Ukrainian-Polish economic relations play a significant role in the context of Ukraine’s European integration. There is already a solid foundation of economic ties between Ukraine and Poland.
Poland is one of Ukraine’s most important trading partners, with bilateral trade reaching a billion euros annually.
On May 16, Warsaw hosted a roundtable discussion on “Synergy or competition in Ukrainian-Polish economic relations before Ukraine accedes to the EU and the role of business associations in this process.”
The event in the capital of Poland brought together representatives of key business associations of both countries and international organizations, leading representatives of Ukrainian and Polish business and journalists.
The roundtable participants concluded that the synergy and cooperation between Ukraine and Poland is unquestionably mutually beneficial, and that the assistance of the Polish side is a key factor for Ukraine’s successful accession to the EU and the reconstruction of our country after the war.
Poland, with its experience of successful European integration, is ready to share its knowledge and resources to help Ukraine overcome challenges and achieve its goals. It is important to emphasize that competition between the countries will also be present, as integration into the EU opens up new business opportunities, but also leads to fierce competition in the market.
Maciej Witucki, President of Konfederacja Lewiatan, noted that it is very important for Poles and Europeans not to give in to their own fears.
“There will be competition! The problem with grain is a small problem compared to what awaits Ukraine when it integrates into European markets. We shouldn’t have any illusions that we won’t compete. But it is important not to fall for propaganda! Ukraine is critically important for Europe, both strategically and technologically. Rebuilding institutions is an important issue. We are ready to fully support institutional reforms to avoid repeating the “Turkish syndrome”.
Expectations should be divided into stages. The most important thing will not be overcoming competition, but communication with EU countries. For example, when Germany, France, Italy, and other countries realize how competitive Ukraine is in technology, military, aviation, and other sectors, it will be a very significant challenge. This challenge will certainly be ahead of us.
Thanks to business associations, Ukraine’s voice is being heard, but the changes should not be too radical,” said Maciej.
“The strength of the state depends primarily on its economic capacity, so it is necessary to change Ukraine’s economy. The right things should be implemented, not just talked about and promised. We should unite trade borders and work together to create more elastic conditions for business integration. Poland can become a technical, energy, and logistics hub that can effectively build bridges between Ukraine and the EU. Ukrainian business in Poland is developing rapidly: 8 thousand companies and more than 50 thousand individual entrepreneurs! This is a testament to the hard work and entrepreneurship of Ukrainians,” said Dariusz Szymczykha, Vice President of the Polsko-Ukraińska Izba Gospodarcza.
A year before the full-scale invasion, trade between Poland and Ukraine amounted to 48 billion zlotys, with Poland exporting more – by 28.6 billion zlotys. In 2022, despite the full-scale war, trade between Poland and Ukraine reached a record 73.5 billion zlotys, of which 45.5 billion were Polish exports. That is, the trade surplus almost doubled in a year.
However, 2023 was a year of challenges in our relations with our neighbors, due to numerous border blockades by Polish carriers and farmers.
“2022 was a year of synergy, and 2023 was a year of fierce competition. Exports from Ukraine decreased significantly: by 53% compared to the previous year. Imports also fell by 64%. These are huge losses, amounting to billions of euros for both sides.
On the other hand, the economies of Romania and Hungary have shown significant growth. This suggests that they were able to take better advantage of the current conditions and redistribute the flow of goods and services.
This contrast clearly illustrated who benefited and who lost,” said Viktor Koptenkov, co-owner of D`art Logistics.
The CIPE speakers present at the meeting noted Ukraine’s progress, and in particular expressed the opinion that the Polish example may be most relevant for Ukrainians on their way to the EU.
“CIRE is focused on supporting democracy and market reforms. Ukraine has a democratic future, which is why we are investing in resources, but there are many challenges: we need to take into account the peculiarities of the market. This is a matter of the prism through which we look at the problem. Business associations can play an important role in restoring good partnerships and creating a democratic future,” said Abdulwahab Alkebsi, Managing Director of Programs at CIPE.
“Ukraine is determined to improve the business environment! These are not just words – these are real steps aimed at supporting small and medium-sized businesses, as they are the engine of the economy, not the oligarchs. Ukraine can learn a lot from the Polish experience on its way to European integration. Polish companies are a valuable source of knowledge and practices that will help Ukrainian business become even stronger.
At the same time, Poland can use Ukraine’s resources to open up new opportunities for development. Cooperation based on mutual benefit is the key to success for both countries,” said Brian Lee, CIPE Program Director, Eastern Europe, at the roundtable.
“Open communication with the Polish side and synergies in the consulting market are important. On the way to EU accession, Ukraine should take into account the details of existing standards and rules, and be prepared for fierce competition. The main factors of interaction should be a stable economy and common values: freedom, equality, democracy, and the rule of law, which are the foundation of the EU. Ukraine must demonstrate a sincere commitment to these principles,” said Tomasz Kaczynski, Partner, Co-Head of Life Sciences Practice at Rymarz Zdort Maruta.
“I am convinced that the very fact of our discussion is already a great value. The Union is constantly working on creating positive narratives about Ukrainian entrepreneurs who have zero tolerance for corruption, continue to work in Ukraine during the war, and at the same time enter new markets. In the near future, we plan to work hard to create a positive image of Ukrainian entrepreneurs and build trust between Ukrainian and Polish businesses. There has always been and will always be competition, but the main thing is that it is fair and within the law. The key factor is trust, and it is formed on the basis of real actions!” said Kateryna Glazkova, Executive Director of the SUP.