From Solidarity to Realism: How Poland’s Ukraine Policy is Changing in Year Three

A man gestures as a Polish farmer drives his tractor during a protest over price pressures, taxes and green regulation, grievances shared by farmers across Europe, and against the import of agricultural produce and food products from Ukraine, in Gdansk, Poland, Feb 20, 2024. [Photo/Agencies]

As the Ukraine conflict moves into its third year, Poland is at a turning point, juggling immediate humanitarian efforts with its long-term economic and geopolitical plans. The Polish zloty’s drop in value is a clear sign of the economic instability caused by the conflict. Poland’s move to set up financial “swap lines” with Western central banks shows how adaptable economies can be in times of crisis.

Yet, Poland faces its own economic hurdles. Inflation, especially in basic food items like cereals and oilseeds, has shot up because Ukraine and Russia are major global food suppliers. The National Bank of Poland has taken active steps, including launching the “anti-Putin shield,” to ease these inflationary pressures with a mix of economic, financial, and security measures.

The crisis also has a humanitarian side – the arrival of 1.7 million Ukrainian refugees in Poland. This situation, while challenging, also offers economic possibilities. Despite initially losing workers due to Ukrainian men returning to fight, integrating these refugees into Poland’s workforce could be beneficial.

Poland’s ambassador to Ukraine, Bartosz Cichocki, notes, “The Russian invasion in late February 2022 brought our nations and governments much closer. In those days, we immediately helped the Ukrainians, caring for their families and supplying ammunition. It was a crucial time of solidarity.”

However, this unconditional support has changed. European Pravda, a leading Ukrainian news outlet, said in January, “Week after week, Poland is undermining Ukraine’s future in Europe,” indicating a shift in their relationship as the war continues.

Looking forward, the war’s lasting effects on Poland are complex. Companies moving offices from Russia to Poland could boost its economy and job market, making Poland a key player in Central Europe. Also, Europe’s effort to cut down on Russian energy could affect Poland’s coal-heavy energy industry, bringing both challenges and chances, especially in light of the EU’s goals for greener energy.

The events in Eastern Europe, driven by the Ukraine war, are significantly changing Poland’s economic and political scene. in crises, nations often focus on their own interests and gains. This approach usually leads to more nationalist tendencies, with countries increasingly looking after their own needs.

Polish farmers block the road to the border crossing during a protest over price pressures, taxes and green regulation, grievances shared by European farmers and against importing agricultural produce and food products from Ukraine, in Okopy near Dorohusk, Poland, February 20, 2024. REUTERS/Kuba Stezycki

The current economic frictions between Poland and Ukraine, notably in the agricultural sector, signal Ukraine’s rising capability to challenge Poland in the European sphere. The protests by Polish farmers against the influx of Ukrainian produce are not merely about market competition but also shed light on deeper concerns around economic strategy, cost burdens, and EU regulatory impacts. As both countries endeavor to fortify their economies in the post-conflict era, a shift towards more competitive, perhaps nationalistic, economic policies seems inevitable. This evolution could markedly alter the nature of European economic collaboration and rivalry. Ukraine’s burgeoning economic presence is poised to redefine its interactions with Poland, and possibly with other European states, shaping a new reality where competitive forces drive growth and innovation, while simultaneously testing the strength of existing economic partnerships and cooperative frameworks.

Written by Waheed Abu Araiz

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