The Moldovan authorities must diplomatically, but insistently explain to Russia that they have alternatives for exporting products and the labor force if it decides to interrupt the commercial relations with Moldova. Moreover, Chisinau must negotiate with the EU quotas on Moldovan migrants as labor force so as to show the Russians that the Moldovan workers have where to go if they are banned from entering Russia and the country will be thus not affected, members of the German Economic Team Moldova (GET Moldova) said in a briefing held in concert with experts of the Independent Analytical Center “Expert-Grup”, IPN reports.
GET Moldova head Ricardo Giucci told the Moldovan journalists that Moldova’s economy is open, while its geographical position is beneficial from economic viewpoint. It would be ideal for Moldova to keep the free trade with the countries that intend to form the Customs Union and to start trading freely with the EU after the Association Agreement is signed. The commercial relations with the Eastern markets do not mean a rupture in the commercial relations with the Western markets, either economically or technically.
The fact that Russia may terminate the free trade agreements with Moldova after the Association Agreement is signed is the most serious danger. But Ricardo Giucci said that neither technically nor legally would Russia have such a motive. However, if this happens, Moldova must look for alternative markets for its products.
According to the GET Moldova head, the Moldovan authorities must speak diplomatically about the provisions of the Association Agreement with the EU even with the Russians and must ask the Kremlin what it fears and why it is against Moldova’s association with the EU. However, Moldova must also prepare for a possible rupture in the commercial relations with Russia. Not only the government must look for alternative markets, but also the economic entities, which should adjust their products to the international standards and have offers for different markets.
The government must also explain to Russia that the offer to join the Customs Union is not advantageous for Moldova as the country forms part of the World Trade Organization. If it decides to join the Customs Union, Moldova will have to purchase certain products and services at higher tariffs and to renegotiate these tariffs with each of the WTO member state. Furthermore, it will be obliged to pay taxes for unilateral decisions.
