EU Warns Russia Over Trade ‘Threats’ To Ex-Soviet Bloc

EU WARNS RUSSIA OVER TRADE ‘THREATS’ TO EX-SOVIET BLOC

12 September 2013 Last updated at 11:21

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The European Commission has warned Russia that it is “unacceptable”
to use threats against ex-Soviet states which are seeking closer ties
with the EU.

The warning from EU Enlargement Commissioner Stefan Fuele came after
Russia banned imports of Moldovan wine and spirits, citing quality
concerns.

Mr Fuele said the EU had no such issues with Moldova’s alcoholic
drinks.

Moldova called the Russian move unfair, echoing similar concerns in
Ukraine and Armenia about Russian pressure.

Russia is offering former Soviet republics a customs union – a
partnership that Belarus and Kazakhstan have already joined.

The Commission – the EU’s executive – is preparing to sign association
agreements with Armenia, Moldova and Ukraine in November. Such
agreements are seen as key milestones towards eventual EU membership.

But last week Armenia’s President Serge Sarkisian said his country was
interested in joining the Russian-led customs union. The Commission
responded with concern, saying Armenia could not operate two different
sets of trade rules.

Russian President Vladimir Putin hopes to establish a future “Eurasian
Union” – a trade bloc similar to the EU, but without the commitments
to democratic values and open competition which are fundamental to
EU membership.

Plea to Russia

In a speech to the European Parliament, Mr Fuele said “the development
of the Eurasian Economic Union project must respect our partners’
sovereign decisions”.

“Any threats from Russia linked to the possible signing of agreements
with the European Union are unacceptable. This applies to all forms
of pressure, including: the possible misuse of energy pricing;
artificial trade obstacles such as import bans of dubious WTO
[World Trade Organisation] compatibility and cumbersome customs
procedures; military co-operation and security guarantees: and the
instrumentalisation of protracted conflicts.

“This is not how international relations should function on our
continent in the 21st Century. Such actions clearly breach the
principles to which all European states have subscribed.”

Mr Fuele also said the EU’s association agreements “are not conceived
at Russia’s expense”. Rather, Russia would “benefit greatly” from
closer European integration, he stressed.

Moldova’s President Nicolae Timofti called the Russian import ban on
its alcoholic drinks “unfriendly and un-Christian”.

Romania – an EU member – has told neighbouring Moldova that it will
increase imports of Moldovan wine.

Mr Fuele said the Commission was also considering “how to further
increase the wine quota for Moldovan exports to the EU”, and would
provide technical help for Moldova to boost its exports in other
sectors such as poultry.

Moldova is one of Europe’s poorest countries, not helped by the
unresolved Trans-Dniester conflict, which left a big strip of its
land in the hands of pro-Moscow separatists.

Ukraine’s strategic importance for Russia historically far outweighs
that of Armenia or Moldova, and Ukraine’s heavy reliance on Russian
gas has given Moscow considerable leverage.

Russia’s gas monopoly Gazprom has previously cut supplies to Ukraine
in the winter, complaining of overdue bills. Ukrainian politicians
have condemned what they see as political pressure from Moscow.

Ukraine says it is reforming its laws to comply with EU requirements –
but EU concerns about human rights remain a big obstacle. The EU has
urged Ukraine to release opposition leader Yulia Tymoshenko from jail,
after a trial which was widely seen as politically motivated.

http://www.bbc.co.uk/news/world-europe-24061556