Estonia and Ukraine

Bilateral relations

Ukraine recognised the Republic of Estonia on 26 August 1991, and diplomatic relations were established on 4 January 1992. Ukraine's ambassador to Estonia is Viktor Kryzhanivsky, who presented his credentials to President Toomas Hendrik Ilves on 27 January 2011. Estonia is represented in Ukraine by Ambassador Sulev Kannike.

Good relations exist between Estonia and Ukraine and close co-operation is done in many different areas. Ukraine is and will remain one of Estonia’s foreign policy priorities and Estonia supports Ukraine’s Euro-Atlantic integration. Ukraine is one of Estonia’s development co-operation priority countries for the years 2011-2015. Co-operation between the two countries has recently gained momentum in Crimea and other Ukrainian regions, such as Chernigov and Ivano-Frankivsk.

Close co-operation takes place in international organisations as well as on the departmental level between Ukraine and Estonia. In 2010 an intergovernmental commission started up, which has the goal of discussing economic, educational, technological and scientific bilateral co-operation in accordance with an agreement that came into force in 2008.

In recent years co-operation between the two parliaments has intensified. There is an Estonian-Ukrainian parliamentary group in the Riigikogu and an analogous friendship group in the Ukrainian parliament. Speaker of the Ukrainian Parliament Volodymyr Lytvyn last visited Estonia in June of 2012.

Visits

Agreements

The first agreement between Estonia and Ukraine was signed on 25.11.1921. Since 1991, 20 intergovernmental agreements have been concluded between Ukraine and Estonia, which have created a strong basis for the successful development of bilateral relations. In addition to these, many bilateral co-operation agreements have also been concluded between various institutions.

Economic relations

When acceding to the European Union on 01.05.2004, Estonia took on the agreements concluded by the European Union with third countries, among them Ukraine. As of 01.05.2004, trade relations between Estonia and Ukraine are regulated by the Agreement on Partnership and Co-operation concluded between the European Union and Ukraine. An agreement for an intergovernmental commission on economic, industrial, research and technical co-operation between the government of the Republic of Estonia and the Cabinet of Ministers of Ukraine came into force 24.09.2008. In 2010 the intergovernmental commission on economic, industrial, research and technical co-operation between Estonia and Ukraine was launched, with the first meeting taking pace in Tallinn in November 2010 and the second session taking place in Kiev in December 2011.

On 06.03.2009, 18 Estonian businesses and individuals established the Estonian Business Association in Ukraine (EBAU) on the initiative of the Estonian Embassy and the representation of Enterprise Estonia. The goal of the EBAU is to advance and develop economic and trade relations among Estonian and Ukrainian business associations, companies and individuals that are based on the interests of the members and correspond with the legislation and norms of Estonia and Ukraine.

TRADE

Ukraine is an important trade partner. Estonian goods and services have earned a good reputation in Ukraine. Ukraine ranks 19th among Estonia’s export partners.

Due to the global financial crisis, trade between the two countries in 2009 fell by 60% compared to the same period in 2008. During the following years trade was once again on the rise. Estonian export to Ukraine in 2012 totalled 118.6 million euros (0.9% of total exports) and import from Ukraine was 197.0 million euros (1.4% of total imports).

The main export articles were products of chemicals manufacturing and related industries (27.2%), mineral products (16.5%), machines and mechanical equipment (11.2%), animal products (8.2%), and metals and metal products (6.4%).

Main import articles at the same time were transportation vehicles (58.5%), metals and metal products (19.9%), mineral products (6.3%), and wood and wood products (3.8%).

It appears from watching the dynamics of earlier years that for Estonian businesses Ukraine is changing from a goods market to a services market; the share of technology-intensive goods compared to other commodity groups is on the rise. In export, goods trade is growing the greatest added value, and in imports the share of Ukrainian transit goods is growing. Taking into consideration Ukraine’s experiences in the field of research-intensive manufacturing and industry, there are possibilities for co-operation in the sphere of information and telecommunication as well as in energy.

Estonian-Ukrainian trade 2004-2012 (in millions EUR)

Source: Statistical Office of Estonia

Main articles of export in 2012:

• Industrial chemical products and related goods (24.8%),
• Mineral products (19.1%),
• Machinery and equipment (11.9%),
• Animal products (8.1%).

Main articles of import in 2012:

• Transportation vehicles (57.9%),
• Metals and metal products (19.1%),
• Mineral products (5.3%),
• Machinery and equipment (4.1%).

INVESTMENTS

According to the data of the Bank of Estonia, Estonian direct investments in Ukraine as of 31 December 2012 totalled 238.6 million euros (5.4% of Estonia’s total direct investments abroad). The total of Ukraine’s direct investments in Estonia was 54.2 million euros (0.4% of direct investments in Estonia).

According to the data of the Bank of Estonia, most Estonian investments have gone to the financial and insurance sector, with wholesale and retail trade in second place and professional, research and technical activity in third place. Estonian investments into animal and grain cultivation have increased. Ukraine’s investments in Estonia primarily go to wholesale and retail trade, the financial and insurance sector, and real estate activity.

The communications and IT sector is showing new and long-term growth. From 2005-2008 the sale of mobile devices and the number of mobile phone calls increased explosively, and now there is growing interest in using mobile connections for services. Another important co-operation sector is e-government, which the Ukrainian government is very interested in.

