Ukraine’s accession to the European Union would cripple EU agriculture and ruin Hungarian farmers

According to the National Chamber of Agriculture and Food, Ukraine’s intention to join the European Union is a cause for concern, and it expects the European Union to take into account the future development of Ukrainian agricultural production and its impact on agricultural production in the entire Union during the accession negotiations. The National Chamber of Agriculture and Food stands in favor of preserving Hungarian farmers and European food production.

Ukraine has 41 million hectares of arable land, of which 32.5 million hectares are arable

Farmers living in the current member states would be at a huge competitive disadvantage if Ukraine joined the European Union, as the area would be equal to a third of the current arable land. Nearly a third of Ukrainian land is used by a few agricultural giants, each holding hundreds of thousands of hectares. Western-backed companies operating in Ukraine would gain a major advantage by not having to comply with the strict food safety and animal welfare standards that other EU countries have to meet in order to receive subsidies and be able to produce.

The European Commission has not prepared an analysis of the expected effects of Ukraine’s possible accession to the EU on agriculture

It can be said that Ukraine’s accession would also have a serious impact on the EU’s common agricultural policy, as the area currently eligible for support of 157 million hectares would be expanded by 41 million hectares. The stakes are therefore not small: with its accession, Ukraine would become the largest beneficiary of agricultural resources, the country would pocket about a third of the entire CAP budget from the common fund, thereby undermining EU farmers, including Hungarian producers, who have been adhering to strict EU regulations for many years. It should be noted that the border Member States could not count on the European Commission to deal with the market disruptions caused by increased Ukrainian imports, and in fact, it is a sign of complete incompetence that the EU import ban was lifted at harvest time. The concentration of Ukrainian agricultural holdings is high, which provides them with rapid investment capacity. Thanks to this, Ukraine can very quickly and easily adjust its production if the market opportunity arises. A good example of this is the development of sugar production: Ukraine switched from 220 thousand hectares in 2021 to more than 300 thousand hectares of sugar beet cultivation by 2024.

If the market situation requires it, this could be repeated for tomatoes, potatoes, or even sectors requiring larger investments

It is possible that after wheat, corn, or chicken and eggs, Ukrainian goods will flood the market with new product groups. Moreover, with Ukraine’s accession to the EU, it would no longer be possible to maintain a unilateral ban in the interests of Hungarian farmers and consumers. Taking all this into account, it can be said that Ukraine’s possible accession to the European Union would endanger the livelihood of European farmers, as European farmers cannot compete with Ukrainian farms of hundreds of thousands of hectares owned by Western big business, which produce under much more lenient rules.

NAK