Bulgaria and Romania are paying a hefty economic and political price for not benefitting fully from the Schengen regime, which also adversely affects the EU’s competitiveness and economic growth. It is high time that the Council of the EU set a date for lifting land border controls between the two countries and the other Schengen Member States, writes Mariya Mincheva, rapporteur of the opinion The cost of non-Schengen for the single market – impact on Bulgaria and Romania.  

By Mariya Mincheva

Bulgaria and Romania fulfilled the conditions for joining the Schengen zone in 2011. However, 13 years later, they have still not been granted the full benefits of free movement. This discrepancy carries a political price and fuels euroscepticism.

At a Council meeting on 22 November in Budapest, the internal affairs ministers of Hungary, Austria, Bulgaria and Romania agreed to 'initiate the necessary steps' to set a date to lift checks on land borders, subject to stronger efforts to stem irregular migrants arriving via the Western Balkan route.

The Schengen Agreement is essential for the free movement of people, goods, services and capital within the EU, and is a key factor in the EU's economic success. Limitations undermine the EU's competitiveness and economic growth and hamper the delivery of the social market economy, as envisaged in the Treaties.

For years, Member States have been temporarily reintroducing border controls. However, the economic and social impact of these decisions on the single market has not been evaluated. The European Commission assesses physical trade barriers, but this only covers border blockades, demonstrations and truck attacks. The effects of land border controls, including the temporary reintroduction of border controls by Schengen Member States, are not taken into account.

In 2023, the Council agreed to lift internal air and maritime border controls with Bulgaria and Romania as of 31 March 2024. However, checks at internal land borders have been maintained, with no date set for their removal, resulting in significant costs and preventing companies from reaping the full benefits of the single market.

By taking steps to fully integrate Bulgaria and Romania into the Schengen zone, the EU can strengthen its internal cohesion, enhance its competitiveness and uphold the fundamental principles of free movement and solidarity underpinning the European project.

The European Parliament has argued that not being part of the Schengen zone could affect market expectations of these countries' status in the EU. It is a political signal that could have a bearing on the yields of government bonds, the prices of financial assets and the interest rates faced by firms and households, and could harm the real economy.

Both countries pay billions of euros annually due to increased logistics costs, delays in delivering goods and equipment, and increased fuel and driver costs. These direct costs are inevitably passed on to consumers through higher prices, impacting workers' physical and mental health.

This situation hampers tourism. It also impedes the free movement of labour, limiting opportunities for workers from Bulgaria and Romania to seek employment in neighbouring Member States. This limitation affects the construction, agriculture and services industries, which rely heavily on seasonal and temporary workers.

In his report on the future of the single market, Enrico Letta calls for firm opposition to any attempt to limit freedom of movement between Member States, including technical restrictions on routes and road transport, and any suspension of the Schengen Agreement.

It is high time that the Council set a date for lifting land border controls between Bulgaria, Romania and the other Member States which are members of the Schengen zone. A final decision on this issue is expected at the meeting of the EU Council for Justice and Home Affairs on 12 December.

As 2024 draws to a close, I reflect on a year of significant achievements for the European Economic and Social Committee (EESC). Together, we have strengthened civil society’s voice, reinforced democratic principles, and championed sustainability within Europe and globally.

One of our proudest milestones was the launch of the Enlargement Candidate Members (ECM) initiative, bringing representatives from EU candidate countries into EESC advisory processes. This initiative reaffirms our commitment to a transparent and merit-based enlargement process, preparing future member states to fully participate in shaping the EU.

We expanded global partnerships through the signing of a Memorandum of Understanding with Brazil’s Sustainable Economic and Social Development Council. This strengthened cooperation on sustainable development and democracy, exemplified during my meetings with President Lula da Silva. At the G20 Social Summit in Rio de Janeiro, the EESC played a central role, advocating for governance reform and enhanced social protections alongside President Lula and the Brazilian government. Similarly, our partnership with the African Union, formalized through a joint declaration at the UN Summit of the Future, emphasized inclusive global governance and equitable climate action. These global initiatives highlight the EESC’s growing influence in addressing shared challenges.

Within Europe, the Civil Society Week demonstrated the importance of grassroots engagement in shaping the EU’s future. At the High-Level Enlargement Forum, we reaffirmed that enlargement is not just about expanding borders but about deepening shared values. Meetings with leaders like Albanian Prime Minister Edi Rama focused on ensuring that civil society plays a central role in EU accession negotiations. These efforts were complemented by discussions on digital transformation at the EESC Bureau meeting in Warsaw, aligning technological advancements with European values of equity and fairness. These efforts lay the groundwork for the upcoming Polish EU presidency.

As we look to 2025, our focus remains on strengthening participatory democracy, advancing social justice, and tackling global challenges like climate change and digitalization. The EESC will continue to work tirelessly for a Europe that listens, inspires, and leaves no one behind.

May the coming year bring peace, progress, and prosperity to all.