Agro Perspectiva

The Eurasian Economic Union: becoming a reality?

26.12.2011 13:16 "Agro Perspectiva" (Kyiv) — Integration on the post-Soviet territory is becoming a reality. In 2011 the Customs Union of Russia, Belarus and Kazakhstan was launched. On January 1, 2012, the three states are going to start working within a single economic zone. This all, however, was part of a more significant project called the Eurasian Union. Some western analysts believe that if the project is successful, the U.S. and China will have to face a new strong rival on the international scene. Russia is going to continue restoring its old ties with the former Soviet republics, President Dmitry Medvedev said in his state-of-the-nation address last week: «A free flow of services, capital and workforce will be added to the free movement of goods. We expect the Eurasian Economic Union to come into existence by 2015.» Russia’s Prime Minister Vladimir Putin wrote an article to Izvestiya in early October to outline his vision of the Eurasian Economic Union. The western media then accused Mr. Putin of attempting to revive the Soviet Union. The prime minister responded by saying that his idea was about economic integration of sovereign states. The first several months since the creation of the Customs Union have proved the project’s efficiency: trade volume between the countries has jumped by one-third. Apart from other things, the Eurasian Union is expected to successfully join the global economic market, analyst for the National Strategy Institute Yuri Solozobov told the VoR: «Norms existing in the European Union were taken into consideration while shaping the framework for the Eurasian Union agreement. By the year 2020 we plan to have a zone of associative trade with the EU. Now we are considering several strong transit projects linking the Asia-Pacific region and Europe. As a result of this, we will join the global market not relying on our raw material economies but on our industries and innovations. Besides, our territorial security will thus be guaranteed as everybody wants to have a reliable partner in the heart of Eurasia.» Experts in the West have showed interest in the idea of the Eurasian Union. The International Business Times online global business newspaper says that the creation of such kind of union will allow its members to compensate the economic losses they have suffered after the collapse of the Soviet Union and be protected from political and military interference from abroad. Integration within the Eurasian Union is going to be a really serious project, and it will first of all affect the economic sphere: apart from a free trade zone, member states may unite their electricity networks and start trading in national currencies. They might even introduce a single currency. Experts for the Collective Security Treaty Organization (CSTO) have already been working to outline key principles of a single defensive system that would cover all members of the Eurasian Economic Union. The organization is open to new members. Kyrgyzstan and Tajikistan have already showed their interest to join in. Each candidate will be provided with a ‘road map’ plan considering all peculiarities of its economic and political situation. The Eurasian union will open new horizons for its members, paving the way for consolidation of several economies affecting 250 million people. It`s no surprise that the project of the Eurasian Economic Union was backed by many people. Latest opinion polls show that most Russians like the idea.