The escalation of tension between Russia and Ukraine would have major consequences for exports to Eastern Europe leading to a “trade war”. This was stated by the president of the Food Industry Association of Murcia, Alicante and Albacete (Agrupal), José García Gómez, who reiterated that “this madness of geopolitical instability is not good for anyone”.
Specifically, García Gómez predicted that, in the event of an armed conflict in the area, “there will be a response from Russia in the form of a trade war”, which will affect exports and imports and investment interests in these countries, resulting in a loss of business”.
He has also mentioned the current Russian veto, which has been extended until December 31 this year, and which bans or restricts imports of agricultural products, raw materials and foodstuffs from EU countries that seconded sanctions against Russian companies over the 2014 war with Ukraine.
However, despite the current delicate situation, the president of Agrupal has highlighted the good performance of canned food, juices, candies, oils, while frozen vegetables, which had a “very strong” sales rhythm, have finally recorded a decline due to the increase in energy costs.
Specifically, according to the Institute of Foreign Trade, between January and November 2021, the Region of Murcia exported to Russia products worth 18.8 million euros and imported goods worth 1,030.2 million.
Finally, Estonia, Latvia, Lithuania, Bulgaria and Romania are also on the list of countries with the highest trade relations, with exports totaling more than 100 million euros during the first eleven months of last year.
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