ANNOUNCEMENT 07 Apr 2010In April 2010, the government of Russia announced a change in import duties.
NUMBER OF INTERVENTIONS
Ministry of Economic Development. The Main directions of Customs Tariff policy for 2011 and 2012-2013 years (7 April 2010). Available from < http://www.economy.gov.ru/minec/activity/sections/foreignEconomicActivity/regulation/doc20100407_06 >
Priorities for the customs and tariff policy of Russia will be adjusted according to the draft guidelines for customs and tariff policy in 2011 and the planned period 2012 and 2013 which has been prepared by the Russian Ministry of Economic Development. This draft takes into account the concept of long-term socio-economic development of the Russian Federation until 2020, the Guidelines of the Government of the Russian Federation until 2020 and the Guidelines for Foreign Policy of the Russian Federation until 2020. Priorities for the customs and tariff policy for the medium term as a whole have been identified in the Major areas of customs and tariff policy in 2010 and the planned period 2011 and 2012.
The strategy also describes the results of customs-tariff policy in 2009. Thus, out of 1000 tariff lines, which were changedin 2009, the import tariff on 570 tariff lines were increased and on 430 tariff lines were decreased. The tariff increase was introduced on 10.2 of the Russian imports, the tariff decrease - on 2.5 of Russian imports.
The global financial crisis, reduction of the global and domestic demand, anti-crisis measures, as well as the establishment of the Customs Union led to to the correction of tariff policy priorities which were announced in June 2009.
First, it is necessary to ensure the effectiveness and efficiency of the functioning of a supranational regulatory framework of the Customs Union. This will require implementation of appropriate policies, procedures and regulations, allowing effectively coordinating positions of the parties and taking them into account in the decisions to a supranational body.
Second, to develop and implement effective mechanisms to promote Russia's position in the Customs Union, to strengthen the validity of the proposed decision by the Russian side, the prediction of their socio-economic and trade policy implications.
Third, modern problems of the domestic economy show the need to use import tariff policy in the process of diversification and restructuring of the Russian industrial complex. During the transition to innovation-based economy tariff policy should be used in achieving results of industrial policy. There will be a need for greater protection of specific markets in the initial production cycle of innovative products. At the same time it is necessary to set the import tariff and nontariff regulation to encourage production and export of innovative, high-tech products together with the development of institutions promoting exports. It is also important to improve the regulatory framework in the area of trade policy. Further simplification and reduction of administrative procedures is required, as well as the use of all instruments of measures to protect the market, permitted by the WTO rules.
The draft states that tariff policy in 2011 should become one of the key factors of competitive advantage of the Russian innovative businesses through:
In 2012-2013 the priority will be given to the import of high tech industrial production which can increase the competitiveness of the Russian production and increase exports. The export tariffs will remain in the following areas: oil and oil products, forest, and scrap metals.
The draft also describes the qualitative changes in the format of trade-political interaction within the Commonwealth of Independent States (CIS). The draft of agreement on multilateral free trade area within CIS was developed in 2007-2008. The agreement is expected to be signed in 2010-2011. The creation of free trade area within the CIS region reflects Russian strategic interests and dos not contradict Russia's commitments with regard to the Customs Union or the WTO. This agreement will substitute multiple bilateral agreements within the CIS region; introduce one interpretation oftrade terms and procedures; cover substantially all trade; contain Dispute settlement provision as well as provisions which include procedure for other countries to join the FTA.