Danylo Hetmantsev, Chair of the Verkhovna Rada of Ukraine Committee on Finance, Taxation and Customs Policy, met representatives of the Union of Dairy Enterprises of Ukraine (UDEU), he reported on Facebook.
Key points:
- according to industry estimates, the shadow market for milk and dairy products reaches UAH 30 billion;
- a separate problem is the illegal import of cheese and butter from European Union (EU) countries;
- Hetmantsev called for checks on compliance with the law at major trading venues, including the Stolychnyi and Shuvar markets;
- he has appealed to the Prime Minister of Ukraine to urgently address the shadow dairy market.
«The situation in the sector is critical»
«The situation in the sector is critical. One of the key problems remains the shadow market for milk and dairy products. Counterfeits, illegal trade and smuggled dairy imports create unequal conditions for producers, deprive the budget of revenue and threaten the quality of the products Ukrainians consume», Danylo Hetmantsev said.
According to industry representatives, the shadow market is worth UAH 30 billion. Unable to compete with the shadow sector, domestic production is shrinking, and Ukrainian households that still keep cows risk losing their market. This directly affects the country’s food security and rural development.
Smuggling and shadow retail
A separate issue is the illegal import of dairy products, in particular cheese and butter from EU countries. According to Hetmantsev, this requires proper work by customs authorities.
At the same time, shadow retail activity requires the attention of the State Tax Service (STS) and the Bureau of Economic Security (BES). In particular, compliance with the law needs to be checked at major trading venues, including the Stolychnyi and Shuvar markets.
Appeal to the Prime Minister
Danylo Hetmantsev has appealed to the Prime Minister of Ukraine, as chair of the Interagency Working Group on the De-shadowing of the Economy, to urgently address the shadow market for raw milk and dairy products.
«Legitimate business must operate under transparent rules, and consumers must receive high-quality and safe products. De-shadowing this market is a prerequisite for fair competition, budget revenue and the preservation of Ukrainian production», he stressed.
Source: Danylo Hetmantsev’s Facebook
