The European Commission and the German government have vigorously advocated for maintaining duty-free import of agricultural goods into the EU. Each euro earned through the sale of grains, sugar, or poultry contributes to the country's defense against Russia, without relying on funding from the EU or the USA.

Despite this, pressure from ongoing farmer protests, notably in Poland, Hungary, and France, led to calls for restrictions on duty-free imports. Farmers in neighboring countries of Ukraine have protested against the influx of "cheap grains" for months. Consequently, Poland, Slovakia, and Hungary have unilaterally imposed import restrictions.

Negotiators from the European Parliament and the Council of Ministers reached a compromise on Monday evening. While extending duty-free imports from Ukraine until the summer of next year, the compromise limits the import of individual agricultural goods to the average level of recent years. This measure aims to prevent the EU market from being flooded with Ukrainian products, alongside the introduction of additional "safety nets."

Cap on duty-free import of certain agricultural goods The two EU institutions had previously agreed on a compromise in March, which lacked necessary support from member states following opposition from French President Emmanuel Macron and Polish Prime Minister Donald Tusk. The European Parliament, under pressure from the Christian Democrats, had pushed for stricter limitations on duty-free imports from the outset.

The agreement now caps duty-free imports of poultry, eggs, sugar, oats, maize, meal, and honey at the level of the second half of 2021 to 2023. The main difference from the initial failed compromise is the extension of the reference period to the second half of 2021, significantly reducing the level. The exact implications for Ukraine in terms of reduced earnings remained unclear on Tuesday, with various estimates ranging between 300 and 400 million euros. Ultimately, it depends on global price developments and Ukraine's ability to find alternative buyers.