Union State’s Export Support Centre to help boost exports to third countries - experts

<p> MINSK, Jul 29 - PrimePress. The Export Support Centre of the Union State will help stimulate exports to third countries. This is stated in the analytical report “Union State of Belarus and Russia: Results for Citizens and Prospects” prepared by a joint working group of experts from Belarus and Russia under the auspices of the Gromyko Association for Foreign Policy Studies. </p> <p>   </p> <p> The Union State has played a role in the preservation of industry, but has already exhausted its potential for growth, experts say. They recommend not focusing on the restoration of Soviet technological and industrial chains: “Today industrial development needs new institutions that work to launch and manage economic growth”. </p> <p>   </p> <p> For this purpose it is necessary to ensure equal conditions for access of goods, works and services to the markets of the Union State, equal conditions for entrepreneurship and investment of capital, including the resolution of economic disputes and enforcement of judicial decisions. </p> <p>   </p> <p> In addition, it is necessary to increase trade turnover through the integration of businesses up to and including mergers, common subsidy and public procurement programmes, and tax exemptions. The creation of a Union State Export Support Centre should be considered, using the experience of the Russian Export Centre and the financial resources of the Eurasian Development Bank, using financial and non-financial instruments to stimulate exports to third countries (China, Vietnam, Egypt, Iran, etc.). </p> <p>   </p> <p> Experts suggest developing a system of project planning based on private-public co-investment with relevant institutions, developing production and technological cooperation, and elaborating an action plan for ‘union import substitution’. </p> <p>   </p> <p> The report notes that there has been no significant diversification of Belarusian exports to the West and Asia: the EU market is closed by tariff and non-tariff barriers, while exports to China are hampered by the long transport leg and non-tariff barriers. </p> <p>   </p> <p> In 2020, Russia accounted for 47.9% of Belarus’ total trade turnover, including 45.2% of exports (41.5% in 2019) and 50.2% of imports (55.8% in 2019). </p> <p>   </p> <p> Belarus is one of Russia’s top three trading partners in 2020. Exports of Belarusian goods to the Russian market in 2020 amounted to $13.1 billion, exceeding the average annual level for the last 5 years. However, the trade deficit with Russia dropped 2.5 times to $3.2bn due to falling energy prices. In 2020, services exports from Belarus to Russia totalled $2.4bn, services imports from Russia totalled $1.4bn, and the surplus was around $1bn. </p> <p>   </p> <p> China is Belarus’ second largest partner, with a trade turnover of $4.6 billion. However, exports to China are less than $0.8 billion, whereas Chinese imports to Belarus are $3.8 billion. Belarus exported $3.9 billion worth of goods to the EU in 2020 (dominated by raw materials and semi-finished products), while imports from the EU to Belarus amounted to $6.2 billion. The trade balance in services was also negative at €0.5 billion. </p> <p>   </p> <p> Experts believe that the commodity structure of trade with Russia is still beneficial for Belarus: while buying energy from Russia at low prices, Belarus supplies mostly agricultural and industrial products to the Russian market. End </p>

2021-07-30

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