15:09 14.08.2013

Russia's customs service halts all Ukrainian imports, says Ukraine's Employers Federation

The Customs Service of the Russian Federation put all Ukrainian imports on the list of potentially dangerous goods on August 14, which halted the shipment of goods from Ukraine for an indefinite time, the press service of the Federation of Employers of Ukraine (FEU) has reported.

"On midnight on August 14, all Ukrainian importers without exception were added to the first forty enterprises which were entered into to the risk profile of the risk management system of the Federal Customs Service this July. At the same time, the steps to prevent risk were tightened further. As a matter of fact, this means a full halt of Ukrainian exports indefinitely, for weeks or even months," the report says.

The federation said that the Russian customs is continuously checking Ukrainian cargo, unloading it and loading it back into the trucks.

"All this increases the periods of idleness of cars and other vehicles, and as a result, increases the cost of goods, or disrupts their supply, or leads to its spoilage, and undermines the position of Ukrainian producers on the Russian market. Meanwhile, Russia is a vital market for many Ukrainian enterprises," the federation said.

According to the estimates of the FEU, the export of Ukrainian goods to Russia in the second half of the year was projected at $8.5 billion

"The losses of Ukraine from the abovementioned actions by the Russian side may reach, depending on the scenario, $2-2.5 billion in the second half of the year alone," the federation said.

The FEU asks Ukrainian Prime Minister Mykola Azarov to address this issue at the intergovernmental level as quickly as possible.

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