Consumers to benefit if Armenia ratifies Convention on Transit Trade of land-locked states: expert

YEREVAN, January 9. /ARKA/. Ratification of Convention on Transit Trade of land-locked states by Armenia will foster slash in prices for imported goods, political scientist Narek Galstyan told reporters on Tuesday.

The Convention was adopted by the United Nations Conference on Transit Trade of Land-locked Countries, which had been convened pursuant to the decision of the General Assembly of the United Nations taken at its 1328th plenary meeting on 10 February 1965.  The Conference met at the Headquarters of the United Nations in New York from 7 June to 8 July 1965. The convention declares  states having no sea-coast should have free access to the sea in order to enjoy the freedom of the seas on equal terms with coastal States.

“At the end of 2012, the parliament of Armenia convened to discuss all the privileges and some possible legislative issues related to becoming a party to the Convention. However, no definite steps are taken towards joining the Convention,” Galstyan said adding that Turkey and Georgia had joined the Convention long ago.

“International legal status of the land-locked states: opportunities and perspectives” topic was discussed in the National Assembly of Armenia on December 13, 2012. The officials agreed to submit the agreement on Trade of land-locked states to the parliament for ratification in spring.

Galstyan said becoming a party to the Convention would make it possible to rent the Georgian ports at lower fees ensuring the imported goods cost drop.

The expert implied delaying the process of joining the Convention may come  from unwillingness of some importers. 

“The Armenian market is small and is not growing, and possibly some lobby groups are not interested in fostering the process, which would reduce prices for the imported goods,” Galstyan clarified. 

On his side,  international affairs expert Menua Soghomonyan said no commitments are required to join the Convention. It is just a willingness of any state to become its party.

“We are an importer country, and over 70% of our foreign trade turnover is proceeded on the territory of Georgia… Due to the high customs duties, the imported goods from Georgia  are expensive ,” Soghomonyan said.

Furthermore, according to the expert, the Convention promotes cooperation between the parties. -0-