EU Delegation: "Buy Ukrainian" Bill violates country's international obligations

Head of the Delegation of the European Union to Ukraine Hugues Mingarelli says the draft law adopted by the Verkhovna Rada in December on granting preferences in public procurement to national producers, even if their price offers are 25% to 43% higher than those of competitors, violates Ukraine's international obligations.

Speaking at the conference on Ukraine's implementation of the Association Agreement with the European Union, the diplomat said that the bill violated Ukraine's international obligations and norms of the Association Agreement. He has added that Ukraine needs real competition in public procurement.

Read alsoKyiv fulfills only 41% of tasks under Ukraine-EU deal in 2017According to Mingarelli, the argument claiming that the bill, if passed in the second reading, will contribute to the development of national producers and emergence of new jobs, is false.

He said that Ukraine might lose competition in public procurement, which will lead to an increase in budgetary expenditures for public procurement and a decrease in the quality of purchased products.

As UNIAN reported earlier, on December 7, 2017, the Verkhovna Rada of Ukraine adopted in the first reading the draft law on granting preferences to national producers in public procurement, which contradicts the Association Agreement with the European Union, even if their price offers are 25% to 43% more expensive than those of competitors.

According to the bill, businesses need to get 23 certificates to confirm that their goods are of Ukrainian origin.

However, the bill was opposed by the Ministry of Economic Development and Trade and leading Ukrainian economists.