TRADING PARTNERS RAISE CONCERNS REGARDING RUSSIA’S WTO ACCESSION
Russia denied criticisms this week from the US and EU that the country was ‘dragging its feet’ in WTO accession talks.
"As of today we are fulfilling all the commitments that we have taken on," said Russian Economy and Trade Minister German Gref. He went on to say, however, that he no longer was sure that the process would be completed by the end of the year as previously hoped.
EU Ambassador to Moscow Marc Franco said implementation of the bilateral WTO deal Russia signed with the EU in 2004 (see BRIDGES Weekly, 2 June 2004, http://www.ictsd.org/weekly/04-06-02/story5.htm) was taking a long time. Pending areas included adjusted tariffs on goods shipped by rail and licensing of imports of alcoholic beverages. Another hiccup in the process was Russia’s recent decision to raise export duties on unprocessed timber, announced in February. The raise more than doubled duties on raw log exports with more sharp raises planned in the future. Finland launched a strong protest on 2 March claiming the duties violated the 2004 treaty with the EU. Russia, however, defended the tariff as a means to spur domestic investment in the industry.
EU Trade Commissioner Peter Mandelson plans to visit Moscow in late March for talks with Russian trade officials.
The US also prodded Russia to fulfil its commitments. US Trade Representative Schwab said the US was concerned over agriculture and intellectual property right issues, particularly software and video piracy. Russia recently held meetings in Geneva to present its new legislation on intellectual property, including enforcement, but Members reportedly remained unconvinced.
The US and Russia signed their bilateral accession deal in November 2006 (see BRIDGES Weekly, 22 November 2006). Russia must also conclude bilateral negotiations with Georgia before joining the WTO. Talks are currently stalled because of Georgia’s insistence that it be given control of two customs checkpoints — Psou, and Roki. Moscow has not yet agreed to discuss the issue.
Russia’s one trillion USD economy is the largest outside the WTO.
"Russia ready to dicuss legalization of Psou and Roki Tunnel customs’ checkpoints?" THE MESSENGER (GEORGIA), 2 March 2007; "Russia denies delaying WTO accession talks," MOSNEWS, 6 March 2007; "Finland says high Russian wood export duty hurts Moscow’s WTO chances," MOSNEWS, 5 March 2007; "Russia denies foot-dragging in WTO entry talks," REUTERS, 5 March 2007; "Officials Say Concerns on Russian IP Enforcement Remain Following WTO Talks," BNA, 2 March 2007.