site.btaMade in Bulgaria Union Concerned over Russian Sanctions against EU Food Imports

Sofia, August 8 (BTA) - The members of the Made in Bulgaria Union of Small and Medium-sized  Business are quite concerned with the consequences for Bulgarian producers which may follow from Russia’s embardo on the import of certain groups of goods from European Union countries, a declaration of the union sent Friday to BTA said.

At first glance, Bulgarian exports of such goods to Russia are small. However, they help small and medium-sized companies in the food sector survive.

The unions insists that the government should not remain quiet and just look on what is happening, but should undertake the relevant measures at national and union level to protect and compensate Bulgarian producers.

Several dozen SMEs in Bulgaria have made considerable efforts and have spent time and money to step on the Russian market which was quite promising. The introduction of the sanctions leads to enormous losses compared to the scope of these companies, less jobs and maybe even bankruptcies, the declaration said.

The Russian sanctions concern produce in EU countries estimated as being worth 12,000-14,000 million euro. Surplus reserves and surplus production on a common market of which Bulgaria is part will obviously be formed. Surplus supply will obviously step up competition and conditions for unfair commercial practices will be created. Knowing what the situation on the Bulgarian market is and the practice of multinational retail chains operatingon it, the union fears Bulgarian will be inundated with goods at dumping prices, the press release said. The produce supported by large subsidies from the governments of the relevant states can afford that but Bulgarian producers will hardly hold out under such pressure, the document stated further.

According to the union, a number of EU countries have already raised the issue of compensations for their producers or for cooperation on the part of Brussels in finding alternative markets. The Bulgarian government should also do that, the union said.