SartanovaNT,Ph.D., Associate Professor
Kostanai
State University by Akhmet Bajtursynov
KAZAKHSTAN'S INTEGRATION INTO THE
CUSTOMS UNION: ADVANTAGES AND DISADVANTAGES
Today in the world
organization of integration ties with over 300 interstate regional integration
(the RIO). Despite such a large number, RIO can be divided into two basic
forms: simple, created in the form of preferential trade zones and free trade
zones, which account for over 90% of RIO; advanced - Customs Union (hereinafter
CU), a common market and economic union. At the same time, according to
analysts, a small proportion of advanced RIO explained by the fact that they,
unlike the simple, created only between political allies [1]. These allies pursue deeper integration not only in the
economic sphere, but also in the formation of the main directions of domestic
and foreign policy until the construction of a political union. Such
integration pursued CIS countries, creating CU.
Creating and working
CU question is not one day. Was passed several stages, which require passing a
lot of effort on the part of participants. It should be noted that one of the
objectives is to ensure the productivity and quality of services provided in
the territory of the vehicle, creating a favorable competitive environment.
Also one of the main objectives of a vehicle is the desire to increase trade
and export of Kazakh goods to the vehicle. There are a number of problems that
the passage of the stages of development may be permitted vehicle, these are
incomplete competitiveness of goods in the single market union, high import
duties on goods produced outside the vehicle CU and eCU.
Kazakhstan as a
result of joining the CU receives the removal of restrictions in mutual trade.
Removal of restrictions can increase procurement in partner states of essential
products, and common customs tariff union members in relation to third
countries will ensure protection from foreign competition. On the other hand
the abolition of duties, taxes and fees covers one of the important sources of
the budget. However, many economists and politicians say about the
disadvantages of Kazakhstan's joining the Customs Union. However cons CU should
not be exaggerated, so, competition enterprises producers CU countries will
make to improve the competitiveness of their products, reduce costs,
enterprises of Kazakhstan.
One of the main
objectives of a vehicle is the desire to increase trade and export of Kazakh
goods to the vehicle. Statistics indicate that the formation of the CU has not
led to a substantial increase in turnover. According to estimates from
government sources circles of Kazakhstan, this is due to the low
competitiveness of goods, lack of harmonized rules in the market and the lack
of freedom of movement of goods, services and capital [3]. It is noted that the main problem of turnover among
members of the CU is a small amount of goods that the participants are willing
to offer each other to implement. In addition, increased competition due to
lower prices for imported goods hit some industry markets. This creates the
conditions for displacing some domestic producers c market and hostile
takeovers.
According to statistics, it is clear that the largest decline of foreign
trade fell to 2009 The greatest year of recession after the economic crisis.
Since 2010, Constant growth of international trade as a vehicle for countries
and other countries of the world. The share of imports of goods in the total
turnover of Kazakhstan with the CU countries is about 70%. By and large,
Kazakhstan significantly more "giving" the economies of Russia and
Belarus than "rescued" from the sale of our products in these
countries. In the Union 's main partner, of course, is Russia, which occupies
about 97% of Kazakhstan's trade turnover with the CU; Belarus only 3%,
respectively [4].
Kazakhstan as a result of joining
the CU receives the removal of restrictions in mutual trade. Removal of
restrictions can increase procurement in partner states of essential products,
and common customs tariff union members in relation to third countries will
ensure protection from foreign competition. On the other hand the abolition of
duties, taxes and fees covers one of the important sources of the budget.
However, many economists and politicians say about the disadvantages of Kazakhstan's
joining the Customs Union. However cons CU should not be exaggerated, so,
competition enterprises producers CU countries will make to improve the
competitiveness of their products, reduce costs, enterprises of Kazakhstan.
One of the main objectives of a
vehicle is the desire to increase trade and export of Kazakh goods to the
vehicle. Statistics indicate that the formation of the CU has not led to a
substantial increase in turnover. According to estimates from government
sources circles of Kazakhstan, this is due to the low competitiveness of goods,
lack of harmonized rules in the market and the lack of freedom of movement of
goods, services and capital [3]. It is noted
that the main problem of turnover among members of the CU is a small amount of
goods that the participants are willing to offer each other to implement. In
addition, increased competition due to lower prices for imported goods hit some
industry markets. This creates the conditions for displacing some domestic
producers c market and hostile takeovers.
According to
statistics, it is clear that the largest decline of foreign trade fell to 2009,
The greatest year of recession after the economic crisis. Since 2010, Constant
growth of international trade as a vehicle for countries and other countries of
the world. The share of imports of goods in the total turnover of Kazakhstan
with the CU countries is about 70%. By and large, Kazakhstan significantly more
"giving" the economies of Russia and Belarus than "rescued"
from the sale of our products in these countries. In the Union 's main partner,
of course, is Russia, which occupies about 97% of Kazakhstan's trade turnover
with the CU ; Belarus only 3%, respectively [4].
