President of the PMR Vadim Krasnoselsky spoke about what Moldova calls “equal conditions for doing business” in an interview with the First Pridnestrovian TV channel
Nikita Kondratov, First Pridnestrovian TV:
Vadim Nikolaevich, since 2019 Moldova has been enhancing economic pressure on Pridnestrovie, debanking our companies in Moldova. It has imposed customs duties from January 1, 2024. All these measures are dressed, so to speak, “to create equal business conditions.” How would you comment on this topic? What conditions does Moldova develop? What “equality” means?
Vadim Krasnoselsky, President of the PMR:
Following the media, I find following things evident: during interviews, some Moldovans either have no clue what is happening about Pridnestrovie, or say that it is supposedly necessary to equalize business terms for Moldovan and Pridnestrovian economic operators. Apparently, we have some kind of preferences. What does it mean? It points to the fact either that Moldova is deceiving its people, or Moldovans simply don’t have the actual information and are not interested in it. I would like to show what is actually happening based on Moldovan legislation. When Moldova violates our rights, the rights of Pridnestrovians, it violates its fundamental documents, i.e. the Declaration of Independence, the Constitution, and other laws.
I’ll start from the moment when the Pridnestrovian business received a blow. However, people forget about it. I mean June 2019, before the elections of the current President of Moldova. What did Moldova do then? In violation of all legal rules, including European rules, Moldova closed bank accounts of our Pridnestrovian companies. Without any relevant explanation. At the same time, we held negotiations and met several times. We actually asked for a simple thing. Give our enterprises an algorithm to register a bank account, documents to provide, standards for compliance. They have promised, but have done nothing. In fact, in 2015-2016 Europe enabled trade with the EU for us under the DCFTA formula. It’s well known. At the same time, the Europeans required registration of our economic operators in Moldova and, accordingly, have bank accounts there. What is a bank account? It is transparency, legitimacy, and, of course, the ability to control all these aspects. But how did Moldova act? Moldova closed all accounts of our enterprises, almost all of them. At least the accounts of the main companies. Back then we shared lists, talked, explained – nothing. Again, we just ask to give the algorithm – what is needed? We receive nothing. This is how 2019 went.
Nikita Kondratov, First Pridnestrovian TV:
Well, they called the reason, i.e. “terrorist financing”…
Vadim Krasnoselsky, President of the PMR:
Nonsense! What do they understand as terrorism? Is it purchasing milk, sour cream, eggs, food – to put it bluntly? What terrorists? That’s ridiculous. And no one listens to it, to be honest. It is all funny. If we come back to the European position. I say, “You gave us the right to trade, we are grateful, you are proud of it, so please force the Moldovan side to ensure the implementation of DCFTA, force them please, it’s out of our control.” As a result, Moldova actually withdrew from the negotiations and destroyed the 5+2 format. This was in October-November 2019. The negotiator was Mr. Sova. He destroyed the 5+2 format. Who was behind it? I don’t know. But he is personally responsible for it.
Nikita Kondratov, First Pridnestrovian TV:
Maybe it’s a coincidence? It was back in 2006, after introduction of the economic embargo.
Vadim Krasnoselsky, President of the PMR:
Yes, that’s history. And his actions. But I’m talking about 2019. Why did Moldova have no need for the 5+2 format? All these issues, including economics, were on the agenda of this format and were discussed there. Moldova had to give explanations there, but it’s difficult, you see? That venue is completely different.
I’m not talking about the negotiation process now. I’m talking about the economy. Pandemic. I confess, I was naïve and I believed... I always believe, to be honest, I believe people, I believe politicians, but up to a certain point, of course, until I see an obvious deception. Pandemic. The most difficult time for all people. Many states, including European countries, were in panic. You remember all this very well. Of course, we had troubles too. And we solved them on our own. Nobody helped us. Our business, our people, our leadership, our healthcare settled all these issues using a vertical administrative management, which, by and large, saved us. People needed treatment, medicine, equipment, and PPE.
At that moment, at the initial stage, Ukraine blocked the border, the Ukrainian-Moldavian border was opened only in Palanca. All our suppliers of medical equipment, PPE and medicines stood idle in Moldova for up to two months. When I told this to ICRC, WHO, and politicians, they didn’t quite believe it. It is simple and easy. Just look at our history. Ukraine let the imports, thanks to it. By the way, we have never faced any problems with Ukraine in this regard. It let all our medical cargo through, but Moldova held them for two months without any reason. People were waiting in hospitals for medical equipment, medicines, and PPE. I am convinced that Moldovan leaders were sure that we would fall into the pandemic, we would ask for help from everyone, anyone, we would almost be ready to join Moldova to overcome the pandemic. It was the real intent. How is it to be called? It is called blasphemy.
