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Earlier in the week Russia published a list banning agricultural products from the EU, the US, Norway, Australia and Canada in response to the sanctions that were imposed by these countries on account of Russia’s involvement in the crisis in Ukraine.
The situation has distressed many Greek politicians in Athens, one of whom said on Friday that the government may even seek compensation from the EU for all the inconvenience that has been slapped on local farmers. (Following Finland's example).
Desperate to find a solution, the Ministry of Development just might ask the Ministries of Defence and Health to absorb the fruits that were bound for Russia (and from what we learn the government has also contacted the Hotel Association so that it can influence various units around the country to absorb the remaining produce).
Aside from demanding compensation from Brussels, the Greek government is also considering to ask its fellow member states to allow Greece use an amount of NSRF funding to compensate farmers in the context of European legislation.
The issue has nonetheless sparked quite a bit of criticism. The Greek Communist Party (KKE) for instance said that the government of Athens should dissociate itself from EU sanctions against Russia altogether!In a statement, the KKE said that:
“The catastrophe awaiting small- and medium-sized farmers from Russia’s embargo is the result of the EU and USA interference in Ukraine, an interference supported by the Greek government, with the sole criterion of European and American monopolies infiltrating the area”.KKE called on the coalition government to dissociate itself from EU sanctions against Russia, and to adopt measures to support small- and medium-sized farmers, through reparations in prices that should cover the production cost of their products.
Main opposition Radical Left Coalition (SYRIZA) MEP Manolis Glezos, on the other, on Friday appealed to Russian President Vladimir Putin to exclude Greek products from Russia’s recently announced embargo. In a letter addressed to the Russian President, Glezos noted that although he fully understands the reasons that forced the Russian leader to impose an embargo on European Union agricultural products, he should nonetheless reconsider his decision in regards to Greece.
“On behalf of the Greek people, who are going through a period of extreme deprivation, I appeal to your humanitarian feelings to reconsider your decision as regards the Greek farmers.”Similar sentiments have been expressed by many leading officials who say that Greece will loose more than 178 million Euros because of the embargo. The above loss does not include the possible decrease of job positions in the affected sectors, as well as the risk of terminating trade agreements that were built with many difficulties.
So much so that producers in areas such as Pella and Imathia will see their profits cut by 50 percent since half of their production is usually exported to Russia.
(It should be noted that in 2013 the total amount of Greek exports to Russia amounted to more than 406 million euros.)
For now, Athens is closely monitoring the developments. It has already received spoken assurances that the list of products will be selective. However, there are fears that if the trade war between the West and Russia escalates, then there is going to undoubtedly be incalculable consequences.
“The decisions President Putin has made are decisions that concern the whole of the western world: the EU, the U.S., Canada, Australia. We are in ongoing contact (with various officials) to ensure the smallest possible impact (to the Greek economy) or, if possible, no practical impact at all. I don’t want to reveal what process we are using. Greece, as a country of the European Union meets its community obligations (and) is trying to have the best possible relations with all countries and the government is trying to protect Greek agricultural production.” said Minister of Foreign Affairs Evangelos Venizelos.The list of products that are banned for import into Russia for a period of one year includes five product categories, meat and sausage, seafood, vegetables, fruit and dairy products, according to the list published by the Russian state news agency, RIA-Novosti.
Baby food, alcoholic drinks, including wine, and olive oil are not included in the list.
Nations that did not comply with the Western sanctions that impose an embargo against Russian products are now preparing to increase their exports to Russia. As such, Moscow has already begun discussions with Latin American countries such as Argentina, Brazil, Chile, Ecuador and Uruguay.
(The embargo is also an opportunity for Serbian companies to increase their exports to Russia as well).
(Combined Reports)
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