The presidents of the five member countries of the Eurasian economic Union arrived at the residence of the President of Kazakstan in the center of Astana to attend the summit of the EEU. The Union includes Armenia, Belarus, Kazakhstan, Kyrgyzstan and Russia.
Azerbaijan threatens the EEU
In April ahead of a meeting of heads of governments of the EEU between the member countries of the Union were at odds. Due to the clashes in Nagorno-Karabakh Kazakhstan with assistance of Belarus took a decision to postpone scheduled for April 8 meeting. It was held five days later in Moscow. This decision undermined the credibility of the organization, said Sargsyan in April at a meeting with Russian Prime Minister Dmitry Medvedev
At the enlarged meeting of the EEU in Astana on Tuesday, the President said that security problems affect the economic attractiveness of an economic Union. Integration Association, according to him, can be successful only in a safe environment.
“The escalation by Azerbaijan in early April, the situation became a serious challenge to the security space of the EEU,” he said. — The risk is obvious. Or space will be treated as a zone of stability and security in which to invest, either all will come from the pockets of discord and conflict,” warned Sargsyan. None of the other heads of state of Sargsyan in this discussion are not supported.
Common market of hydrocarbons
The panellists concluded that the cooperation of the EEU with the European Union, the Shanghai cooperation organization (SCO), ASEAN and China should achieve economic development. Nazarbayev proposed to hold an international concerence the EEU and the EU, and Putin supported its initiative. Such conference is planned for autumn, but the certainty that it will be, still was not told earlier, a senior source in the foreign Ministry.
Because of the Ukrainian crisis talks on the subject of cooperation between the two unions almost froze. The Ukrainian issue was one of Central at the previous summit in Moscow at the end of last year, but at the summit in Astana the Ukrainian question was not discussed, says one of the participants of the discussions.
In addition to the establishment of cooperation with the EU presidents supported the necessity to start negotiations with China. According to the Vice Prime Minister of Russia Igor Shuvalov, to begin with we shall investigate the non-tariff barriers to trade, barriers that were canceled and left in the past.
In addition to China as a possible trading partners of the EAEC presidents mentioned Singapore, Cambodia and Iran. The only country that created a free trade zone with the Union became Vietnam. But from the EAEU corresponding agreement was ratified only by Moscow and Astana. Sargsyan promised that the Armenian Parliament will complete the ratification procedure next week.
The first Vice-Premier of the Russian government Igor Shuvalov said that the leaders of the EAEU countries endorsed the concept of a common hydrocarbon market. “The documents were born difficult. The next phase is the preparation of an intergovernmental agreement”, — he said. Putin in his speech expressed confidence that the new market will work in 2025. Lukashenka paid attention that from the concept to the adoption of the EAEC usually takes a long time.
Problems of integration
President of Belarus Alexander Lukashenko named the main problems of integration, which in his account do not change from year to year. In particular, the increase in turnover is tempered by the numerous restrictions in trade, says Lukashenka. A common market of medicinal products will earn this year, and the number of trade restrictions is reduced, retorted Putin Lukashenko. Many of the restrictions abolished, a few will be canceled this year, he said.
In addition, not solved the problem of how to act, if one state introduces measures of protection against third countries, said Lukashenko. Russia has imposed restrictions in respect of Ukraine and Turkey, but partners in the EAEC did not go for it. Not earned a common market of medicines and medical devices — “further conversations business is not has gone”, stated the Belarusian leader.
Starting with positive results for joined the Union a year ago, Kyrgyzstan (abolished border procedures at the border with Kazakhstan and improved the situation of migrants in Russia), President Almazbek Atambayev is also moved to the downside, pointing to problems with the use of a common railway tariffs and embargoes from Kazakhstan to the Kyrgyz supply of potatoes. While Atambayev concluded his speech on a positive note, noting that the Union only two years and no problems “young body” does not develop.
At the meeting with President of Kazakhstan Nursultan Nazarbayev, Putin said that the Union does not expect “any magical means”, but it can help “to overcome the current difficulties”.
According to the Eurasian economic Commission, the combined GDP of the member countries of the EEU in January-September 2015 was $1.1 trillion, a decrease compared to the same period in 2014 to 3%. The volume of industrial production in 2015 also decreased 3.4% to $907,1 billion). At the end of 2015 the volume of mutual trade of States–members of the Union amounted to $45.4 billion, which is 25.8% less than in 2014 the Volume of foreign trade in 2015 compared to 2014 decreased by 33.6% — up to $579,5 billion, including exports — $altitude of 374.1 billion, import — $205,4 billion.