Wednesday April 1, 2015 Search
Weather | Athens
14o C
09o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Russian sanctions seen giving EU 6.7 billion hit in ING estimate

Corina Ruhe & Maud van Gaal

Russia’s ban on imports of western food could cost the European Union an annual 6.7 billion euros ($9 billion) in lost production, according to ING Groep NV.

“The potential effects of the Russian embargo on imports of Western food go far beyond the effects,” of fruit and perishable vegetables, economists including Raoul Leering at Amsterdam-based ING said in a research note. Their calculations, which include the “value added” created by international trade, put the number of jobs at stake at 130,000.

Russia this month announced a one-year ban on a range of food products from the EU and the U.S., in retaliation for sanctions against the country over Ukraine. While the move, which hits products ranging from Gouda cheese to Polish apples, directly affects exporters to Russia, there’s a spillover impact on firms that supply those exporters, according to ING.

The EU sold 1.26 billion euros of fruit and 769 million euros of vegetables to Russia in 2013, trade data from the 28- nation bloc show. The European Commission on Aug. 18 activated emergency support of 125 million euros through November for fruit and vegetable producers.

The loss of Russian business amounts to about 6 percent of EU production and 0.04 percent of gross domestic product, according to ING’s analysis.

Baltics Hit

Germany will suffer the biggest production loss in monetary terms, about 1.3 billion euros. While Poland’s estimated loss is smaller, the potential toll in terms of payrolls is larger, at 23,000. Taking the different economies into account, the Baltic states would be hit hardest. Lithuania could lose 0.4 percent of GDP, Estonia 0.35 percent and Latvia 0.2 percent.

Non-Russian exporting firms will also suffer a fallout from the ban as an excess of supply in the EU depresses prices, while there is the additional loss of exports to Ukraine. The possible downward effect of the crisis also harms the economy. The negative effect could be damped if food producers find new markets.

“On balance the additional effects seem to make the above calculations a conservative estimate of the economic damage that can be caused by the crisis in Ukraine,” ING said.

[Bloomberg]

ekathimerini.com , Wednesday August 20, 2014 (14:20)  
Business sentiment in decline
Ministry headache over T-bills
Lafazanis reaches preliminary energy package deal in Russia
Bank recap cash can’t be used for other purposes
Finance Ministry officials to discuss talks progress as EU pushes for action
After several days of talks between representatives of Greece’s government and its creditors in Brussels on a proposed list of economic reforms, eurozone finance ministry officials are to di...
Trial of suspects in Salamina torture case starts
The trial of four men accused of torturing an Egyptian bakery worker on the island of Salamina in the summer of 2012 is to resume on April 30 after the victim, Walid Talb, and several witnes...
Inside News
BASKETBALL
AEK could get a wild card to the Euroleague
AEK shows capable of climbing as high as third in the Basket League, as its 16-point home win over third-placed Aris on Sunday confirmed it can challenge both Aris and PAOK to the first spot...
SOCCER
Cyprus soccer eyes reunion after 60-year divorce
Turkish Cypriot soccer officials on Monday vowed to press ahead with attempts to reunite with the Cyprus Football Association, (CFA), triggering a political storm on the ethnically-split isl...
Inside Sports
COMMENTARY
Amateur antics or overstepping the mark?
There are 149 plus two reasons why those who have been watching SYRIZA’s progress since its start cannot and never will be able to stomach the leftist party’s coalition with Independent Gree...
EDITORIAL
A pointless debate
Monday’s parliamentary debate between the country’s political leaders left a lot to be desired. There was no information whatsoever about the coalition government’s proposed reforms or the p...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. AEK could get a wild card to the Euroleague
2. Business sentiment in decline
3. Ministry headache over T-bills
4. Lafazanis reaches preliminary energy package deal in Russia
5. Bank recap cash can’t be used for other purposes
6. EIB said to have frozen funding
more news
Today
This Week
1. Amateur antics or overstepping the mark?
2. Parliamentary speaker prompts ND walkout, anger from PASOK, Potami
3. Investment guru Mark Mobius rules out Grexit, advises sell-offs
4. Greece, EU/IMF lenders end round of technical talks without deal
5. A pointless debate
6. Greek government proposes measures worth 3.7 bln
Today
This Week
1. Next Monday is D-Day for state funds
2. Eurogroup unlikely to be held soon to discuss Greek reforms
3. Moscow expects progress from Tsipras visit
4. Some more equal than others
5. Greece to present reforms by Monday, says gov't spokesman [Update]
6. Greece optimistic on deal with euro area next week
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2015, H KAΘHMEPINH All Rights Reserved.