Economist: free trade zone agreement to expand sale market for Armenian manufacturers

YEREVAN, October 21. /ARKA/. The free trade zone agreement signed Tuesday at a CIS prime-ministerial meeting in St. Petersburg will expand sale market for Armenian manufacturers, Tatul Manaseryan, head of Alternative analysis center, said Friday during the Yerevan-Moscow- Kiev- Chisinau-Astana video bridge focused on free trade zones.

All the CIS countries but Azerbaijan, Uzbekistan and Turkmenistan signed this agreement, but the mentioned countries can join it before the end of this year.

The document lays ground for trade and economic relations among CIS countries and replaces bilateral and multilateral agreements.

“First of all, the market that restricted Armenian manufacturers for two decades will expand and favorable environment will be created for ousting monopolies for healthy competition,” he said. “That is why we hail the free trade zone.”

He said that this decision came just in time – it will lay groundwork for further transition to other type of economic integration.

He also singled out participation of five post-soviet countries in World Trade Organization among the document’s advantages – it will contribute a great deal to adoption of standards, which will be used also in the free trade zone.

Speaking about possible threats to the new zone, Manaseryan pointed out the necessity to consider international experience, particularly the fact that the North American Free Trade Zone was created two decades ago, but its members are not able to transit to the next type of economic integration – to customs union. It mans they have problems.

Manaseryan also pointed out the necessity to take into account other factors, such as existence of other regional structures, particularly Black Sea Economic Cooperation, GUAM and EU Eastern Partnership programs. -0---