Brussels, 03/07/2012 (Agence Europe) - MEPs have said that the EU must build deep and comprehensive free-trade areas with its eastern neighbours to help them in their pursuit of democracy and prevent conflicts in the region.
In a resolution (report by Miroslav Ransdorf, GUE-NGL, Czech Republic), passed by show of hands in plenary session in Strasbourg on Tuesday 3 July, the European Parliament (EP) sets out specific recommendations to each of the six ex-USSR countries in the EU's Eastern Partnership. 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, for example, by offering them lower gas prices. To help establish free trade areas, the EP calls on its Eastern Partnership partners to bring their national laws into line with EU legislation.
Armenia. MEPs are concerned about the close links in Armenia between politics and business, its 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. The EU and Armenia are looking to conclude an agreement putting in place a free-trade area as part of the broader framework of an association agreement that has been under negotiation since July 2010.
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.
Belarus. MEPs regret that the Belarus economic model and political standards are drifting away from the EU, says the resolution, noting that 80% of its companies are publicly owned and that 20% of Belarusians live below the poverty line. The resolution also notes the importance of Belarus as an energy transit country.
Georgia. MEPs call on Georgia, which is alleged to have the highest prevalence of pirated software of any country in the region, to tackle the problem. The resolution calls on Georgian authorities to ensure that, after the conclusion of a free-trade agreement, only products originating from regions formally recognising their adhesion to the Georgian state are eligible for trade preferences. The EU and Georgia have, since March, been negotiating a deep and comprehensive free-trade agreement, as part of the association agreement that has been under negotiation since July 2010.
Moldova. MEPs note that Moldova's economy is still fragile, but hail the reforms undertaken by the country to boost its economic growth. In the spring, the EU and Moldova opened talks on a deep and comprehensive free-trade agreement, as part of the broader framework of the association agreement that has been under negotiation since January 2010
Ukraine. MEPs worry about the negative effects of Ukraine's business and investment climate, which can include barriers to market entry. They also call on the government to amend its laws to facilitate free and uninterrupted transit of gas to EU countries. MEPs hope, too, that the political obstacles to the signature of the association agreement, concluded in October 2011, will soon be overcome. (EH/transl.rt)