Mandelson urges EU-Russia rapprochement

EU Trade Commissioner Peter Mandelson has pleaded for the EU and Russia to stop acting “like two cities joined only by a narrow road and a gas pipeline” and focus on building a long-term, mutually beneficial economic and trade relationship rather than getting caught up in short-term political tactics.

Speaking at the EU-Russia Centre on 17 October, the EU trade chief stressed the need for Europe and Russia to better integrate their economies, in order to counteract “inevitable political pressures threatening to pull them apart”. 

“For two such large and economically complementary neighbours, there is a striking lack of economic integration. If you remove energy from the mix, Russia’s exports to the EU are about the same as those of Morocco or Argentina,” he said. 

He urged Moscow to capitalise on its proximity to the European market and work on building a more stable business and political climate, with fewer import barriers, in order to attract EU investors. 

The first essential “confidence builder” will be Russia’s accession to the WTO, said Mandelson, urging President Vladimir Putin to rapidly resolve the remaining pending issues that are preventing his country from getting EU approval to join the global trade body. 

He added that important and strategic questions such as this one should not share the same stage with quarrels over export taxes and bans: “Issues like this should not be allowed to dominate our relationship,” he pleaded, ahead of a key bilateral summit in Portugal on 26 October, where the two sides are expected to discuss future perspectives for EU-Russia relations and a number of international and regional issues, including the future status of Kosovo, the Middle East peace process and Iran’s nuclear programme. 

Yet, earlier this week, Poland again threatened to block Russia’s entrance to the WTO if Moscow refused to cancel a near two year-long embargo on exports of Polish meat and dairy products (EURACTIV 18/12/06). 

The dispute, along with another spat over Putin’s unilateral imposition of export duties on raw timber last March, which angered Finland and Sweden (whose pulp and paper industries depend on Russian wood) has also been holding up the negotiation of a new bilateral trade and cooperation treaty between Russia and the EU. 

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