrová (EPP), who also supported the Association Agreement, said „I am convinced that if a country as damaged as Ukraine was one day prospering, democratic and stable it would be the best, not just for people of Ukraine, but also for us as European citizens.“
