Tajik economist says it is unprofitable for Tajikistan to join any customs unions

Payrav Chorshanbiyev

DUSHANBE, October 3, Asia-Plus  — Establishment of the Customs Union is expected to be among key issues on the agenda of a session of the Interstate Committee of the Eurasian Economic Community (EAEC), which will be held in Tajik capital this week.  

Commenting on this issue, known Tajik economist, Professor Hojimuhammad Umarov noted that an agreement on the establishment of the Customs Union will be singed between Belarus, Russia and Kazakhstan 

“Today, it is unprofitable for Tajikistan to join any customs unions,” said Umarov, “At present, 46 percent of receipts to the country’s national budget are so-called border taxes and duties and in the event of Tajikistan’s joining the future Customs Union the volume of these receipts will considerably reduce.”   

On the concept of water and energy regulation in Central Asia, which has also been tabled on the agenda of the EAEC summit in Dushanbe, the expert said there are serious disagreements between countries located in the upper reaches of Central Asian rivers and those located in the lower reaches of the Central Asian rivers.  “This issue could be resolved only with approach to the problem from a position of international norms and conventions on this issue,” said Umarov, “In this case, I think it is necessary to enlist the services of international experts that could give concrete recommendations, taking into consideration ecological and national security of the counties of the region”    

He expressed confidence that no concrete agreement will be signed on this issue in Dushanbe.  

He also noted that the issues related to canceling visa regime between Tajikistan and Uzbekistan and completing the construction of the Roghun hydroelectric power station (HPS) could be brought up at the EAEC summit in Dushanbe. 

“Police of the Uzbek government on the visa regime issue is traditionally not quite standard, and it is quite probable that Uzbekistan will sign a document canceling the visa regime tomorrow, but I am not sure that it will not annul its own decision for any reasons the day after tomorrow,” Umarov said.  

On further fate of the Roghun hydroelectricity project, he said that most likely Russia and Tajikistan will jointly complete the construction of this station.  However, he further added that it cannot be ruled out Kazakhstan and other countries would joint the project, “but only in the event if the EAEC summit will reach consensus on the water and energy problem.”  


 

The Eurasian Economic Community (EAEC) was put into motion on October 10 2000 when Belarus, Kazakhstan, Kyrgyzstan, Russia and Tajikistan signed the treaty. EAEC was formally created when the treaty was finally ratified by all five member states in May 2001.

EAEC grew out of the CIS Customs Union. All the members of EAEC are also members of the older Commonwealth of Independent States and the relationship between the two organizations is ambiguous.  The members have also all agreed that EEAC should be merged with the Central Asian Cooperation Organization (CACO).  With the revival of EAEC in 2005 there is a possibility for the Common Economic Space agenda to be implemented in its framework with or without the participation of Ukraine. This was confirmed in August 2006


– initially a customs union it will consist of Belarus, Russia and Kazakhstan, with other EAEC members joining later.  

In May 2002, Moldova and Ukraine were granted observer status within EAEC; however, Ukraine subsequently revealed its desire not to become a full member state.  Armenia received observer status in April 2003.

Uzbekistan applied for membership in October 2005 when the process of merging CACO and EAEC began. The organizations joined on January 25, 2006.   

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