Now in Ukraine, the situation in foreign trade is quite difficult: change in supply logistics, loss of sales markets, loss of counterparties. However, difficult times stimulate the adoption of new decisions, the emergence of new participants and circumstances.
The war with Russia had a devastating effect on Ukraine's foreign trade.
Here's a breakdown of the key questions:
- A sharp decline in trade: The war caused a significant drop in both exports and imports. In March 2022, exports fell by almost half (49.5%), and imports by more than 70%.
- Blocked ports: one of the biggest obstacles is Russia's blockade of Ukrainian ports in the Black and Azov seas. Previously, these ports were responsible for more than 90% of Ukrainian crop exports.
- Changing trade routes: Due to closed ports, Ukraine had to rely on land routes for exports and imports. This includes railways and roads through western neighboring countries, but these routes have much lower capacity compared to seaports.
- Impact on exports: violation of exports causes particular damage to the economy of Ukraine. Key export commodities such as grain and other agricultural products face difficulties in accessing international markets.
- Imports keep coming in: Imports of essential goods, despite the reduction, are still overland.
Therefore, I try to make efforts to establish new business contacts and promote the restoration of foreign trade, cooperation of Ukrainian business with interested partners from other countries.