Ukrainian crisis: How much is Greece losing from the freezing of exports to Russia?

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Representatives of the business world are ringing the bell for exports in the midst of war and sanctions. What are the losses for Greece?

Greece could not be left alone unaffected by the domino of sanctions imposed between the EU and Russia.

The first “bell” for exports was rung by Vassilis Korkidis, president of the Regional Chamber of Attica and the Piraeus Chamber of Commerce and Industry.

With the data so far, the loss for Greece – both for exports to Russia and Ukraine – amounts to about 350 million euros, he explained, adding that the decrease in trade volume had occurred since the pandemic, “and a little earlier.”

On the same wavelength is the Exporters Association of Northern Greece (SEVE) which recognises that many companies – mainly in northern Greece – have significant activity in these countries.

According to SEVE data, Greece’s exports to Ukraine and Russia are relatively low – 338.6 million euros and 206.6 million euros respectively – however there are many companies, mainly in the northern Greece with significant activity in the warring states.

In this context, the Exporters’ Association of Northern Greece recognises that the fur sector is most affected and will therefore seek government support, while estimating that supply chains, inflation and energy will be significantly affected.

As for Russia, “Greece is 17% dependent on grain and 40% on natural gas,” he said, adding that Germany is more than 60% dependent on Russian natural gas.

“It is no coincidence that gas was exempted from sanctions on both sides,” he said.

Worsening of the energy crisis

“Everything depends on the intensity and duration of the situation. It is very likely that the price of oil will rise to $120-140 per barrel. The megawatt hour is expected to reach 180 euros, while today it reaches 110,” pointed out Korkidis.

These and other considerations were made during his speech to the extraordinary EuroCommerce board via teleconference on 1 March.

He pointed out that Greece’s position is the full respect of international law, territorial integrity and independence of all countries, while he did not fail to mention in more detail the “uncontrollable effects, which further intensify the energy crisis.”

“There are estimates that for every 10% increase in fuel and electricity prices, we will have a 1% reduction in the GDP of the Eurozone,” Korkidis said.

Finally, it is worth noting that he asked the members of the Board of Directors of EuroCommerce to support the Greek proposal for the creation of a European Solidarity Mechanism in the energy crisis, which is also a proposal of the Greek government.

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