ZAGREB, March 16 (Hina) - The Croatian Government on Thursday gave its consent for the start of negotiations on an agreement with the International Monetary Fund (IMF) on a new stand-by arrangement, and forwarded into regular
parliamentary procedure a draft law on customs tariffs. According to the bill, customs protection is being harmonised with the tariffs agreed during negotiations for Croatia's accession into the World Trade Organisation, and the new, decreased tariffs, would be applied as the law is announced. Exceptions would be chapters relating to agricultural produce whose new tariffs would be applied when Croatia becomes a full member of the WTO. The discussion on the new customs tariffs was marked with different stances of the ministers of economy, Goranko Fizulic, and agriculture and forestry, Bozidar Pankretic, about the process of the adoption and taking effect of a part of the law pertaining
ZAGREB, March 16 (Hina) - The Croatian Government on Thursday gave
its consent for the start of negotiations on an agreement with the
International Monetary Fund (IMF) on a new stand-by arrangement,
and forwarded into regular parliamentary procedure a draft law on
customs tariffs.
According to the bill, customs protection is being harmonised with
the tariffs agreed during negotiations for Croatia's accession
into the World Trade Organisation, and the new, decreased tariffs,
would be applied as the law is announced.
Exceptions would be chapters relating to agricultural produce
whose new tariffs would be applied when Croatia becomes a full
member of the WTO.
The discussion on the new customs tariffs was marked with different
stances of the ministers of economy, Goranko Fizulic, and
agriculture and forestry, Bozidar Pankretic, about the process of
the adoption and taking effect of a part of the law pertaining to
agricultural products.
Fizulic advocated an urgent adoption and taking effect of these
parts of the law, even before Croatia enters the WTO, while
Pankretic felt that the law must enter regular procedure, while its
application should be postponed until Croatia joins the WTO.
Because of the differing approaches of the United States and the
European Union on audio and visual services Croatia has not yet
become a member of the WTO, although negotiations on all other
issues are completed.
Fizulic expects that in the light of new political relations in
Croatia the obstacles to Croatia's accession into the WTO should be
removed in a short period of time.
Croatia must have lower customs tariffs, Fizulic said, stressing
that the present customs rates in Croatia were double than those in
other transitional countries, and triple than in countries of the
EU.
Fizulic also sees reasons for urgency in the fact that Croatian
citizens had last year spent 8 billion kuna (US$1 million) in
shopping tourism, and the budget thus loses between four to five
billion kuna (US$500 to 600 million).
"One billion dollars might mean 20,000 jobs in trade, transport,
service provision," Fizulic said.
Contrary to Fizulic's opinion, Pankretic feels that the
application of lower customs tariffs in agriculture should not
begin before Croatia becomes a full member of the WTO.
Why should we unilaterally open up the possibility of import of
"sensitive" products, Pankretic asked.
He requested a postponement of the application for chapters 1 to 24
pertaining to agriculture, and which, he said, make up 10 per cent
of the total customs tariff.
During negotiations about membership in the WTO participants
agreed on a gradual adjustment, that is, a decrease of customs in
the next two to five years, and seven years for agriculture
products.
According to the draft law, this year customs protection for
industrial products should be lessened from the average 10 per cent
to 6.6 per cent, and for agricultural products from the average 33.7
to 24.3 per cent.
After a short discussion, the Government on Thursday endorsed an
agreement on cooperation signed by the Croatian Government and the
UN High Commissioner for Refugees which should be signed during
Friday's visit of the High Commissioner Sadako Ogata.
(hina) lml mm