Macedonia will initiate liberalization of commodities trade with Russia by signing free trade agreement, free trade, Minister of Finance Zoran Stavreski announced on Wednesday’s business meeting of the Macedonian-Russian Chamber of Commerce titled “Russian Federation – Permanent Challenge for Macedonian Economy”, held at the occasion of its 5th anniversary.
 
Minister Stavreski pointed out that free trade was in interest of both countries, hoping that Russia would also support the initiative. Macedonian-Russian Chamber of Commerce, as Stavreski said, aims at establishing contacts with Russian companies for more intensive penetration at the large Russian market. It is big potential for Macedonian export, mainly in the field of agriculture and construction, as sectors that can be more present on that market. Thus, it is very important to initiate possible exemption of export of Macedonian commodities from customs duties, an issue we will raise at the next meting of the mixed Macedonian-Russian Commission, Stavreski said.
 
We also expect, he added, to intensify the cooperation in the field of energy, mining and other sectors, where the Government plans several huge infrastructure projects. Russian companies have good competitive advantages and can find interest in Macedonia. On medium term, this should result in increase of export of Macedonian commodities to Russia, deficit reduction and increase of overall trade with commodities, Minister of Finance said.
 
He said that Russia’s clearing debt to Macedonia, amounting to US$ 60 million will be settled by May at the latest. Macedonia is ready to sign the agreement on regulating the clearing debt. Due to changes of the Russian chairperson, the meeting may be postponed for two-three weeks, however, we expect for this issue to be closed by the end of May this year at the latest, Stavreski said.
 
Russian Ambassador to Skopje Vladimir Solotsinsky advised Macedonian companies to look for partners not only in Moscow and its surrounding, but also in regions of Russia, demanding their services, where they can compete with other foreign companies.
 
According to Solotsinsky, the most important challenges in the trade relations between both countries remain to be the enormous trade imbalance, which, as he said, creates burdening deficit in the Macedonian economy, as well as diversification of Russian export in Macedonia.
 
Ambassador Solotsinsky asked for the activities of inter-governmental Russian-Macedonian Commission on Trade, Economic, Scientific and Technical Cooperation to resume as soon as possible.
 
Gjorgji Dika, Chairman of Macedonian-Russian Chamber of Commerce also pointed out to the Commission’s significance in overcoming many problems, among which the loss of identity of Macedonian products in Russia. Large number of Macedonian products lose their identity, i.e. they can be found in the statistical database of Russia’s institutions under national flags of other countries. This is a result of mediators-exporters from Serbia, as most favourable country as a result of the Free Trade Agreement, and from Bulgaria as well, Dika said.
 
Dika pointed out the lack of railway and airline connections as big obstacles to the trade relations between both countries. Regarding neighbouring countries in the region, Dika said, it becomes clear that Macedonia looks like “isolated island” in the economic cooperation with the Russians Federation. At the same time, we are witness of huge investments of Russia in Bulgaria, Montenegro and Serbia, Dika said.
 
Trade volume between Macedonia and Russia, following the growth several years in a row, amounted to US$ 517 million last year, or it was lower by 46% compared to 2008. Macedonia still faces high deficit in overall trade. Import from Russia was in the amount of US$ 495 million or it was lower by 47% compared to 2008, while Macedonian export accounted for US$ 22.5 million, i.e. it was lower by 31%.(MIA)
