If the EU – Moldova Deep and Comprehensive Free Trade Area (DCFTA) cannot be applied to Transnistria, there will be no so-called “blockade”, as trade between the EU and Transnistria will continue to be conducted on non-preferential terms. This means that the MFN (Most Favoured Nation)-duty will be charged on goods imported from Transnistria into the EU market, Luc Devigne, Lead Negotiator of the EU for the EU-Moldova DCFTA that is an integral part of the Association Agreement, said in a meeting with Nina Shtanski, Political Representative of the Transnistrian side, in Tiraspol, IPN reports.

According to a press release of the EU Delegation to Moldova, the European official went to Tiraspol to discuss the consequences of the DCFTA for Transnistria, in view of the forthcoming signing and provisional entry into force of the DCFTA, as part of the Association Agreement. It was Luc Devigne’s third visit to Tiraspol for informal consultations with the Transnistrian side on this issue. No progress was made in identifying possible arrangements under which Transnistrian economic enterprises can continue to benefit from preferential access to the EU market under the DCFTA.

Luc Devigne pointed out that the DCFTA will replace the current ATP (Autonomous Trade Preferences)-regime, which is due to lapse by December 2015 and under which Transnistrian economic agents currently enjoy preferential access to the EU market. The DCFTA provides not only for a continuation of current benefits under the ATP-regime, but represents an improvement on the current access to EU market for goods and services originating from Moldova, especially for processed food and agricultural products. The EU accounts for around 40% of total Transnistrian exports.

He stressed that after the expiry of the ATP-regime, Transnistria-based economic agents can only continue to enjoy preferential access to the EU market, if the Association Council, established under the Association Agreement, decides that the DCFTA can be implemented in Transnistria, upon receiving assurances to this effect from the Moldovan side, as the Contracting Party to the agreement.

In view of the legal feasibility of continued extension of trade preferences to Transnistria-based economic agents, any concrete arrangements for applying the DCFTA to Transnistria will have to be discussed by the two sides in Chisinau and Tiraspol respectively. Luc Devigne underlined that the EU is willing to assist in this process.