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Agreement on approval of pricing policy between the Republic of Kazakhstan and Russian Federation

of March 23, 1992

Became effective from the moment of signing

The governments of the Republic of Kazakhstan and the Russian Federation proceeding from earlier reached agreements in the field of coordination of work on pricing,

agreed as follows:

Article 1

The parties agreed to perfrom calculations for deliveries of products (works, services) between the companies and the organizations for the developing free prices on non-discriminatory basis, without use of the excise duties which are not applied in the domestic market, other indirect taxes and export duties.

By separate mutually agreed types of products limits of the prices based on the world prices in US dollars with recalculation in rubles on the approved coefficients with subsequent their indexing are applied.

Article 2

For the purpose of control of unreasonable increase in prices of the Party agreed to perform price regulation on products of enterprise monopolists sold at the free (contractual) prices and also to approve cost structure, included in product cost.

Article 3

Temporarily, before liberalization of energy costs to establish the extreme mutually agreed level of coefficients of increase in prices for the steam coal, coal which is coked oil, oil gas, gas condensate, gas natural, boiler and motor fuel, kerosene, and also on services of transport and communication.

Article 4.

The parties will charge to relevant organs of management to approve in 2-week time conversion factors of the world prices in rubles for the most important types of raw materials, the fuel and energy resources, materials and food delivered on interstate barter with subsequent their indexation; price regulation methods on products of enterprise monopolists sold at the free (contractual) prices then decisions on terms of transition to these prices will be made. In the same time to approve temporary coefficients of increase in prices for the separate types of products given in Article 3 of this agreement.

For the government of the Republic of Kazakhstan

For the government of the Russian Federation

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