INTER-REGIONAL CO-OPERATION

Many Estonian and Ukrainian regions have established or are presently establishing direct contacts, signing respective co-operation agreements and carrying out mutual visits. Some examples of direct contacts: Tallinn-Kiev, Tallinn-Odessa, the County of Tartu and Ivano-Frankivsk, the County of Hiiumaa and the Kherson district, Pärnu and Feodosia, Paldiski and Balaklava, Jõhvi and Sudak, and the County of Valgamaa and the Shatskyi region.

Cultural and Educational co-operation

Estonian-Ukrainian relations both in the areas of education and culture have a long history, dating back to the 18th century where the first reports of Ukrainian students at the University of Tartu can be found. Estonian and Ukrainian universities follow this tradition even today. Contacts have been re-established between the University of Tartu and the Lviv University, between the Estonian and Ukrainian Agricultural Universities, between the Tallinn Technical University and the Kiev Polytechnical University (co-operation agreement signed in 2002), between the Estonian School of Diplomacy and the Diplomatic Academy of Ukraine (the rectors signed a Memorandum of Intent in 2003) and the Tallinn and Kiev Pedagogical Universities (co-operation agreement signed in 2004).

Estonia and Ukraine have signed many agreements on co-operation in education and science. In November 2012 the co-operation programme between the ministries of culture was renewed for the years 2012-2016. In February 1996, an intergovernmental agreement on the mutual recognition of educational documents was signed. Also, tight co-operation is prevalent between the Ministries of Education and the Academies of Science of Estonia and Ukraine.

The following is just a sample of the cultural events that have taken place: On 25 February 2001, a memorial plaque was unveiled in Tartu commemorating the Ukrainian poetess Lesya Ukrainka on the initiative of the Ukrainian Embassy. The most important cultural event of 2003 was undoubtedly the issuing of a joint Estonian-Ukrainian postage stamp that was introduced simultaneously in Tallinn and Kiev (the theme of the stamp is the ancient trade route along the Gulf of Finland and the Dnepr River, the so-called “road from the Varangians to the Greeks”). In September 2005, a concert dedicated to the 70th anniversary of Estonian composer Arvo Pärt took place in Kiev. The Estonian puppet films “Inherent Obligations” and “Lili” won the two main prizes at the Krok animation festival in Ukraine in 2009. In December 2009 the Estonian film festival “Estfest” took place for the first time in Kiev and Kharkiv, during which the Ukrainian public was able to see five short and feature-length films, included the lauded “Class”, “Autumn Ball”, “I Was Here”, and the animated films about Lotte. In March 2011 an Arvo Pärt concert took place at the Ukrainian Philharmonic, in April Heiki Mätlik gave a concert tour and master classes in various Ukrainian cities, and in November an Estonian animated film festival was held in Lviv and Kiev. In September 2011 the 150^th anniversary of the Estonian villages in Crimea was celebrated and a memorial plaque was unveiled. In March and April of 2012 an exhibit on traditional Estonian clothing was organised at the Museum of Ukrainian Folk Art on the grounds of the Kiev Pechersk Lavra and in May the same exhibit could be seen at the Crimean Ethnography Museum in Simferopol; in March many Estonian films were screened at the documentary film festival Docudays; and during the year many concerts (Hortus Musicus, Svjata Vatra) and painting exhibits (Jaan Elken, Maarit Murka) also took place.

Estonian cultural life is also enriched by the activities of the Ukrainian diaspora, which is the second biggest minority group in Estonia (28 thousand people).

Development co-operation

Ukraine is one of Estonia’s development co-operation priority partners in accordance with the “Development plan for Estonian development co-operation and humanitarian aid for 2011-2015”. The most important areas for co-operation are implementing information and communication technology in the public administration sector; increasing the capabilities of the border guard and police force in the domestic security sector; as well as elements of the education, environmental preservation and energy saving sectors. In the good administrative practice sector, Ukraine has been interested in Estonia’s reform experiences regarding EU integration as well as other reforms (pension reform, health insurance). Estonia also makes financial contributions to European Union instruments.

 The Centre of Eastern Partnership, which was established in Estonia in January 2011 and has the goal of training officials and passing along reform experiences, will also help to develop a democratic society.

Ukrainians in Estonia and Estonians in Ukraine

There are about 28 000 Ukrainians living in Estonia. Ukrainians form the second largest ethnic minority group after the Russians. The largest and oldest Ukrainian organisation in Estonia is the Ukrainian Congress in Estonia with its magnificent headquarters in Tallinn’s Old Town. Since November 1998, Ukrainian culture days have taken place in Estonia. The Ukrainian Greek-Catholic Church, registered in Estonia in 1991, is also fully active.

The approximate number of Estonians living in Ukraine is 3 000. In 1994, the Ukrainian Estonian Society was founded in Kiev. In June 1998, the first Estonian Summer Days were organised in Krasnodarka, the Estonian village in Crimea, and they have become a tradition. In September 2001, the 2nd Ukrainian Estonian Summer Days were held on the Crimean west coast in the township of Beregove, the first village founded by Estonians. In 2011 the 150th anniversary of Estonians in Crimea was celebrated. As of August 2002, a teacher assigned to the Aleksandrovka High School in Crimea from Estonia teaches Estonian to children.

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