Certification costs stifling Ukrainian tile exports

Ukraine
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Production of ceramic tiles in Ukraine has been growing steadily in recent years, accounting for an increasing share of the domestic market, and with an ever-greater volume of exports, according to the latest study by the Better Regulation Delivery Office (BRDO), with the support of the EU4Business FORBIZ project. But the high cost of certification through authorised representative offices of foreign laboratories is adding to costs and stifling exports.

According to the BRDO ‘Green Book’ on "Ceramic tiles and slabs”, In the first half of 2017, the volume of ceramic tile production in Ukraine increased by 29% compared to the same period in 2016, while the share of imports on the domestic market has fallen from 55% in 2000, to 23% in 2015. In general, Ukraine began exporting ceramic tiles to foreign markets in 2000, and over the last 15 years exports have increased by 347 times.

Ukrainian tiles are in demand and competitive in many markets, the BRDO finds, but because of non-tariff barriers associated with inefficiency and the slow processes of harmonisation with EU standards, Ukraine is failing to harness the export potential of the industry.

The BRDO highlights the certification fees for access to EU markets through the authorised representative offices of foreign laboratories, which amount to $20,000, significantly increasing the cost of Ukrainian ceramic tiles when exported to European countries.

The Green Book looks at possible ways of solving the problems of accelerating the transition to the international certification system, harmonisation of the system of technical regulation and standardisation, and increasing the efficiency of market surveillance.

Funded by the European Union under the EU4Business initiative, the FORBIZ project supports Ukraine’s reform agenda and its economic recovery by proposing a systemic, smart change to a more business-friendly environment with a particular focus on SMEs. The project seeks to steer a shift in policy towards greater recognition of SMEs and the vital role they play in economic recovery, while addressing the challenge of reducing regulatory burden and lessening risk for businesses.