In 2012 Kazakhstan's
contribution to the composition of the CU in the total volume of foreign trade
is 11.9%. In general, it appears that the benefits of significantly higher
vehicle costs. Therefore, strengthening the Union aimed at the realization of
his creation of contracts, should be a priority of the foreign economic policy of
Kazakhstan.
If we consider the
structure of the entire foreign trade of Kazakhstan (with all countries), the
effect of CU become noticeably particularly hard. So in total exports from
Kazakhstan the share of exports to the CU countries since 2008 tends to decrease (eg, in 2007 exports to Russia and
Belarus held about 10% of total exports from Kazakhstan, and in 2012 has only 8,7%). This indicates that the start of operation of CU
Kazakhstan trade policy towards Russia and Belarus has not undergone major changes:
as "exported" there around 9% of its exports to the creation of the
vehicle, and after exported. Growth of exports from Kazakhstan to the CU
countries are only partially explained by causes creation of CU, the main
reasons are also the same the same mechanisms that ensure the growth and export
of all Kazakhstan - the global economic recovery, the favorable situation on
the commodity markets.
Thus, the apparent
increase in turnover in the TA, its creation is not greatly changed the
position of Russia and Belarus in the export structure of Kazakhstan, but
rather strongly affected the structure of imports in Kazakhstan. Kazakhstan
imports became even more to deliver goods from Russia. Commodity structure of
export of Kazakhstan has changed, but not dramatically. Leading position still
belongs to mineral products, i.e
raw products: primarily petroleum products, ores and concentrates. Also popular
in Russia, Kazakhstan and Belarus production of chemical and metallurgical
industries, i.e by and large, exports from Kazakhstan to CU fundamental changes
are observed.
The structure of
imports in Kazakhstan also no significant changes. Still imports from Russia
are leading mineral products (oil and oil products, ores and concentrates, coke,
etc) - 26%. In second place is a large group - metal products (metal, pipes,
rods, and more). This group has accumulated in 2012 about 15%. Occupies 13% of
imports of machinery and equipment group. Fourth place belongs to
"Vehicles" - 10% and 8% are prepared foods [2].
Thus, exported and imported to
Kazakhstan from the vehicle about the same goods and the same proportion as
before the creation of the customs union. Also it should be noted that export
operations in Kazakhstan, primarily featured raw and manufactured goods, i.e benefit
from the creation of the Customs Union and to simplify the movement of goods
will receive primarily large Kazakh industrial producers (in the fields of oil
and gas, metallurgy, mining, chemical industry). Unfortunately for the
restructuring of the Kazakh exports of consumer goods to the side while talking
to not have [2].
In macroeconomic terms CU also
has more pluses than minuses, because we have a more simplified version of the
transit and sale of our major commodities (oil, raw materials, grain, ets.), the main consumers (EU, Russia). Many negative aspects
associated with the activities of CU occur due to breakdown of the old
mechanisms and nedorabotannostwork, and often a lack of new mechanisms. These
problems are inherent to any transitional period. In our view, such a period
may last for 3-5 years before, it will create a set of documents regarding the
performance, principles and standards to effectively solve the problem posed to
Union.
Another important
drawback - the threat of declining competitiveness of Kazakhstan goods in
relation to the Belarusian and Russian. Also note that the Kazakh market is not
so capacious that Russian producers rushed to him in orderly rows. Kazakhstan
interested in Russian partners, primarily as consumers of manufactured goods
(machinery, equipment and supplies for the mining, oil and gas, agriculture and
other industries) and as a major supplier of raw materials.
This is reflected in
the structure of imports and exports with Russia and Belarus. The rise in prices is another negative, actively
discussed in the press. It is based on two major trends: rising prices for
goods from third countries because of higher tariffs, the second trend -
speculation on lower prices in Kazakhstan compared to Russia. Regarding the first
trend in the average size of the tariff for the republic increased by 4.4%.
This is not a critical increase in customs tariff and can not talk about a
massive increase in domestic prices because of this.
Therefore, we cannot
say that this alignment absolute evil for Kazakhstan, producers gain, consumers
suffer. In general, the public statements on this issue looks illogical. On the
one hand care about problems of our producers, that they suffer from the
creation of the vehicle, but as soon as some local players according to the law
of supply and demand are aligned, in this case, raise their prices, go to the
new Russian customers, and thereby gain all begin to express displeasure about
this situation. Need to be completely honest, if Kazakhstan wants to support
its producers, it means you need to create conditions for them when they can
get enough profit for the development, which means to be ready to buy Kazakh
lower quality product at a higher price and give them the opportunity to earn a
selling goods in Russia.
Literature:
1. www.adilet.gov.kz,
03.01.2013
2. stat.kz
3. «Da
Vinci AG» Analytic Group,
2013
4. Foreign
trade of thestates-members ofthe Customs Union andthe Common Economic Spacein 2012. -
M.:Statistical Bulletin, 2013.
- 342s.