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EU Association Agreement: Ukraine Fee To Pick Partners, Putin Says

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  • EU Association Agreement: Ukraine Fee To Pick Partners, Putin Says

    EU ASSOCIATION AGREEMENT: UKRAINE FEE TO PICK PARTNERS, PUTIN SAYS

    September 20, 2013 - 10:04 AMT

    PanARMENIAN.Net - Russia respects Ukraine's right to choose its
    priorities and partners, including Kiev's choice between closer
    economic cooperation with Moscow or European integration, Russian
    President Vladimir Putin said on Thursday, September 19, according
    to RIA Novosti.

    "Today, Ukraine is an independent state and we respect it. And,
    of course, the choice of priorities, the choice of allies is a
    national sovereign right of the Ukrainian people and the Ukrainian
    leadership," Putin said at a meeting of the annual Valdai Discussion
    Club, commenting on Ukraine's plans to sign an association agreement
    with the European Union.

    On Wednesday Ukraine's government approved the draft European Union
    Association Agreement, moving the country one step closer to its
    final signing, which is slated for November.

    Moscow has been increasing pressure on Kiev to join the Customs
    Union, which would - in effect - keep Ukraine under Russia's sphere
    of influence. Although Ukraine has observer status in this bloc,
    it has made it clear it does not plan to take on full membership.

    During Thursday's meeting of the Valdai Club, which gathered high-level
    Russian officials and foreign political scientists, Putin reiterated
    that Russia is worried that European goods could enter Ukraine - free
    of import duties - and then be re-exported to Customs Union countries,
    flooding the market and undercutting domestic producers.

    The Russian president added that Russia was also seeking to sign a
    new basic agreement with the EU and if the two states joined forces
    and entered the talks with a common stance, they would be able to
    negotiate more favorable terms of the deal.

    "We believe that if Ukraine joined the Customs Union and we coordinated
    our joint efforts and negotiated with the Europeans, we would had
    more chance to negotiate better terms of trade with our main economic
    and trade partner," Putin said, adding that trade with the EU states
    accounts for nearly a half of all Russian trade turnover.

    He said that according to estimates made by Russian experts and
    confirmed by Ukraine's Academy of Sciences, Ukraine would receive
    additional budget incomes of nearly $9 billion if it joins the
    Customs Union.

    "[But] how would [Ukraine] benefit from the association with EU? Open
    markets? Well, this does make economy more liberal. But I have no
    idea about whether Ukrainian economy will be able to cope with such
    liberalism. But this is not our business, our Ukrainian partners
    should decide it for themselves," Putin said. The EU, concerned over
    Armenia's jointing the Customs Union, will make concessions to Ukraine
    in signing the Association Agreement, Eavex Capital investment company
    said in an analytical article on September 16.

    "With Ukraine as the most important country in the Eastern Partnership,
    the recent EU statement should be viewed as an expression of support
    to Kyiv in its intention to sign the Association and Free Trade
    agreements in Vilnius," ForUm quoted Eavex Capital as saying.

    According to analysts, the European Commission President Jose Manuel
    Barroso may back Ukraine in this issue, having earlier mentioned
    Kyiv's European aspirations as a priority.

    http://www.panarmenian.net/eng/news/170228/

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