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The decision on the course of accomplishment of decisions of Council of heads of states of the Commonwealth of Independent States of April 2, 1999 about creation of the free trade area

of June 21, 2000

Council of heads of states of the Commonwealth of Independent States solved:

2. Consider as priority actions on forming of the free trade area during 2000-2001:

development and approval on bilateral basis in the fourth quarter 2000 of schedules of cancellation of withdrawals from free trade regime;

transition to collection of indirect taxes by the principle of "country of destination" of goods.

Take into consideration the statement Russian Federations about its readiness to start immediately carrying out bilateral negotiations on withdrawals from free trade regime and to simultaneous transition to collection of indirect taxes by the principle of "country of destination" of goods.

3. Approve Offers on forming and functioning of the free trade area (are applied).

4. Charge to the governments of the State Parties of the Commonwealth of Independent States to provide accomplishment of this Decision.

5. Charge to Executive committee, Economic council, to industry bodies of the Commonwealth of Independent States to carry out organizational work on implementation of Offers on forming and functioning of the free trade area.

It is made in the city of Moscow on June 21, 2000 in one authentic copy in Russian. The authentic copy is stored in Executive committee of the Commonwealth of Independent States which will send to each state which signed this Decision, its verified copy.

 

For the Azerbaijan Republic 

For the Republic of Moldova

For the Republic of Armenia 

For the Russian Federation

For the Republic of Belarus

For the Republic of Tajikistan

For Georgia 

For Turkmenistan

For the Republic of Kazakhstan 

For the Republic of Uzbekistan

For the Kyrgyz Republic  

For Ukraine 

Appendix

Offers on forming and functioning of the free trade area

First-priority measures for creation of the free trade area

Terms and the main actions for creation of the FTA are determined in the Action program by development of the Commonwealth of Independent States for the period till 2005.

At initial stage during 2000-2001 it is necessary:

1. In 2000 to provide completion of interstate procedures for enforcement of the Agreement on creation of the free trade area of April 15, 1994 and the Protocol on modification and amendments in it of April 2, 1999, and also the Agreement on the principles of collection of indirect taxes during the exporting and commodity import (works, services) between the State Parties of the CIS of November 28, 1998.

2. In 2000 to develop and approve schedules of cancellation of withdrawals from free trade regime.

3. Pass to collection of indirect taxes - by the principle of "country of destination".

Actions for forming of the free trade area

1. Complete interstate procedures and enact the following earlier signed documents:

- The agreement on carrying out the approved antimonopoly policy of January 25, 1999;

- The convention on multinational corporations of March 6, 1998;

- The support agreement and development of small business in the State Parties of the Commonwealth of Independent States of January 17, 1997;

- The agreement on carrying out coordinated policy in range of definition of transit fares of January 17, 1997;

- The agreement on mutual recognition of the licenses for implementation of construction activities granted by licensed bodies of the State Parties of the Commonwealth of Independent States of March 27, 1997;

- The agreement on the Total agrarian market of the State Parties of the CIS of March 6, 1998;

- The agreement on the principles of forming of general transport space and interaction of the State Parties of the Commonwealth of Independent States in the field of transport policy of October 9, 1997;

- The agreement on procedure for transit through the territories of gosudarstvuchastnik of the Commonwealth of July 4, 1999;

- The agreement on procedure for customs clearance and customs control of the goods moved between the State Parties of the Agreement on creation of the free trade area of October 8, 1999;

- The protocol on order of interaction of Customs Services of the State Parties of the Commonwealth of Independent States when transporting particular loads and military products of October 8, 1999.

2. Prepare offers on use of balance sheet calculations for rationalization of flows of commodities and to the mechanism of regulation of trade and economic relations and protection of common interests within the FTA.

3. Develop offers on creation of the effective mechanism of the payment and settlement relations, implementation of electronic forms of trade, creation of financial center of the CIS on settlement with use of leasing, clearing and bills of exchange.

4. Periodically (at least 2 times a year) to carry out monitoring and the analysis of trade and economic relations and taking into account the received results to bring amendments in actions for forming of the FTA.

5. To annually determine the list of competitive goods which can constitute basis for expansion of export of the CIS countries and provide the analysis of the possible markets of their sale.

6. Analyze and prepare offers on use in practice of the CIS of international experience of functioning of free trade areas (MERCOSUR, TsEFTA, NAFTA, ASEAN, etc.), including on identification of "sensitive" groups of goods, introduction of the tariff quotas or gradual annual reduction of tariffs, holding multilateral negotiations (by the principles of GATT - the WTO).

7. Carry out the analysis national legislative and! regulations regarding identification of direct and indirect barriers in mutual trade for the purpose of development of offers on elimination of the called barriers.

8. In 2001 to create the business center of the CIS (Interstate information and marketing and the contract - the leasing center of the CIS), to prepare the draft of the Interstate program of creation of network of information marketing centers for promotion of goods and services on the national markets of the CIS countries.

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