Business calls for an increase in the terms of foreign economic activity - payments for the export of industrial products and import of equipment

The FEU calls for increasing the deadlines for foreign currency payments for exports of Ukrainian industrial products and imports of equipment to at least 270 days.

Back in April, the Federation of Employers of Ukraine (FEU) prepared and sent to the Government arguments on the need for such liberalization to develop Ukrainian industrial production and increase exports.

At least 30 companies that export their products around the world, including to other continents, have addressed the FEU.

Ukrainian producers report that due to the war in our country, foreign partners are ready to buy Ukrainian products only on a cash on delivery basis. And if it is some kind of equipment, it is after the completion of commissioning, which is a lengthy process. When it comes to products such as pipes, wheelsets for railcars and locomotives, etc., they require a warehouse with stocks to be set up in the consumer's country (e.g., the United States).

The second factor that affects payment terms is logistics. According to producers, sometimes it takes up to three to four weeks to get the goods out of Ukraine and across the border. And then there's delivery to a foreign port, transshipment, and a detour due to the crisis in the Red Sea.

Companies operating in the territories adjacent to the combat line have to wait until the foreign buyer's bank checks whether the Ukrainian enterprise was occupied during the delivery, even after the delivery of their products. This procedure can take up to three months.

Thus, taking into account logistics, it usually takes more than 180 days from the moment of concluding the transaction and going through all the stages of the transaction to its completion and payment.

At the same time, manufacturing enterprises in the country, which are often subject to shelling and destruction, are forced to purchase production equipment abroad, as well as the necessary components for their products. In this case, foreign suppliers require full prepayment before the production of the relevant equipment begins. The process of creating complex equipment and complicated logistics to Ukraine also takes a long time, much longer than 180 days.

Manufacturers say that the minimum required period for production and delivery of products and payment for them is 270 days, while 360 calendar days is sufficient.

As a result of the meeting held on May 6, a joint agreement was reached to clarify certain commodity items for which the deadline for foreign exchange settlements will be 270 calendar days. After that, the draft decree will be submitted to the relevant Government Committee for consideration.