Publication on the debate of the economic and trade issues of the EU-Ukraine Association Agreement

After presenting a brief explaining the context of the negotiations launched, as well as the content and implications of the "Deep and Comprehensive Free Trade Agreement" (DCFTA) from an economic and trade perspective at the European Parliament in October 2011 Marek Dabrowski and Svitlana Taran now published a background analysis of the DCFTA between the European Union (EU) and Ukraine and its potential impact on the economy of Ukraine.

The purpose of this paper is to provide a background analysis of the forthcoming Deep and Comprehensive Free Trade Agreement between the European Union (EU) and Ukraine and its potential impact on the economy of Ukraine. The DCFTA is a relatively new concept in EU external trade policy. If signed and ratified with Ukraine, it will be the first ever FTA concluded between the EU and a CIS country. For this reason it is an important experience for the EU, especially in light of recently launched trade negotiations with Georgia, Moldova and perhaps in future negotiations with Russia and Armenia.

Although it is very difficult to assess its actual degree of “deepness” and “comprehensiveness”, theauthors see the substantial potential of such an agreement in promoting trade and investments, creating additional welfare and employment, regulatory and institutional harmonization with EU’s acquis, and modernization of the economy of an EU trade partner. However, even if the DCFTA is “deep” and “comprehensive,” this does not guarantee automatic success. Much will depend on the political will and administrative capacity to implement all of its provisions in a timely and accurate manner, which is a serious challenge for Ukraine.

Read "The Free Trade Agreement between the EU and Ukraine: Conceptual Background, Economic Context and Potential Impact" by Marek Dabrowski and Svitlana Taran in CASE Network Studies and Analyses series.