COMPLEMENTARITY OF BILATERAL TRADE RELATIONS BETWEEN POLAND AND UKRAINE

Abstract

Poland and Ukraine and to substantiate on its basis the priority areas of further mutually beneficial cooperation built on the principles of complementarity and strategic partnership. The authors of the article applied a comprehensive approach to the analysis of bilateral trade relations between Poland and Ukraine, in particular, the Trade Complementarity Index (CI) and the Revealed Comparative Advantage Index (RCA) were used in the analysis. The statistical data of the State Statistics Service (Ukraine), WTO, Ministerstwo rozwoju i tekhnologii (Poland) and Główny Urząd Statystyczny (Poland) were the sources for the calculations. The trends in the development of bilateral trade relations between Poland and Ukraine were analyzed on the basis of statistical information. The main prerequisites that form the basis of mutually beneficial Polish-Ukrainian economic cooperation have been identified. It is proposed to use a complex methodical approach in the process of analyzing the complementarity of bilateral relations, in particular through the use of the complementarity index and the index of revealed comparative advantages. The dynamics and product structure of export-import trade between Poland and Ukraine are analyzed. The main differences between the structure of Polish imports to Ukraine and Ukrainian exports to Poland have been revealed. A conclusion was made about the high level of optimality and balance of bilateral relations, the existence of mutual dependence both in terms of imports and exports. The conducted analysis proved the fact that trade between Poland and Ukraine is symmetrical and equal, which makes trade relations mutually attractive. Indicators of revealed comparative advantages within the framework of bilateral cooperationbetween Poland and Ukraine were calculated. Calculations showed that Ukraine has the highest comparative advantages in foreign trade in such goods as ferrous metals, ores, slag and ashes, fats and oils of vegetable or animal origin, furniture, wood and wood products, edible fruits and nuts. Instead, Poland achieves the highest level of comparative advantages in the supply to the Ukrainian market of ground transport means (except railways), plastics and polymer materials, nuclear reactors, boilers and machines, fertilizers, mineral fuels, products of oil distillation, printing products, rubber and rubber products, electric machines and equipment. The economic, organizational and institutional components of the perspectivemodel and priorities for the development of bilateral Polish-Ukrainian trade relations in the conditions of сurrent global challenges are substantiated. The most important strategic priorities for the development of foreign trade relations between Poland and Ukraine in the near future are proposed, namely: creation of a system for monitoring the complementarity of bilateral foreign trade relations between Poland and Ukraine; implementation and comprehensive support of interstate agreements on the development of mutually beneficial trade in complementary goods, including on a barter basis; supporting the development of complementary exports and imports in the sectors of small and medium-sized business, smallscale production, in particular on the basis of production cooperation; support of complementary foreign trade relations not only at the level of industries, but also of individual regions of Poland and Ukraine, in particular within the framework of cross-border cooperation; further improvement of the system of consulting support for exporters in Poland and Ukraine, assistance in entering foreign markets and in the process of searching foreign partners. It was concluded that the development of complementary trade relations should be transformed into joint projects of Polish-Ukrainian production cooperation with the aim of joint production and supply of competitive products and services to the domestic and global markets.