On July 1, 2010, the CU of the EAEU was created, the purpose of which is to modernize, increase the competitiveness and living standards of the population of the participating countries. Currently, the Eurasian Economic Union includes only five states, including Russia, but about 50 more countries have expressed interest in the common free trade zone.
What is a customs union
Such an alliance is an agreement between two or more countries on the abolition of payments for the movement of various goods across the border, one of the forms of foreign trade state policy, which ensures the freedom of movement of services, goods and labor, a common system of quality control and certification. In fact, this is a kind of interstate economic integration, the creation of a common market that will ensure the growth of jobs, the economy and production of the member countries of the union.
Member States of the CU EAEU
The EAEU CU for 2019 includes five states: Armenia, Belarus, Kyrgyzstan, Kazakhstan and Russia. The first agreement on the creation of the Customs Union was concluded between Russia and Kazakhstan on July 1, 2010. This date is considered the day of foundation of the EAEU CU. But even ten years earlier, Russia and Belarus concluded a similar agreement, which in fact opened the borders between these two states. But the organization was officially approved only in 2010. On July 6 of the same year, Belarus officially became the third member of the Customs Union.
The new Customs Code included the abolition of transport controls at the borders between the CU countries, the creation of opportunities for the active release of allies' products to the international level, free trade and free movement of labor migrants.
The Armenian government signed an agreement on joining the Customs Union in October 2014, and the agreement itself entered into force only in 2015, on January 2, which coincided with Armenia's accession to the EAEU itself. The chronology of the decision to join the union is as follows. In 2012, Tigran Sargsyan, then the incumbent Prime Minister, and now the Chairman of the Board of the Eurasian Economic Commission, spoke quite harshly about the CU, explaining that he considered joining it rather inexpedient for Armenia, suggesting that the government look for other forms of interstate cooperation with Russia. There were many opponents of joining the CU in the state, but their positions were assessed as weak and unconvincing, and next year, 2013, President Serzh Sargsyan announced a firm decision to join the Customs Union, signing a memorandum in November that initiated the procedure for Armenia's joining the CU. EAEU.
In the far-reaching plans of the Russian government, Armenia was to occupy the niche that Moldavia previously occupied - the supply of wine and fruit and vegetable products. In addition, Armenia received many important benefits that contribute to the strengthening of the republic's economy: a long-term freeze in gas prices, the receipt of oil products, diamonds and other important resources without unnecessary margins.
The Kyrgyz Republic has been a full member of the Customs Union since May 8, 2015. Moreover, the government of the country made a decision to join in 2011, and the application for membership was submitted in 2013. It was planned that by the end of 2013 the working commission will determine the necessary measures for Kyrgyzstan to join the CU.
Of course, the main reason for Kyrgyzstan's accession to the Customs Union was broad economic benefits, employment opportunities for local residents in the EAEU countries, and a decrease in economic dependence on Chinese products. It was the solution of the issue of free movement of labor migrants in the CU roadmap that became the main requirement of the republic for joining the EAEU CU.
CU candidate countries
In early 2013, the Syrian government expressed a desire to enter their country into the Customs Union. In Damascus, negotiations were held between Oleg Yermolovich, Ambassador of the Republic of Belarus and the head of the Ministry of Economy of Syria, Muhammad Zafer Mhabbak. The minister expressed hope that Belarus will support the entry of his state into the CU.
At that time, it was rather a desire to strengthen its international positions, but fearing Russia's involvement in an international conflict amid growing tension in Syria, the CU member states did not discuss the possibility of joining Syria in the near future. In addition, the country's economic conditions and its remoteness from the borders of other allies make it practically impossible to comply with the CU principles.
In January 2015, Tunisia expressed its desire to join the EAEU CU. Ali Gutali, Ambassador of Tunisia, said he expects to carry out the accession procedure in the near future. This country is primarily interested in a huge new market for the sale of fruits and vegetables and cheeses. Tunisia is going through a period of rapid development of agriculture after the "Arab Spring", and the state will come in handy with a solid economic partner.
Tunisia is one of the world's largest producers of olive oil, which it has to supply to the United States and South America, which is rather unprofitable. Russia and other CU countries will provide an opportunity to develop a new sales market, while Tunisia promises to increase production several times.
Tunisia is one of the most popular destinations for Russian tourism, and the creation of a single customs office could significantly enhance the economic benefits of tourism. Finally, Tunisia produces cheeses that are in no way inferior to the banned European ones, so this small country is quite capable of “compensating” the Russians for the shortage of a tasty product.
Prospects for the development of the vehicle
The Russian government plans to complete the process of full integration of the CU countries by 2025. It was then that a supranational organization for the regulation of the CU common financial market would be created in Alma-Ata. Probably, by this time there will be a common currency under the provision of raw materials exports from Kazakhstan and Russia.
An important part of the development prospects of the EAEU, designed to expand the economic integration of the CIS countries, Russia considers its conjugation with the PRC program called "One Belt - One Road", in which the Republic of China proposed the creation of a united economic zone "Silk Road" (including the sea), able to serve as insurance and supplement to trade between the countries of Eurasia in the event of a US blockade and sanctions. The Customs Union is an integral part of the Eurasian Economic Union (EAEU).
At the same time, quite disturbing processes have been taking place in the TS recently. The leadership of Kazakhstan believes that for the entire period of its existence, the CU has brought nothing to the economy of the republic. Moreover, Russian export products are often more expensive than domestic ones.
In 2014, Russia refused to import Belarusian meat and banned the transit of European products through Belarus, thereby violating all agreements reached within the framework of the Customs Union and, according to Lukashenko, the norms of international law. Today, the Republic of Belarus considers Russia an insufficiently reliable partner and is ready to abandon many agreements.
Criticism of the Customs Union concerns a poorly developed certification system, insufficiently comfortable terms of trade, and Russia's imposition of the terms of the WTO (World Trade Organization) on its "allies", although only the Russian Federation is a member of it. There is another opinion regarding the CU - the political scientist Pastukhov argue that it is rather an ideological entity, rather unviable, for "domestic" use in order to expand economic influence in other countries.
