Russian import ban: how should the EU support the affected companies? (EP)

European companies have started to feel the impact of the Russian import ban introduced on 7 August. The measure, which includes anything from Polish apples to Belgian pork, is Russia’s response to EU sanctions over the country’s involvement in the crisis in the Ukraine. We talked to Bernd Lange (Germany, S&D), chair of the international trade committee, and Czesław Siekierski (Poland, EPP), chair of the agriculture committee, about how the EU can make a difference in this trade conflict.


During the September plenary next week MEPs will debate the impact of the ban on European agricultural products.

How should the EU help companies deal with the impact of Russian bans on European products?

Bernd Lange: From a trade policy perspective we will certainly rely on and make use of the tools the WTO framework provides us with. And we will have to analyse carefully the effect the Russian bans have on European companies and, but let me make very clear that this should be an exception to the rule, consider compensating sectors which are severely affected by the Russian actions.

Czesław Siekierski: The embargo was introduced because of strictly political reasons and the companies themselves cannot cope with the restrictions involved as they are not responsible for them. It's not about charges of non-compliance with standards and export requirements, as has happened in the past. The Russian decision was taken at the highest political level. Lifting the restrictions should be pursued through negotiations and dialogue.

How can trade policies be used effectively to influence Russia?

Lange: I don't think that trade policy is the right tool to achieve short-term foreign policy goals, a tit-for-tat trade war is in no one's interest. But what we have already seen is that Russia is under a lot of pressure to comply with WTO rules ever since its accession to the organisation. And we are of course opening new markets for EU businesses all across the world with our ambitious trade policy agenda, creating alternatives for EU exporters.

Siekierski: The EU's trade policy is the responsibility of the European Commission, but as I said previously, the embargo is politically motivated, therefore it must be resolved through negotiations and dialogue. We can't afford sanctions such as reducing imports of energy resources, as we are too dependent on Russia, so for the moment we do not have any alternative for them. Sanctions are a double-edged sword and they trigger a response for the other side, so first of all we should hold political talks to resolve the issue.
http://www.europarl.europa.eu/news/en/news-room/content/20140911STO61103/
11/9/14
--
-
Related:

• European Council president confirms new sanctions on Russia

• Commission suspends emergency measures for perishable fruit and vegetables and will come forward with a more targeted scheme

• EU announces aid to growers hit by Russian embargo. (125 million euros)

----

• Argentina defends plan to increase exports to Russia

• Così l'embargo alla Nato mette in ginocchio le nostre imprese

• EU Farmers to Receive Only Partial Compensation for Russian Food Ban. (German Minister Urges Europeans to Eat More Fruit)

• European farmers seeking to bypass Russian bans with "Made in Turkey"- ("Made in FYROM") tags

 ----

• EU Farmers to Receive Only Partial Compensation for Russian Food Ban. (German Minister Urges Europeans to Eat More Fruit)

• EU milk overflowing due to Russian ban