Home Page
 
news 31 Jul 12

Bosnian Exports Already Hit By Croatian EU Membership

Exports from Bosnia to Croatia fell in the first half of 2012, Bosnia’s Foreign Trade Chamber said, putting it down to the country’s inability to meet EU standards.

Elvira M. Jukic
BIRN
Sarajevo

The Foreign Trade Chamber warned on Monday that Bosnia is already suffering because of a lack of trading standards and the situation is likely to deteriorate further when neighbouring Croatia becomes an EU member next year.

Duljko Hasic, an economic expert at the Foreign Trade Chamber, FTC, told a press conference in Sarajevo on Monday that the volume of exports to Croatia fell in the first six months of 2012.

“In that period Croatia dropped to second place on the list of the most important export partners for Bosnia and Hercegovina,” Hasic said, “mainly because of the problems we have had with meeting EU standards.”

He added that some products have been returned from the border because Bosnia does not have standardised rules on food quality.

Hasic warned that the situation will become increasingly serious from January 1 next year when Croatia starts to implement EU trading standards, six months prior to officially joining the union.

“The most affected area will be the food industry but other industries will also not go unscathed,” he said, adding that Bosnia has to prepare itself.

Bosnia’s exports to Croatia are currently regulated by the easier regime of the Central European Free Trade Agreement, CEFTA, to which both countries now belong.

When it joins the EU, Croatia must leave CEFTA and only import goods that meet the EU’s stringent agricultural hygiene inspection standards.

"The FTC's view is that Bosnia has to open direct talks with Croatia and negotiate a new trade agreement," Hasic said.

Bosnia cannot export poultry goods of animal origin to the EU, since EU standards have not been implemented yet. This means that the country’s main export markets are neighbouring countries.

Once Croatia becomes an official EU member, Bosnia stands to lose as much as 22 million euros a year in lost exports of meat, eggs and dairy products.

The greatest impact will be on Bosnian milk producers, who export over 60 per cent of their milk to Croatia.  Because Bosnia does not have EU-level hygiene standards or laboratories to certify goods, many farmers stand to lose money and jobs.

 

Talk about it!

blog comments powered by Disqus

Related Headlines:

democracy-remains-elusive-in-albania-06-24-2017
24 Jun 17

Albania's Election Escapades

Patronage and corruption keep voting a 'low-standard' exercise in democracy. 

23 Jun 17

Agrokor Boss Vows to Tackle Problems in Bosnia

23 Jun 17

Albania Enjoys Calmest Ever Election Campaign

23 Jun 17

Romanian Top Filmmakers Fight for Reform

Premium Selection

albania-enjoys-calmest-ever-election-campaign-06-23-2017
23 Jun 17

Albania Enjoys Calmest Ever Election Campaign

With an almost complete absence of posters and other campaign paraphernalia, Albania is witnessing the most decent and calm pre-election period in its history, experts say.

romanians-top-filmmakers-fight-for-reform-06-23-2017-1
23 Jun 17

Romanian Top Filmmakers Fight for Reform

Hopes of comprehensive change to the film industry – deemed vital for this flourishing field - have suffered another blow after Romania’s parliament withdraw the reform legislation.