Nikita Kondratov, First Pridnestrovian TV:
To use the pandemic for own political purposes.
Vadim Krasnoselsky, President of the PMR:
Absolutely. Moldovan politicians surprise me. What do they think, are people stupid or do people do not understand how you feel about them? It was 2020. People who closed our accounts, who brought down the negotiation process, did it.
Then Ukraine opened Kuchurgan, and resumed imports to Pridnestrovie. Thank God, I say again, Ukraine did not interfere with us. What happens then? The war in Ukraine has worsened the situation. Ukraine closed the border, and again our cargo went through Moldova. Of course, the Moldovan leaders took advantage of it again, only they were different faces.
Nikita Kondratov, First Pridnestrovian TV:
Faces differ, but the politics remains the same.
Vadim Krasnoselsky, President of the PMR:
Yes. As for the attitude towards Pridnestrovie, I have not seen progressive leaders among officials in Moldova who wanted to address issues, let’s say, comprehensively. There were glimmers, but this is a ray of light in a dark kingdom, and the rest is as it is. I call a spade a spade. I can prove this to anyone. And I do this all the time. All my meetings with our Western delegations begin and end with a discussion of economic issues. I show them in detail what Moldova is violating.
Nikita Kondratov, First Pridnestrovian TV:
And how do they react to it?
Vadim Krasnoselsky, President of the PMR:
Well, how do they react? They write down, show interest, see, understand what is happening. To be honest, I haven’t seen any effective results so far. Maybe they accumulate the facts, I don’t know. It’s hard for me to judge. I have already said that there is no need to act as lawyers of Moldova, we need to demand the fulfillment of previously reached agreements. More on this later.
The next step is to block the export of our economic operators. This started in August last year. Three enterprises: Elektromash, Moldavizolit, and Potential from Bendery. Work force is about 1,300 people. What did Moldova do? Moldova, based on Government Resolution No. 606 dated May 15, 2002, On National System of Control of Exports, Re-Exports, Imports, Transit of Strategic Goods in the Republic of Moldova, recognized the products of these enterprises as dual-use goods. And if these goods are dual-use, then a board should have a session to issue permits. But this Resolution contains no products of these enterprises. It is so cynical. Referring to the regulation, they say that the conventional electric motor is a dual-use product, but this product does not exist. Do you understand what the nuance is? In this case, the board holds no sessions. The board did not meet in March. There was a session in February, but the session ended with nothing. As a result, our enterprises, which produce absolutely peaceful products, cannot export them to both the EU and CIS countries. Do you understand? Where is the equal opportunity?
I understand that Moldova doesn’t have a headache about it, they don’t have such enterprises. They missed everything, they buried all the inheritance left from the Soviet Union. They do not have such industrial giants as we do. We saved them, we are working on it.
Nikita Kondratov, First Pridnestrovian TV:
It seems like envy. There are pictures of what used to be the largest microelectronics enterprise in Chisinau. Now, it is in ruins. It seems that they now want to do the same with Elektromash and Moldavizolit plants.
Vadim Krasnoselsky, President of the PMR:
Here we see envy, a desire to hurt us, a desire to bring down enterprises, a desire to leave people jobless. But people see everything and draw conclusions.
An item such as electric motor is not a dual-use product anywhere in the world. Moldova, as usual, is ahead of the rest. I mean the unique law on separatism, and the motor is recognized as a dual-use product. But there is only one intent – to block enterprises. As a result, Potential and Moldavizolit practically suspended their activities last year, and Elektromash is going into forced downtime this year. There are no clear written answers. Elektromash sent twenty requests to the leadership of Moldova. Twenty. Even if there is an answer, it is formal and does not say anything. They do not fulfill their functions, violate their legislation, and do not convene sessions of the designated board. They simply mock and destroy our entrepreneurial activity, destroy our industry. It is a fact.
The next point is the duties introduced from the beginning of this January, the so-called double taxation. Where are the equal opportunities, dear Europeans? Is it the European approach? The European way is to shut down factories, the European way is to refuse to register our bank accounts, the European way is to introduce double taxes?
