In Focus (#01 January 2010)

Domestic Regulation — Global Consequences…

Ecological standards appear to be the most dynamic part of EU law as they become the subject of changes in line with public attention on product safety and climate change. Being an internal European Community regulation on chemicals and their safe use, REACH affects the exports of third countries to the EU. The crucial importance of this “novelty” hasn’t been taken into account in terms of Ukraine’s joining the WTO, followed by the economic crisis. In the meantime, the widespread view exists that REACH is a form of hidden protectionism that jeopardizes Ukrainian exports of either chemicals or metallurgy, mechanical engineering and other industries.

The issue of REACH is likely to place significant demand on appropriate professionals. No doubt, Ukraine doesn’t have the practical experience to implement this type of legislation. Furthermore, the required registration procedure is a rather expensive undertaking. On the one hand, this leaves room to develop legal advice on REACH as a distinguished practice area. On the other hand, it is both a challenge and incentive for Ukrainian enterprises to finance the introduction of international standards.

Happy reading, Olga Usenko

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