The FTA negotiations are conducted by the Foreign Trade Administration of the Israeli Ministry of Economy and Industry, which, based on the content of the contract, is also supported by other ministries and government authorities (e.g. B.dem Ministry of Justice and ministry of finance). The Foreign Trade Agency regularly seeks trade partnerships with countries that have complementary economies (identified through feasibility studies) in order to fill gaps and overcome restrictions on the Israeli economy. To date, it has concluded numerous free trade agreements, including the United States, Great Britain, Mexico, Colombia, Canada and Turkey, and is currently negotiating many others. According to the Ministry of Economy and Industry, 67 percent of Israel`s international trade is done under free trade agreements. A free trade agreement between Ukraine and Israel will be concluded on the 1st President Volodymyr Selenskyj announced on Twitter on January 24, 2021 that the agreement had been ratified by the Knesset, the Israeli parliament. After the signing ceremony of the free trade agreement, the Israeli Ministry of Economy and Industry released teasers of some reduced and removed obligations under the agreement. These include: Joel Lion, Israel`s ambassador to Ukraine, said the deal is expected to increase trade revenue between the countries by 15 percent over the next five years to about $1 billion. The Israeli market is characterized as rather closed, with high import duties on different categories of products.
Thus, the free trade agreement with Israel paves the way for Ukrainian exporters to have better chances and better trade benefits, including trade in the Ukraine-EU-Israel format. On 21 January 2019, Ukraine and Israel formally concluded a free trade agreement. The final agreement, which was the culmination of seven years of negotiations, was signed by Stepan Kubiv, Ukraine`s Minister of Economic Development and Trade, and Eli Cohen, Israel`s Minister of Economy and Industry. In 2013, it became clear that Ukraine has a complementary economy. As a country relatively poor in raw materials, Israel has become a major exporter of manufactured goods based on foreign intermediate consumption. The main exports (beyond services) are plastics, rubbers and machinery. Ukraine, on the other hand, has a wealth of natural resources and is the net exporter of industrial and agricultural products. The free trade agreement between Ukraine and Israel should focus on trade in goods and the dismantling (or elimination) of customs barriers. CIS Free Trade Agreement (member countries: Ukraine, Azerbaijan, Belarus, Armenia, Kazakhstan, Kyrgyzstan, Moldova, Russian Federation, Tajikistan, Turkmenistan, Uzbekistan), signed on 18 October 2011 and ratified by Ukraine on 13 July 2012. The Ministry of Foreign Affairs of Ukraine has an important role to play in supporting and assisting diplomatically in the conduct of negotiations on the conclusion of bilateral and multilateral free trade agreements (in addition – FTAs). .