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Armenia to receive a hint from the European Union not to hope for the privileges

May 22,2015 15:32

Ahead to the summit in Riga, clarifications are made to the RA-EU new format talks

Today, Riga will host a two-day summit of Eastern Partnership, where the EU and the partner countries will clarify the program objectives for the coming years and the formats of bilateral cooperation. Ahead to the Riga Summit, some clarifications are made as to what clauses will be covered in the upcoming signed document with Armenia. In particular, one of the top EU officials (not willing to publicize his name) announced a day before that in addition to the political component, the new document will contain a section on trade and investments.

Note that the European Commission has already approved the proposal addressed to the European Council to allow starting negotiations over the preparation of the framework agreement between the EU and Armenia. According to information provided by the EU official, this document will define the rules for cooperation for the businesses and the investors, it will include areas that are not regulated by the WTO and the EaEU rules. In fact, according to the EU official, Armenia is relatively free in the industry of investment and procurement, where it is not limited to the rules of the World Trade Organization and the Eurasian Economic Union, while for the rest of the areas, the Republic of Armenia is not free, but bound by the WTO and the EaEU rules. However, the Brussels representative also pointed out that unlike the Association Agreement, which Armenia did not signed with the EU, this document does not define privileges, however, it will be a major contribution to deepening the bilateral relations.

Many of the economic analysts are not particularly enthusiastic about the fact that this new document will contain a section on Trade and Investment, as it is not going to produce particularly tangible results and privileges to Armenia. There are opinions that it is possible that no document will be signed in Riga between Armenia and the EU, but to declare about the launch of negotiations.

In the conversation with “Aravot”, Head of the “Alternative” Research Center and economist Tatul Manaseryan noted that the new document will enable Armenia to find its “niche” in the context of regional integration. To our observation that the document will not give privileges to Armenia, however, it is warned by the level of senior EU official, Mr. Manaseryan responded, “Regardless of whether there will be additional privileges or not, Armenia is already in the system of GSP Plus, which provides a rating to Armenia in the political and economic aspects and allows improving its positions.” To our observation of whether reviews are also possible in this matter, Mr. Manaseryan did not consider it possible, reminding that even under the tensest period – in the period of sanctions against Russia- it was not done.

We wondered that even if the new document contains some economic reservations with regard to the same trade and investment, so what tangible benefits and positive impact it may have on Armenia’s economy, the economist responded, “No document can have a direct impact on the economy, the question here is about how we can use this opportunity and what kind of work we should conduct in this direction. If we do nothing, this document would give nothing to us.”

Tatul Manaseryan reminded also about the contradictions that may arise in relation with Armenia and EU in respect to the EaEU accession, the economist considered them imaginary and substantiated, “At least two members of the EaEU member countries are members of the World Trade Organization where the rules of the game are the same for everyone. Based on this, all these efforts and conclusions are artificial that are done especially to divert Armenia to the direction of “either-or”. Unfortunately, it has a political sub-context.” Tatul Manaseryan expressed hope that the “relations between Moscow and Brussels would become warm, and the issue of this choice would not only be, but the two regional unions will be complementary to each other.”

At the end of the conversation, we wandered whether Armenia’s EaEU accession losses are not already visible, especially for the reason that it will be announced in Riga about the allocation of 3 billion euros to the countries that have signed the Association Agreement, Mr. Manaseryan replied, “There can be no word about the losses. The countries that had initialed the Association Agreement, they, naturally, should have had expectations also for financial needs. But new opportunities are provided for Armenia, the EU has envisaged a new format for Armenia, in addition to the Eastern Partnership program. Hence, I would suggest speaking less about the losses, but to talk more about the possibilities.”

 Tatev HARUTYUNYAN,

“Aravot” Daily 21.05.2015

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