Russia to abolish duties on trade with Abkhazia and South Ossetia

Russia is preparing to abolish duty fees on trade with Abkhazia and South Ossetia, BFM reports.

The duty-free bill will have some exceptions. Charges will be levied on sugar, alcohol and tobacco products. A draft agreement between the governments of Russia and the Caucasian republics has been developed by Russia. The Ministry of Economic Development will hold negotiations with South Ossetia and Abkhazia on reaching an agreement regarding the intergovernmental bill. The duty-free regulations with Abkhazia are expected to be ratified on the 1st of January 2015. No dates have been specified for South Ossetia.

In respect to Abkhazia, tea and mineral water will remain taxed. In trade with South Ossetia, mineral water, beer, cheese, cottage cheese, grape wine (including fortified wines) and vermouth will also remain taxed. The customs procedure on the borders of Russia with Abkhazia and South Ossetia was one of the main topics during the negotiations between Russia and Georgia on Russia's membership of the World Trade Organization (WTO).