Tkachev: sugar import duty-Kazakhstan and Belarus prejudicial to the interests of the Russian Federation

© RIA Novosti / Vladimir Mackinderite in fotobanka sugar. Archival photoTkachev: sugar import duty-Kazakhstan and Belarus prejudicial to the interests of the Russian Federation© RIA Novosti / Vladimir Mackinderite the image Bank

Kazakhstan and Belarus that import sugar from third countries without duties, worsen the situation in this market within the EAEU and create negative conditions for Russian producers, says the Minister of agriculture of the Russian Federation Alexander Tkachev.

«Duty-free import of sugar in Kazakhstan and Belarus from Brazil, Thailand, EU creates unequal economic conditions for domestic producers of beet sugar in the EEU», — told RIA Novosti Tkachev.

According to him, in fact, it creates limitations for the export of Russian sugar to the territory of the two countries, leading to falling prices, a reduction in acreage in the future and the risks of bankruptcy of agricultural enterprises and sugar factories. «And this is often the largest taxpayers in the regions,» the Minister added.

«Sugar production in the world is growing, which creates a risk of overproduction and reduce prices, given the unequal terms of trade in sugar within the EAEU, on August 1, 2017, the wholesale price of sugar fell by 44%, from 44 to 26 rubles to the level of 2014», — said Tkachev.

He reminded that last year Russia came in first place in the world production of beet sugar — 6.2 million tons, ahead of countries such as France, USA and Germany. «This year, the sown area of sugar beet was increased by 6%, this will allow to produce up to 52 million tons of sugar beet and, consequently, to 6.5 million tons of sugar, and so Russia will remain the world leader in the manufacture of sugar», — said the head of the Ministry of agriculture.

According to Tkachev, the Ministry of agriculture has developed the plan of measures on stabilization of the situation on the sugar market. The Agency plans to monitor the admission to the territory of the EAEU of sugar from third countries and to prepare proposals for the export of Russian surplus sugar.

For alignment in the countries of the EEU economic conditions producers of sugar and sugar-containing products, including confectionery and non-alcoholic products, the Ministry of agriculture will turn into the MAYOR of the Russian Federation with a request to consider the site of the Eurasian economic Commission two questions. The first is on the adoption of the unified rules of import of sugar and the proposal of the Belarusian and Kazakh party purchasing Russian sugar instead of raw sugar imports from foreign countries. The second question is about the removal of white sugar from the list of goods permitted to be placed for processing in free economic zones and free customs warehouses.

Tkachev: sugar import duty-Kazakhstan and Belarus prejudicial to the interests of the Russian Federation© RIA Novosti, Integratiebeleid in fotomonster and objectives of the Eurasian economic Union

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