I remind you once again: Moldova does not pay pensions, salaries, or other social benefits to Pridnestrovians. Only the budget of Pridnestrovie does. We support our people. For a moment, half a million people live here, and we support everyone. How can we act otherwise? And these half a million people see the results of your activities. Those people who need medical care. The issue of supplying X-ray equipment to Pridnestrovie has not yet been tackled. And what are the excuses? They don’t like that the hospital is called “Republican”. Okay, then what is the reason for the refusal to Dniester Spa in Kamenka?
Nikita Kondratov, First Pridnestrovian TV:
Do they use the “Republican hospital” as an excuse?
Vadim Krasnoselsky, President of the PMR:
Right. Do you see? How can we talk? What can be agreed? What are they thinking about, these leaders of Moldova? How can you tease the Pridnestrovian people? According to Mr. Serebrian, these are also the Romanian people. But this is the next topic for conversation.
Nikita Kondratov, First Pridnestrovian TV:
He calls all this positive discrimination.
Vadim Krasnoselsky, President of the PMR:
Yes, positive discrimination. And what a good wording. Do you see? He figured it out and surprises the whole world. Well, okay. We somehow got used to it: they are aggressors, really aggressors, aggressors against our economy. They can't do that. The people see and consider. How can we negotiate? If we talk not only about Moldovan regulatory documents, we can also point out other documents. The nuance is that several documents have been signed between Moldova and Pridnestrovie. These documents also concern economic activities. For example, the Agreement on Maintenance of Peace and Security Guarantees dated July 5, 1995, where the parties mutually undertake not to exert political, economic or other pressure. It is completely broken. Protocol Decision to resolve emerging customs issues between Moldova and Pridnestrovie dated February 7, 1996. Not fulfilled. One of the most important documents is the Moscow Memorandum dated May 7, 1997, which stipulates the right of Pridnestrovie to independently establish and maintain international economic ties. It is completely broken. The presidents of Moldova and Pridnestrovie signed it. In addition, the basic provisions of the Berlin Protocol dated June 2-3, 2016 within the 5+2 format, which also defined freedom of economic activity, are violated. Other international treaties, both global and European, are also being violated, with regard to free economic activity. I have already expressed gratitude to the Europeans. Well done, they gave us the opportunity to trade with Europe. But please demand basic implementation by Moldova to ensure these activities.
Nikita Kondratov, First Pridnestrovian TV:
They silently watch what happens.
Vadim Krasnoselsky, President of the PMR:
Indeed. Let’s come back to equal opportunities. Moldovan politicians say, “If you have goods from Europe or the CIS, they are not subject to duties.” It’s a lie. What is a lie? Of course, they are not subject to duties if EUR.1 or ST-1 certificate is available, that is, a certificate from European or CIS countries. But there is a small nuance. This certificate can be issued to enterprises that have an account in a Moldovan bank. But the accounts are missing. Therefore, our businesses pay duties on all European goods and on those goods that come from the CIS countries. Is it OK? Is it a European approach? Is it democracy? Definitely, I will demand answers to these questions at all further meetings. Why is this happening? Why are 500 thousand residents of Pridnestrovie not interesting to anyone? This is not possible. For the record, this is geographical center of Europe. The same people live here, they also go to school, kindergarten, teach children, treat people, receive pensions and benefits, salaries, etc., they need basic medicine and food. What are you doing? What is happening to you? A painful issue that needs to be addressed. But where are the solutions? The 5+2 format is nil, it doesn’t operate. Meetings of political representatives are an imitation in reality. Moldova does not make any decisions. Everything else are promises, there is no sense.
Nikita Kondratov, First Pridnestrovian TV:
What Moldova calls “equal opportunities”, are downtime of enterprises in reality, some areas of business are already closing due to these double duties. Moreover, Pridnestrovie pays pensions and salaries. However, Moldova takes these duties from our budget, takes money into its budget. Nobody wants to have a dialogue, we get no answers, and no one hears us; that is the feeling. What shall we do?
Vadim Krasnoselsky, President of the PMR:
Of course, no place for despair. We must demand, we must prove, we must reason, as I do. In any case, some processes are underway, and any site should be used to bring this position to everyone’s attention and rely on common sense; there are basically no other options. We must rely on ourselves to continue the negotiation process. In any case, we have never left any formant and are always committed to continuing the dialogue. But someone is interested in ceasing this dialogue completely. I even know who.
Nikita Kondratov, First Pridnestrovian TV:
I think everyone knows, or guesses, at least.
Vadim Krasnoselsky, President of the PMR:
As for political negotiations, status options, etc., we’ll talk about it next time.
