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Kazakhstan complains about Kyrgyzstan to the WTO and the EAEU

Kyrgyzstan accused of violating international trade rules

Photo: kabar.kg

The Ministry of Trade and Integration of Kazakhstan sent an appeal to the European Economic Commission (EAEU) on the issue of Kyrgyzstan using the minimum level of control prices for goods from the Eurasian Economic Union, Interfax Kazakhstan says.

“The Ministry of Trade and Integration of Kazakhstan sent an appeal to the European Economic Commission, in order for the EAEU to reconsider the issue of Kyrgyzstan using the minimum level of control prices for the goods from member countries of the EAEU. A similar appeal has been sent to the WTO Secretariat,” - the ministry’s message says.

The ministry notes that should Kyrgyzstan fail to meet its international obligations, Kazakhstan plans to use its right to apply adequate measures regarding Kyrgyzstani goods.

Kazakhstan’s appeals to the WTO and the EAEU are to be considered in March or April, the ministry says.

The ministry explained that by using the minimum level of control prices for Kazakhstani goods as well as goods from other EAEU countries, the Kyrgyzstani government is setting additional payments.

“So if a Kazakhstani manufacturer is taking flour to Bishkek at the average price of 17 Kyrgyzstani som per kilogram, at the same time Kyrgyzstani tax services are collecting VAT based on the minimum control price of 22 som per kilogram. The same is happening with other goods. For example, the price of an egg during the spring and summer period is 2 som, while the minimum price level is 4.9 som. The process of setting minimum prices isn’t transparent, and prices set by the Kyrgyzstani government aren’t justified,” the Kazakhstani ministry states.

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