Nina Shtanski, “Cancellation of the Customs Duties and Environmental Taxes is a Real and Viable Result of “Small Steps” Tactics and the Unconditional Step towards Strengthening Confidence”

Nina Shtanski, “Cancellation of the Customs Duties and Environmental Taxes is a Real and Viable Result of “Small Steps” Tactics and the Unconditional Step towards Strengthening Confidence”

Today, the Ministry of Foreign Affairs of the PMR has been notified by the political representative of Moldova Yevgeny Karpov that a number of Pridnestrovie's requirements with regard to lifting blockade restrictions for Pridnestrovian enterprises was satisfied by the Moldovan side. The point, in particular, is about the cancellation of customs duties on carrying out import-export operations and environmental taxes for Pridnestrovian enterprises. 

Commenting to journalists of the First Pridnestrovian TV Channel on the decisions taken by the Moldovan side, Deputy Chairperson of the Government of the PMR for International Cooperation, Foreign Minister Nina Shtanski reminded the  background of the issue and informed about the extent of negative impact of the customs duties and environmental taxes on the Pridnestrovian economy. 

“As a result of the blockade in 2006 Pridnestrovian enterprises were required to register in the Republic of Moldova in order to carry out foreign economic activity. It led to the double customs clearance for all our enterprises which exported goods. It was in contradiction with the reached agreements, with the order the Republic of Moldova declared, for that reason we could not ignore that issue. For the first time, it was put on the agenda upon resumption of the official negotiations in 2012 in the framework of the Dublin round. We broadly informed the 5+2 participants of those expenses that were annually borne by Pridnestrovian enterprises. Particularly, only customs clearance of imported and exported goods cost them 14 million dollars for those years, the money which was not spend on technical re-equipping of the enterprises, on increasing production or material incentives for staff,” - noted the Diplomat.

In her comment Nina Shtanski touched separately on the issue of cancellation of environmental tax that, according to her, the Pridnestrovian side was raised in 2009. “The environmental tax which our enterprises have been charged since 2008 is difficult to justify, as the enterprises which paid it are located in Pridnestrovie, therefore it should return to Pridnestrovie for improving environmental situation. Meanwhile, since 2008 our enterprises have paid such tax in amounts of more than 700 thousand dollars,”- she highlighted.

According to Nina Shtanski, the issue on the cancellation of the environmental tax was first raised in 2009; however, it failed to approach the issue at that time. In spring this year during the meeting with the President of the PMR Yevgeny Shevchuk the heads of practically all large enterprises of the republic noted that problem and the head of state instructed the Foreign Ministry to make actual that issue in the negotiations.  

The Head of the PMR's MFA evaluated positively the decision of the Moldovan side on the cancellation of customs and environmental duties, and she also stressed that the success was common for the sides of the negotiations. “I can note that there has not been the kind of round in the 5+2 negotiations over two years and a half where these two issues were not a part of the agenda in the framework of so-called “socio-economic basket”. Today, we note with satisfaction that this decision has been taken. The enterprises are exempted from these payments, what, I hope, will significantly impact on production development. The decisions remove about 5% of the blockade burden which lies with our enterprises. We have much to work on; however, we welcome this step and believe that decision is the common success for both Pridenstrovie and Moldova. This is a real viable result of “small steps” tactics and the unconditional step towards strengthening confidence,” – stated Nina Shtanski.