Brussels, 29/07/2011 (Agence Europe) - Talks on Russia's accession to the WTO have intensified in Geneva over recent weeks but several key issues have still to be resolved. In addition to the problem of Georgia, with which Moscow has to come to an agreement under Swiss mediation on implementing common customs structures in Abkhazia and South Ossetia, Russia must also settle the issue of meat import quotas, its investment scheme in the automobile sector, and sanitary and phytosanitary measures. Barroso and Putin met to discuss these matters this week.
As the summer break fast approaches, the Russian authorities state they are confident that the completion of talks on Russian accession of the WTO may coincide with the meeting of the General Council of the multilateral organisation on 14-16 December this year. “It is a technical plan proposed by the director of the working group at the WTO, Stefan Johannesson”, said Russia's chief negotiator in Geneva, Maxim Medvedkov, cited by the Russian press agency, RIA Novosti. Once the talks have ended, the working group will prepare all the relevant documents which will then be forwarded to the WTO General Council.
Johannesson believes the discussions on Russia's accession to the WTO have reached a critical point for a decision on whether or not they may be concluded this year, or a little later. Despite the points still to be resolved, the ambassador of Iceland said, the conclusion of talks with Moscow is technically possible this year. To this end, the 153 member nationals are expected to adopt the final package of agreements with Russia at the end of November at the latest.
Two major dossiers remain outstanding: - on one hand, the Russian sanitary and phytosanitary measures, which are often underlined to block imports of farm produce and other goods; - and, on the other hand, the Russian scheme for investment in the automotive industry. In order to protect a promising motor industry, Moscow has put measures in place such as reduced import taxes for spare parts. The aim is to give major global groups an incentive to manufacture on the spot in partnership with Russian companies in exchange for the development or construction of production plants in Russia with a production capacity of at least 300,000 cars per year by 2020, and the use of a significant quantity of parts produced locally. In mid-July, Vladimir Putin spoke of “difficult discussion” with the European Commission and the US administration on the process for admission to the WTO. The Russian prime minster and the president of the European Commission, José Manuel Barroso, are reported by Russian sources as having spoken on this specific matter and on the matter as a whole by phone this week.
Moscow also has to lift another massive barrier, that of resolving at the WTO a bilateral agreement on market access for goods and services with Georgia, as it has already done with around 60 member states. Tbilissi makes the legalisation of customs posts in Abkhazia and South Ossetia a precondition for its endorsement of Russian accession. These breakaway Georgian provinces were recognised by Moscow as independent states after the war in 2008. Russia, however, can count on the support of Switzerland, which has assumed a mediating role over several months. (E.H./transl.jl)