EXPORTS OF UKRAINIAN AGRICULTURAL PRODUCTS TO THE EUROPEAN UNION: ANALYTICAL ASSESSMENT, PROBLEMS AND PROSPECTS

Abstract

The purpose of the work is to study the issue of domestic exports of agricultural products to the European Union (EU). Methodology. General scientific economic and mathematical methods as analysis, synthesis, abstraction, concretization and special methods as comparison, tabular were used. Results. It is noted that an important step in terms of deepening trade relations between Ukraine and the EU was the conclusion of the Association Agreement and the establishment of a free trade area in the framework of this Agreement. For Ukraine, this is both one of the greatest achievements (in terms of shaping the worldview and social development) and a challenge (in terms of ensuring economic growth of the country, search for internal sources and incentives). It is noted that European guidelines provide the agricultural sector with an effective direction of development and reveal modern opportunities for its recovery, create additional preferences in the agri-food market. It is investigated that since the beginning of 2014 there have been dramatic changes in the geographical structure of domestic exports. Before that, about a quarter of goods were sent to the EU countries, about a third – to the markets of the CIS countries, the rest – to other countries. During 2014-2020, this distribution changed towards a significant decrease in the share of the CIS countries and a gradual increase in the share of the EU and other countries of the world. The article provides an analytical assessment of the geographical structure of Ukraine's merchandise exports by three main blocks of countries – the EU, the CIS and the rest of the world. The role and importance of the free trade area between Ukraine and the EU, which is a powerful milestone in bilateral trade relations and opens new economic opportunities for both the EU and Ukraine, is determined. The main trading partners of Ukraine in the export of goods are characterized. The geographical structure of exports with the EU countries is investigated and it is noted that Ukraine supplies goods to almost all EU countries. The total value of exports in 2020 decreased by 1552103 thousand US dollars compared to 2018. The largest share of exports falls on Poland, Germany, Italy, the Netherlands and Spain. The commodity structure of agricultural exports with the EU countries during 2018-2020 was studied, a significant share of agricultural products was noted, which ranges from 34%. Practical implications. The factors that influenced the formation of exports in 2020 are identified. The problems that affect the development of exports and the prospects for its increase are identified.