The direct effects of the Russian measures on Hungarian agricultural exports are negligible, and primarily cause actual difficulties only to enterprises that export exclusively or to a major extent to Russia. According to figures for 2013 and 2014, the products included on the list of banned imports include only a minor proportion, some 30 percent of the products we export to Russia, and represent only 1 percent of total Hungarian agricultural exports.
According to the Russian Presidential Decree issued on 6 August 2014, the Russian Federation has ordered a ban on the import of various agricultural and food industry products from the European Union, the United States, Canada, Australia and Norway. The Decree is valid for one year form the date of issue, but this could change in accordance with the state of the Russian internal market.
Based on the Decree, fresh, refrigerated or frozen beef, pork and poultry, various meat products, fish, crab and other sea produce, milk and milk products, fresh, refrigerated and frozen vegetable and fruits cannot be imported into Russia.
With relation to Hungarian exports, the embargo does not affect the export of live animals, cereals and oilseeds, crop seeds, flours, wines and spirits, ornamental plants and spices, pork and poultry lard, canned meats, canned fruit and vegetables, fruit and vegetable juices, mineral water or animal feeds, of which we export significant quantities to Russia.
The ban affects the hold European Union, which exported some 11.7 billion euros in agricultural and food industry products to Russia in 2013, which the EU must now distribute in other markets.
There is an emergency fund within the framework of the European Union’s Common Agricultural Policy, which may be utilised in case of severe market disturbances. EU-level crisis management measures could be introduced to prevent and handle expected internal market tensions resulting from the Russian action, including within the framework of emergency procedures. The precise contents of such measures may be proposed by the European Commission.
The Ministry of Agriculture is in continuous contact with our strategic agricultural markets through its agricultural diplomacy network, and based on the information received it has begun assessing possible domestic and EU measures that could effectively contribute to dampening the effects of the Russian sanctions. In the interests of efficiently representing the interests of Hungarian farmers, we are actively participating in the development of possible EU measures at both expert and high level.
(Ministry of Agriculture)