The Verkhovna Rada has ratified the agreement on a free trade area with Turkey

On 14 July 2026, the Verkhovna Rada of Ukraine passed a law ratifying the Free Trade Agreement between Ukraine and Turkey, signed on 3 February 2022. This completes the necessary procedures for the agreement to enter into force, according to a statement from parliament.

From now on, Ukrainian businesses will have the time and opportunity to tap into one of the region’s largest markets, whilst Ukraine will be able to approach EU membership with export experience already under its belt.

“The key aspect of the Agreement is the tariff signal for the development of the processing industry. Currently, 77 per cent of our exports to Turkey consist of grain and sunflower oil. These are predominantly raw materials that Turkey processes on its own territory. The agreement removes barriers specifically for processed products: foodstuffs, feed concentrates and further-processed oil products. ‘Products manufactured in Ukraine enter the Turkish market duty-free,’ noted Deputy Prime Minister Taras Kachka.

The FTA also provides for the application of the provisions of the updated Regional Convention on Pan-Euro-Mediterranean Preferential Rules of Origin.

“Ukrainian manufacturers will be able to use Turkish materials and components whilst retaining the preferential origin status of their products for export to the EU. We are integrating into European value chains even before Ukraine’s accession to the EU,” added Kachka.

It should be noted that the FTA with Turkey opens up the Ukrainian market more than it does the Turkish market. Sectors likely to be affected include the domestic light industry, the cement sector and the engineering industry. Due to fierce competition from local firms, Ukrainian manufacturers do not view Turkey as a potential sales market. This is because Turkish manufacturers receive significant state support: exemption from a range of taxes, compensation for interest on loans, allocation of land, VAT refunds and so on.

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Published by
Yuriy Grigorenko
Tags: trade Türkiye Ukraine’s economy
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