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Russia weighs break with some WTO pacts
Published in The Saudi Gazette on 26 - 08 - 2008

Russia signaled Monday it may break off some trade agreements concluded as part of negotiations to join the World Trade Organizsation, news agencies reported, quoting from a top ministers' meeting chaired by Prime Minister Vladimir Putin.
“Russia intends to inform various WTO partners of its withdrawal from accords that contradict its interests,” the reports quoted First Deputy Prime Minister Igor Shuvalov as saying at the “presidium” of top ministers.
Putin said Russia should withdraw from some of the agreements signed earlier on WTO accession, Interfax reported.
“We propose continuing negotiations within the framework of the working group on WTO accession, but informing our partners of the need to exit some agreements which currently oppose the interests of the Russian Federation,” Putin said.
“We don't feel or see any advantages from membership, if they exist at all. But we are carrying the burden,” Interfax quoted the prime minister as saying. “We need to make this clear to our partners.”
“Certain sectors of our economy, above all agriculture, are carrying a fairly heavy load,” RIA Novosti news agency quoted Putin as saying, referring to WTO accession.
Putin gave his assent to the plan set out by Shuvalov, saying: “That is reasonable.”
The comments come against a background of deteriorating relations between Russia and the West over Russia's military surge into southern neighbor Georgia.
Over the weekend the German news magazine Der Spiegel quoted US Commerce Secretary Carlos Gutierrez as saying Washington's support for Russia's WTO bid could be at stake as a result of Russian actions in Georgia.
Shuvalov laid out a number of objections to the agreements reached so far, mentioning state support for some US companies.
Putin said that withdrawing from some agreements did not mean breaking off talks altogether.
“This doesn't mean we should renounce our strategic course towards the WTO but there should be some clarifications on this question.... elementary fairness should prevail,” said Putin.
The prime minister, who stood down as president in May and remains highly influential, reiterated previous Russian objections to joining the WTO, saying the entry process was placing a heavy load on Russian agriculture.
“It turns out that we don't see or feel any pluses from membership and if there are some, we still carry a burden,” Putin said.
“We need to get things clear with our partners .... we need to think most seriously about protecting our manufacturers,” Putin added.
Russia has been trying to join the WTO since its inception in 1995.
Its failure to clinch membership makes it the only major economy outside the 153-nation trade body.
Russia's current arch-foe Georgia is already a member of the WTO, giving it a say in Moscow's entry.


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