Russia's Border Policy Diverts Regional Trade Via South

[Hakobian Adrine]

Civil Georgia, Georgia
Sept 21 2004

Russia's Border Policy Diverts Regional Trade Via South Ossetia


According to reports by the Georgian service of Radio Free
Europe/Radio Liberty (RFE/RL), Russia's decision to close the Larsi
border checkpoint with Georgia diverts the regional trade via South
Ossetia.

Russia officially closed the border with Georgia after the Beslan
tragedy in North Ossetia, and it has remained closed for the last 20
days. Eyewitnesses say buses and cars not only from Georgia, but from
from Armenia and Azerbaijan as well, are stuck at the border.

RFE/RL correspondents reported that traffic of Azeri and Armenian
goods via secessionist South Ossetia has increased significantly.
Despite its announcement to close its border with Georgia, the South
Ossetian section of the Russo-Georgian border (Roki pass) remains
open.

According to the head of Georgia's Customs Northern Department, Kakha
Mikeladze, loses of customs revenues from the Larsi checkpoint during
these last 20 days were between 3 and 4 million Lari.