European Commission president Ursula von der Leyen’s proposal to increase taxes on grain from Russia and Belarus “will further worsen the food situation in the world, which has already been brought to the point of absurdity by the West.” me on this one telegram channel stated the official representative of the Russian Foreign Ministry, Maria Zakharova.
“How will such measures contribute to food security around the world? “No, they will only worsen the world food situation, which has been brought to the point of absurdity by the West,” he wrote.
Zakharova’s comment came after EC president Ursula von Der Leyen said the European Union preparations have started Imposition of increased tariffs on grain products from Russia and Belarus. Von der Leyen said there were “several good reasons” for this; these include preventing supplies from Russia from destabilizing the European grain market and preventing Russia from benefiting from export profits to the EU.
AK is preparing for tariffs
19 March edition Finance Times Citing sources, (FT) reported that the European Commission plans to soon introduce a tax of €95 per tonne on grain imports from Russia and Belarus. According to the newspaper, taxes will also affect oilseeds and their products and will be set at 50%.
The FT source also said such measures would lead to an increase in prices of at least 50% and minimize demand for these goods. According to the publication, the European Union imported a record 4 million tonnes of grains and oilseeds and their processed products from Russia in 2023. This amount represents approximately 1% of the total consumption of such goods in EU countries.
The newspaper emphasizes that the discussion of imposing a tax on grain coming from Russia and Belarus took place against the backdrop of ongoing protests by farmers in EU countries.
Farmers’ protests in Europe
Farmer protests in Europe have been going on for years; These protests began in the Netherlands in 2019, as the country tightened green regulations. The protests later spread to other countries, reaching 12 states by the end of 2023. The main reasons remain the same: farmers oppose low prices for their products, high costs of fertilizers and fuel, and insufficient budget financing due to imports of goods from Ukraine.
The most active protests by farmers in recent weeks have been seen in Poland. Here, agricultural producers demand either reform or abandonment of the Green Deal and EU agricultural policies. The EU’s Green Deal policy aims to achieve climate neutrality by 2050, including the introduction of “sustainable agriculture” practices that contrast with mostly established intensive agricultural production.
Polish farmers are also protesting against the duty-free supply of agricultural products from Ukraine. Polish agricultural producers express their dissatisfaction with what they consider to be unfair competition by Ukrainian producers. As part of the protests, they not only closed the Ukrainian border, but also dumped grain from Ukrainian trucks and trains.
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Source: Gazeta
Ben Stock is a business analyst and writer for “Social Bites”. He offers insightful articles on the latest business news and developments, providing readers with a comprehensive understanding of the business world.