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What can’t the “road map” of Armenia’s CU accession “conceal”?

February 03,2014 17:03

The Government of Armenia has published the “road map” of Armenia’s Customs Union (CU) accession. It is an extensive document of 249 pages and 262 clauses. It consists of 2 main sections: “Customs Union” and “Common Economic Space” that contain 10 sub-chapters. These subchapters define the amendments of the activities in specific areas, which stipulate from the decision of Armenia’s accession to the Customs Union. The amendments were made in the sections of “Technical Regulation”, “Transport and Infrastructure”, “Trade Policy”, “Financial Policy,” “Natural monopolies”, “Energy”, “Competition policy and state (municipal) procurement”, “Labor Migration,” “Currency policy and financial markets” and in others.

The first clause of the document provided for updating the list of international treaties regulating the customs legal relations in the CU, the joining of which are mandatory for Armenia along with the accession to the CU.

According to the 3rd clause of the “Road Map”, it is envisaged to define the list of RA normative legal acts, which will be necessary to amend in compliance with the CU legislation. Also, preparation and enforcement of regulation for transportation of goods and vehicles by physical entities will be carried out, and in this context, elaboration of a draft of respective legal act and a study of CU legal acts will be conducted.

In compliance with the CU Customs Code, nomenclature of goods for foreign economic activity will be developed. Also, it is planned to initiate measures aimed at mutual recognition of customs identification measures. The document states that the absence of a common border between Armenia and the CU member states, and accordingly, it defines holding of negotiations on identification measures.

The document stipulates that, if necessary, legal bases and practice for execution of customs control might also be amended, for which Armenia should provide adequate conditions for the Eurasian Economic Commission experts. Also, a procedure for executing customs control in compliance with the CU legislation will be developed. Clause 16 of published document clearly states that there might be also amendments in the legislation on RA criminal and administrative offenses.

Clause 20 is also obvious, which defines that the agreements concluded by Armenia with CU non-member states should comply with the CU legal-contractual base.

In accordance with clause 21, elimination of customs control over the goods transported between Armenia and other CU member state in open airports for International communications. As well as elimination of customs control over foreign goods documented by the customs procedures, in compliance with the terms of such transmission. Clause 104 of the document provides for the definition of the list of products and rates, which, in the transition period of Armenia, require application of customs duties for import different from the rates of Unified customs tariffs determined by the CU. Clause 119 defines that Armenia is expected to mandatory execution of decisions adopted by the CU and Customs Economic Space authorities regarding the customs value of the goods. Clause 148 defines “Declaration of cash amounts and/or monetary instruments” by physical entities.

Amendments are expected in the energy sector. According to clause 171, given the lack of a common border with the other member states, an analyses of terms providing the accessibility to services of natural monopolies in the energy sector will be conducted. It is anticipated electricity sector, the harmonization of legislation. It is envisaged to harmonize the RA legislation regulating the energy sector. It is envisaged to define the list of RA normative legal acts, which will be necessary to amend to comply with normative legal base of the CU and Common Economic Space, in the sector of oil and gas industry. It is expected to submit the Eurasian Economic Commission information on economic indicators used for the development of annual projections on overall socio -economic development of the CU and Common Economic Space (based on agreed list). It is envisaged to define a list of RA legal acts in the sphere of regulating the activities of natural monopoly entities, which will be necessary to amend to comply with the legal-contractual base of the Customs Union and the Common Economic Space. It is noteworthy that elaboration of the list of normative legal acts must be agreed with the Eurasian Economic Commission by Armenia.

Tatev Harutyunyan

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