Customs Union proposal would be in ordinary Armenians’ interests, says ex-presidential runner

In contrast to the ruling elite, the proposal for joining the Customs Union would offer advantages to ordinary Armenian citizens, an ex-presidential candidate has said, dismissing earlier allegations that the absence of a direct border with Russia could be an obstacle to such efforts.

“The topic is of  little significance to Armenia too because in case of joining the Customs Union we would export everything from the country at a zero percent interest rate and likewise carry out the import on Armenia’s border. And who is interested in levying taxes on border? Of course our government; hence the leadership will make no step towards lifting the border custom fees,” the political analyst, Andrias Ghukasyan, told Tert.am.

“That’s a fundamental clause of the government system,” he explained. “That’s how the present-day elite, authorities and the regime keep the economic sector under control. What will Serzh Sargsyan do should the border become transparent? Who can he do a favor in terms of importing a product? Of course, no one. We must be realistic [to see] who it offers advantages to.”

The expert believes that Russia, as a power generating country, would take more advantages from selling taxed oil and natural gas. “Why should Russia or Turkmenistan, which have power generating resources, have an interest in the Customs Union? They might as well impose taxes on their gas and oil before selling them to us,” he explained.

Ghukasyan said the Customs Union deal has been at issue since 1993. “We would take a superficial approach to those processes which were controversial since inception. The Soviet Union’s split into Soviet nations gave guarantees that the exchange of goods and people inside the Soviet Union should not be overloaded with customs or other procedures. The absence of a customs union has been always to the advantage of countries having power-generating resources. [The Customs Union] would not offer advantages to those newly- established countries that used to oppose to customs ‘barriers’ inside the Soviet Union,” the former candidate said, adding that it isn’t realistic to speak about the plan 20 years after the USSR’s collapse.

“In case Armenia joins the any customs union, which implies no customs clearance of products transported across the border, that will signal a change of government. The incumbent authorities will never do such a thing,” he added.

But Ghukasyan expressed a disagreement to the political opinion that Russia is concerned over Armenia’s EU integration efforts. “Armenia can never turn to Europe because Armenia's elite has a certain past, which is criminal,” he added.

Asked how then he would explain the plan for imposing higher natural gas tariffs on Armenia, Ghukasyan ruled out Russia’s impact on such a decision. He described it as the Armenian authorities’ plan offering them the shortest way to increase the budgetary revenues. “The government is not capable of creating conditions for economic development, that’s why it had to lay the burden on the population through raising the gas prices and thus ensuring the increase in state revenues,” he said, adding that any surge in prices in the past 20 years has been the government’s initiative.

But the expert noted that the deepening crisis between Armenia and Russia is obvious. He said it is impossible to have a constructive dialogue in either the EurAsEc (Eurasian Economic Comminity) or the EU integration efforts. “The same questions – whether Russia, Iran or Turkey are good – will be based on some common emotional and very superficial opinions. That isn’t a way for developing a statement of question. What is first of all necessary for the nation is a willingness and aspiration to live independently in terms of both security and economic perspectives. It is necessary for every nation in this era to be able to independently manufacture food and clothing and create urban development conditions. Anyone not capable of creating something is not competitive in the world,” Ghukasyan said in conclusion.