Licensing becomes a problem for Russian exports into EU
The EU and
Russia concluded a new bilateral trade agreement on July 9, 2002 replacing a previous agreement that expired on July 1, 2002. The new trade agreement, planned to be in force through to 2002-2004, would allow export of more Russian steel products into the EU. However,
Severstal,
Russia's one of the major steel producers complains that they are sitting on working assets worth $4.5 million just because of the delay in the Economic Development and Trade Ministry and Industry, Science and Technology Ministry in issuing the exporting licenses.
The company authorities express that it is unacceptable that necessary preparations for allocating these export licenses are not complete, the aforesaid ministries being aware of the volumes set for steel exports under this agreement as early as spring.
On the other hand the Economic Development and Trade Ministry states that the export license allocation will begin soon after the two ministires agree on the method to be used for the quota allocation.