4 december 2008

First Deputy Prime Minister Viktor Zubkov chaired a meeting of the Government Commission on Protective Measures in Foreign Trade and Customs Tariff Policy

Participants:
The Commission backed the proposal to assign a special code for electrical trains with a maximum speed of not less than 250 kmph and to establish for them a zero customs import duty on a temporary basis (for 9 months) (the current rate is between 5 and 10%).

The Commission backed the proposal to assign a special code for electrical trains with a maximum speed of not less than 250 kmph and to establish for them a zero customs import duty on a temporary basis (for 9 months) (the current rate is between 5 and 10%). The import of such electrical trains is necessary to implement the projects of high-speed Moscow-St Petersburg and Moscow-Nizhny Novgorod rail links.

The Commission also decided to recommend to the Government to set a combined rate of the import customs duty for grain harvester combines at 5% of the customs value, but not less than 75 euro per kilowatt of power. The rate for powerful rotor harvester combines is to be 5%, but not less than 50 euro per kilowatt of power. With regard to harvester combines whose service life exceeds 3 years the euro component of the customs duty is to increase from 70 to 90 euro per kilowatt of power.

The Commission decided to preserve the existing rate (15%) of the import customs duty on embossment paper. The present Russian facilities for the production of this type of paper can meet the internal demand. The issue of reducing the duty on paper and cardboard with a bleached layer as well as a test-liner will be discussed after further consideration.

It has been decided to make permanent the regime of duty-free import of certain types of equipment used in metallurgy, industrial and civil construction, the forestry complex, textile and other industries. That measure will help to modernise the main production assets of a number of Russian enterprises, to improve the quality and expand the range of products.

The Commission also backed the proposal to add to the EurAsEC nomenclature of foreign trade goods a separate line item for certain types of dairy products intended for making baby food. That measure will facilitate the gathering and analysis of statistical data on dairy products in Russia's foreign trade.