The EAEU CU was created on July 1, 2010, the purpose of which is to modernize, increase the competitiveness and living standards of the population of the participating countries. Currently, the Eurasian Economic Union includes only five states, including Russia, but about 50 countries have expressed interest in the common free trade zone.
What is a customs union
Such a union is an agreement of two or more countries on the abolition of payments for the movement of various goods across the border, one of the forms of foreign trade state policy, which ensures freedom of movement of services, goods and labor, a common quality control system and certification. In fact, this is a kind of interstate economic integration, the creation of a common market that allows for the growth of jobs, the economy and production of the countries participating in the union.
EAEU CU Member Countries
The EAEU CU for 2019 includes five states: Armenia, Belarus, Kyrgyzstan, Kazakhstan and Russia. The first agreement on the establishment of the Customs Union was concluded between Russia and Kazakhstan on July 1, 2010. This date is considered the foundation day of the EAEU CU. But even ten years before, Russia and Belarus concluded a similar agreement, which in fact opened the borders between the two states. But the official approval of the organization took place only in 2010. On July 6 of that year, Belarus became the third member of the Customs Union officially.
The new Customs Code included the abolition of transport controls at the borders between the CU countries, the creation of opportunities for the active expansion of Allied products to the international level, the free exchange of goods and the free movement of labor migrants.
The Armenian government signed an agreement on accession to the Customs Union in October 2014, and the agreement entered into force only in 2015, on January 2, which coincided with the entry of Armenia into the EAEU. The chronology of the decision to join the union is as follows. In 2012, Tigran Sargsyan, then the current Prime Minister, and now the Chairman of the Board of the Eurasian Economic Commission, spoke rather harshly about the CU, explaining that he considered joining it to Armenia rather impractical, suggesting the government to look for other forms of interstate cooperation with Russia. There were many opponents of joining the CU in the state, but their positions were assessed as weak and unconvincing, and the next year, 2013, President Serzh Sargsyan announced a firm decision to join the Customs Union, signing in November a memorandum that laid the foundation for Armenia’s accession to the CU EAEU.
In the far-reaching plans of the Russian government, Armenia was supposed to occupy the niche that Moldova had previously occupied - the supply of wine products and fruits and vegetables. In addition, Armenia received many important benefits that contribute to the strengthening of the economy of the republic: long-term freezing of gas prices, obtaining petroleum products, diamonds and other important resources without unnecessary extra charges.
The Kyrgyz Republic has been a full member of the Customs Union since May 8, 2015. Moreover, the country's government decided to join in 2011, and the application for membership was filed in 2013. It was planned that by the end of 2013 the working commission would determine the necessary measures for Kyrgyzstan to join the CU.
Of course, the main reason for joining Kyrgyzstan to the Customs Union was the wide economic benefits, the possibility of employing local residents in the EAEU countries, and the reduction in economic dependence on the products of the PRC. It was the solution of the issue of free movement of labor migrants in the TS roadmap that became the main requirement of the republic for joining the EAEU TS.
Candidate countries
In early 2013, the Syrian government expressed a desire to introduce its country into the Customs Union. In Damascus, negotiations were held between Oleg Yermolovich, Ambassador of the Republic of Belarus and the head of the Ministry of Economy of Syria, Muhammad Zafer Mhabbak. The Minister expressed hope that Belarus will support the entry of his state into the Customs Union.
At that time, it was rather a desire to strengthen its international position, but fearing the involvement of Russia in the international conflict on the basis of increasing tension in Syria, the CU member countries did not discuss the possibility of Syria joining in the near future. In addition, the economic conditions of the country and its remoteness from the borders of other allies make compliance with the principles of the Customs Union practically impossible.
In January 2015, Tunisia expressed its desire to get into the EAEU CU. Ali Gutali, Ambassador of Tunisia, said he expects to carry out the accession procedure in the near future. This country is primarily interested in a huge new market for the sale of fruits and vegetables and cheeses. Tunisia is experiencing a period of rapid agricultural development after the "Arab Spring", and the state will have a solid economic partner just in time.
Tunisia is one of the world's largest producers of olive oil, which it is forced to supply to the United States and South America, which is quite disadvantageous. Russia and other countries of the CU will provide an opportunity to develop a new market, while Tunisia promises to increase production several times.
Tunisia is one of the most popular destinations for Russian tourism, and the creation of a single customs office could significantly enhance the economic benefits of tourism. Finally, Tunisia produces cheeses that are in no way inferior to the forbidden European ones, so this small country is quite capable of “compensating” the Russians for the shortage of tasty products.