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  • Expand EU Free Trade Eastwards, Say MEPs

    EXPAND EU FREE TRADE EASTWARDS, SAY MEPS

    armradio.am
    03.07.2012 16:28

    The EU must build deep and comprehensive free trade areas with its
    eastern neighbours to help them pursue democracy and prevent conflicts
    in the region, says a resolution passed by MEPs on Tuesday. Parliament
    makes specific recommendations to each of the six ex-USSR countries
    (Armenia, Azerbaijan, Belarus, Georgia, Moldova and Ukraine) in the
    EU's Eastern Partnership.

    "The central aim of the report is to promote and strengthen the rule
    of law and civil society in the EU's Eastern Partner countries" said
    rapporteur Miroslav Ransdorf (GUE-NGL, CZ), when presenting the report.

    The EU is already the main export destination of most eastern
    partnership countries, but MEPs worry that China's economic presence in
    the region is growing, and that Russia could undermine the EU's trade
    negotiations with its eastern partners, e.g. by offering them lower
    gas prices. To help establish free trade areas, MEPs call on these
    partners to bring their national laws into line with EU legislation.

    Armenia

    MEPs are concerned about Armenia's close links between politics and
    business, less than transparent tax system and poor protection for
    investors. They also draw attention to the Nagorno-Karabakh dispute
    with Azerbaijan and point out that conflict with Turkey keeps Armenia
    economically isolated. Opening up Armenia's borders will help reduce
    its dependence on Russia, they add.

    Azerbaijan

    MEPs call on Azerbaijan to diversify its economy, noting that its
    reliance on oil, which accounts for half its GDP, makes it vulnerable
    to oil price volatility. They also call on the Azerbaijani government
    to make the country more attractive to foreign investors.

    Georgia

    MEPs note that Georgia has the highest alleged prevalence of pirated
    software of any eastern country and urge the Georgian authorities to
    tackle this problem. The resolution calls on Georgia to ensure that,
    after the conclusion of the free trade area negotiations, only products
    originating from regions formally recognising their adhesion to the
    Georgian state are eligible for trade preferences.

    Negotiations for a deep and comprehensive free trade agreement with
    Ukraine were completed in October 2011. The agreement will enter into
    force after the conclusion of the EU-Ukraine Association Agreement.

    The first rounds of negotiations with Armenia, Georgia and Moldova
    took place in spring 2012. Negotiations with Azerbaijan and Belarus
    were suspended due to lack of progress.




    From: A. Papazian
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