Russia may achieve sugar cane import duty changes within WTO
MOSCOW. March 1 (Interfax) - Russia may achieve changes to the scale for determining raw sugar cane import duties within the WTO.
"In accordance with WTO regulations the Russian delegation has started consultations with key supply countries [of raw sugar cane] in order to agree the terms for tariff protection at a level that is closer to the current reality," Andrei Slepnev, the Eurasian Economic Commission Trade Minister, said on the sidelines of the CIS Sugar Market-2012 conference in Moscow on Thursday.
The scale at which duties are calculated depending on the price for raw sugar cane on the NYMEX could change, he said. "But other adjustments are also possible," he said without commenting on any further details of the talks.
Changes are needed because the "customs tariff protection parameters for the Russian sugar market that are contained in Russia's negotiated commitments within the WTO were agreed in 2006," when the price of sugar on the international market differed considerably to today's price, he said. "It has become clear to Russia and to our main partners that the price situation on the sugar market has changed considerably in 2011," Slepnev said. "Nevertheless, the figures have been included in commitments as agreed," he said.
The scale at which import duties for raw sugar cane imports are calculated was significantly increased in 2009 due to a sharp rise in prices on the international sugar market, Slepnev said.
The potential for changes to the import regime for sugar "is real enough and I hope that this will ensure success for Russian negotiators."
After Russia's official position on WTO accession was revealed, many experts on the sugar market said it would significantly weaken the sugar cane import regime to the country.