Pursuant to Article 16 of the Law of Ukraine “On foreign economic activities”, the Cabinet of Ministers of Ukraine (based upon input from the Ministry of Economy) annually approves a list of goods, export and import of which are subject to licensing.
Reference note: licensing of foreign trade operations is defined as a complex of measures of an executive body on giving a permit to a subject of foreign economic activities to accomplish the export (import) of commodities.
Licensing of exports in Ukraine is introduced in the following cases:
Licensing of commodities’ import to Ukraine is introduced in the following cases:
The Cabinet of Ministers of Ukraine has adopted an Order No.1722 as of December 23, 2004 “On approval of lists of commodities, export and import of which is subject to licensing and for which quotas regime was established for the year 2005” with the aim to form an efficient structure of certain commodities export and import as well as to fulfill international agreements of Ukraine.
Addendum 1 to the Order fixes the list of goods subject to licensing to secure state control over the export of articles from precious materials (metals, stones, and powders).
The list of commodities mentioned in Addendum 2 was composed with the goal of protecting the domestic market from the import of low-quality goods. Moreover, optic polycarbonate that is used in the output of discs for laser reading systems has been added to the list in accordance with the Article 5 of the Law of Ukraine “On peculiarities of state regulation of business entities activities connected with output of discs for laser reading systems”. Pursuant to the Law, import of raw material for the output of discs for laser reading systems (polycarbonate for manufacturing of optic information carriers) without a license is prohibited. The text or the Order also contains provisions limiting mentioned commodities for export.
The list of goods enumerated in Addendum 4 is compiled in compliance with terms of Transaction between the Government of Ukraine and Ministry of Trade of the USA on suspension of antidumping investigations on the import of certain articles from cut-to-length carbonic flat rolled stock which originated from Ukraine that was concluded on October 24, 1997 and obligations as to the limitation of Ukrainian output with the view of securing its presence on foreign markets as well as non-application of antidumping and special measures.
The list of goods listed in Addendums 5 and 6 has been added in accordance with conditions of the Montreal protocol as to substances destroying the ozone layer.
Addendum 7 to this Order has become invalid due to the Order of the Cabinet of Ministers of Ukraine No.1774 as of December 31, 2004 “On making of amendments to the Order of the Cabinet of Ministers of Ukraine No.1722 as of December 23, 2004”. It became the result of initialing a draft Agreement in the form of exchanging letters’ between Ukraine and the European Union on December 22, 2004 on prolongation and amendment of the Treaty between the European Economic Commission and Ukraine on trade in textile of 1993. The mentioned Treaty entered into force on January 1, 2005. Provisions of the stated Treaty cancelled validity of a double check procedure that was applied to bilateral trade in textile and included a necessity to issue export licenses by Ukraine and correspondingly import licenses by the European Union.
The list of goods enumerated in Addendum 8 corresponds to the terms of Transaction on trade in textile and garments between the Government of Ukraine and the Government of the USA.
The list of countries, enumerated in Addendum 9, regulates the export and import of substances destroying ozone and is compiled in accordance with the terms of Montreal protocol.
The list of commodities in Addendum 10 has been prepared pursuant to provisions of the Agreement between the Government of Ukraine and the European Union on trade in specific steel articles.
The list of the goods mentioned in Addendum 11 has been introduced in accordance with the Agreement between the Ministry of Economy and on the issues of European integration and Ministry of Economic Development and Trade of the Russian Federation signed on January 23, 2004 on regulating of galvanized rolled stock deliveries originating from Ukraine to the Russian Federation.
The list of commodities provided in Addendum12 has been compiled with the purpose to improve a mechanism of state regulating operations with ferrous metals, to create conditions for efficient use of raw stock and state resources, to provide local companies of ferrous metallurgy with raw stock, and to strengthen control over exporting the products (semi-finished goods) from ferrous metals. Licensing of the output from ferrous metals herewith is applied exclusively in the case when it is produced from scrap.
The list of goods mentioned in Addendum 13 has been made up to fulfill item 2 of the Protocol No.18 of the Governmental committee of economic development and on the issues of European integration as of June 22, 2004. It is made in compliance with Article 16 of the Law of Ukraine No.959-XII of April 16, 1991 “On foreign economic activities” and meets the requirements of state security. The list has been adopted to enforce state control over export and import of securities and bill blanks, including excise duty stamps.
Taking into account the necessity to bring domestic legislation in conformity with WTO norms and the accomplishment of tasks in the sphere of Ukraine’s integration into the world economy, the regime of licensing for export operations with specified commodities (iron ore and concentrates, including burnt pyrite; meat and by-products; as well as coal tar pitch) has been cancelled. Addendum 3 has been modified herewith and Addendum 14 of the abovementioned Order was deemed invalid.
Prepared in accordance with the materials of Ministry of economy, Department of state policy in the sphere of foreign trade, trade limitations, and control over foreign economic activities