Poland on Tuesday hit back at Ukrainian criticism of subsidies it is giving to farmers, labelling a deputy minister's accusation that the aid was not in line with World Trade Organisation (WTO) rules as "unjustified".
Ukraine's Deputy Economy Minister Taras Kachka told an International Grains Council (IGC) conference in London on Monday that the subsidies went "far beyond what is allowed by WTO rules".
Although Poland has been a staunch supporter of Ukraine following Moscow's invasion last year, the issue of grains has created friction between the allies after a glut of Ukrainian agricultural products entered Poland.
"The opinion of Minister Kachka is unjustified," Poland's agriculture ministry wrote on Twitter. "Under WTO rules, support for farmers in Poland is included in the limit for the entire EU."
The Polish government approved 10 billion zlotys ($2.41 billion) in aid for Polish agriculture earlier this year to help its farmers who had been hit by lower prices caused by the influx of Ukrainian products.
"The EU limit for trade-distorting support is almost 72.4 billion euros per year, and in 2022 the use was around 5.3 billion euros," the Polish agriculture ministry wrote. "Thus, 10 billion zlotys does not in any way exceed WTO rules."
Poland, Bulgaria, Hungary, Romania and Slovakia became alternative transit routes for Ukrainian grain to help offset slowed exports via the country's Black Sea ports after the invasion.
Bottlenecks trapped millions of tons of grains in the countries, pushing down prices for local farmers and prompting their respective governments to unilaterally introduce import bans on Ukrainian food products.
The European Union (EU) on May 2 reached a deal allowing the five countries to ban domestic sales of Ukrainian wheat, maize, rapeseed and sunflower seeds, while allowing transit for export elsewhere, including to other EU countries. As it stands this will be phased out by mid-September.
Źródło: TVN24 News in English, Reuters
Źródło zdjęcia głównego: TVN24