EurAsEC reorganization tops Kazakh President’s official visit to Moscow

March 20, 2012

The Eurasian Economic Community may be reorganized. The Kremlin has staged this year’s first meeting of the EurAsEC Interstate Council, the main theme of which was the reform of the organization.

Kazakhstan, Russia and Belarus are now united by the Customs Union and the Common Economic Space. For the future, Astana, Moscow and Minsk are building large-scale plans to build a fully-fledged Eurasian Union, which implies completely different prospects.

Integration is profitable. Not only politicians but also business leaders are widely talking about it. For instance, after Kazakhstan, Russia and Belarus became united by the common economic space, entrepreneurs of the three countries have acquired entirely new possibilities. Any company incorporated in the three countries will enjoy the privileges of the three states, including transportation and agriculture tariffs. A record-high trade growth is expected in the near future, however, experts are now talking about the present-day leap in trade between the two major partners, Russia and Kazakhstan.

Last year alone, the trade turnover between the two countries exceeded 23.5 billion US dollars, which is almost 43% more than in 2010, while the export of goods from Kazakhstan increased by almost 50%.

Viktor Prikolotto, Director, Izolit LLP (Petropavlovsk, Kazakhstan):
-First, there are no customs procedures any more. This is the most important aspect. We do not have to spend a lot of time on customs clearance for our products. Those enterprises, which were in the centre of Russia, especially when they were going through Moscow and the Moscow region, it was much more difficult to do the customs clearance. Now, the products arrive directly from the suppliers to the ordering companies without any issues.

During the meeting, the leaders of Kazakhstan, Russia and Belarus and the heads of other EurAsEC member states addressed the issues of operation of the Eurasian Economic Commission, as well as other important aspects of further integration. In particular, the sides touched upon the unification of passport and visa control within the Customs Union, as well as the possibility of the Kyrgyz Republic and Tajikistan joining the Common Economic Space. While at the Kremlin, Nursultan Nazarbayev also held bilateral talks with the President of Kyrgyzstan, Almazbek Atambayev as the two sides discussed further cooperation between the two countries. On Tuesday, the Kazakh Leader is scheduled to meet with Russia’s Prime Minister and President-elect, Vladimir Putin.