Eurasian Economic Union Ag Times No. 4 of 2017 Moscow Russian Federation 8 22 2017

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THIS REPORT CONTAINS ASSESSMENTS OF COMMODITY AND TRADE ISSUES MADE BY USDA STAFF AND NOT NECESSARILY STATEMENTS OF OFFICIAL U.S. GOVERNMENT POLICY

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Report Highlights:

This report contains summaries of relevant decisions and documents from the

Armenia-Belarus-Kazakhstan-Kyrgyzstan-Russia Eurasian Economic Union (EAEU) meetings, published between April 29 and August 8, 2017 that impact EAEU food and agriculture policy. Key documents included herein are a number of decisions on import tariff changes for numerous agricultural products implementing the next round of Russia’s WTO tariff reductions, finalized veterinary requirements and a certificate for dog semen, and a revised draft amendment of cadmium MRLs for sunflower seeds. As noted herein, Russia notified several of the SPS measures covered in this report to the World Trade Organization (WTO). Staff

Rachel Vanderberg

SP2 - Prevent or Resolve Barriers to Trade that Hinder U.S. Food and Agricultural Exports

Trade Policy Monitoring FAIRS Subject Report

Sanitary/Phytosanitary/Food Safety

Eurasian Economic Union Ag Times No. 4 of 2017

Moscow

Russian Federation

RS1746 8/22/2017 Public

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General Information:

This report contains summaries of relevant decisions and documents from the

Armenia-Belarus-Kazakhstan-Kyrgyzstan-Russia Eurasian Economic Union (EAEU) meetings, published between April 29 and August 8, 2017 that impact EAEU food and agriculture policy. Key documents included herein are a number of decisions on import tariff changes for numerous agricultural products implementing the next round of Russia’s WTO tariff reductions, finalized veterinary requirements and a certificate for dog semen, and a revised draft amendment of cadmium MRLs for sunflower seeds.

The documents below are hyperlinked via automated translation services for readers seeking further details. Select “refresh” on your browser if the page does not translate to the end.

As noted herein, Russia notified several of the SPS measures covered in this report to the World Trade Organization (WTO).

SPS MEASURE PUBLISHED FOR PUBLIC COMMENT

Publication Date: June 26, 2017

Recommended Rules of Food Sampling: Draft Recommendation on the use of Common Rules of Sampling (Taking Specimens) for Examination (Testing) of Food Products when Applying and Fulfilling the Requirements of Technical Regulations of the Eurasian Economic Union – original in Russian. For English, please see GAIN report RS1742 Draft EAEU Recommended Rules of Food Sampling.

Summary: On June 26, 2017, the Eurasian Economic Commission (EEC) published the draft Recommendation for comments. In particular, the draft contains rules of food sampling and requirements for storage and transportation of samples. The Common Rules may be used in case a relevant standard for sampling is missing in the list of standards established for a particular TR. The EEC’s comment period for the draft closed on July 16, 2017. As of the date of publication of this report, FAS/Moscow does not believe this measure has been notified to the World Trade Organization.

INTERNATIONAL MEMORANDA

Publication Date: July 3, 2017

Memorandum of Understanding between the Eurasian Economic Commission and the Hellenic Republic

- original in English

Summary: The Memorandum was signed in Moscow on June 24, 2017. According to the Memorandum, it does not create any rights or obligations for the Parties governed by

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agro-industrial complex. The Memorandum was written in Russian, Greek, and English, with the English text to prevail in case of any discrepancy.

MEETING OF THE EURASIAN ECONOMIC COMMISSION COUNCIL May 17, 2017

Publication Date: May 23, 2017

EEC Council Decision No. 23 On Amending the Unified List of Goods Subject to Veterinary Control (Surveillance) - original in Russian

Summary: The decision expands the respective EAEU list to include leguminous vegetables used for animal feed, citron melons, and some feed additives. As a draft, Russia notified the WTO of this document in October 2015 via G/SPS/N/RUS/110. For unofficial English translation of the initial draft, please see GAIN report RS1583 Draft EAEU SPS Measure on Feed and Feed Additives Notified to WTO.

EEC Council Order No. 20 On Draft Agreement on the Mechanism of Traceability of Goods within the Framework of the Eurasian Economic Union - original in Russian

Summary: The draft agreement will cover only imported products that are released for

domestic consumption or sold in the EAEU, or moved from the territory of one EAEU Member State to the territory of another EAEU Member State. According to the draft, the EEC should determine a list of products to be traced, and EEC decisions approving the list or amendments to the list should come into force at least 90 days after their official publication. The EAEU Member States shall launch a pilot project on the implementation of traceability under the

agreement as of February 1, 2018, the EEC should publish a decision approving a list of products for the pilot project no later than October 1, 2017. Based on the results of the pilot project, the EAEU Member States shall implement the traceability project under the draft agreement during 2018 pending an EEC decision that should come into force at least 90 days after its official publication.

EEC Council Order No. 21 On the Interaction of the Eurasian Economic Union Member States in case of Application by One of the Member States of Unilateral Special Economic Measures - original in Russian

Summary: The order states that in case of introduction of unilateral special economic measures by one of the EAEU Member States against third countries, the Member State should inform the other members and the EEC, as a rule, no later than 15 calendar days in advance of such

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MEETING OF THE EURASIAN ECONOMIC COMMISSION COUNCIL June 23, 2017

EEC Council Decision No. 41 On Establishment of Rates of Import Customs Duties of the Unified Customs Tariff of the Eurasian Economic Union for Certain Types of Goods in Accordance with the Commitments of the Russian Federation in the Framework of the WTO - original in Russian

Summary: The decision will change the EAEU import tariff in connection with Russia’s WTO tariff commitments. According to this decision, the following agricultural items will be affected by the tariff changes as of September 1, 2017: some live, chilled, or frozen fish (from EAEU HS groups 0301 –0303), dried birds’ eggs (0408 91 800 0), live plants (from 0602), apples (from 0808), rice (from 1006), starches (from 1108), vegetable oils and other fats (from 1512, 1514, and 1517), fruit purees (from 2007), yeast (from 2102), and flax (from 5301).

EEC Council Decision No. 42 On Establishment of Rates of Import Customs Duties of the Unified Customs Tariff of the Eurasian Economic Union for Certain Types of Goods in Accordance with the Commitments of the Russian Federation in the Framework of the WTO - original in Russian

Summary: The decision extends the operation of a temporary combined EAEU tariff rate for two items of concentrated apple juice (from HS 2009) of 10 percent but not less than 0.05 Euro per liter until the end of 2017. While the Unified EAEU tariff was amended in 2016 for both items to replace the combined tariff rate with a flat rate of 10 percent, which is Russia’s final bound rate, simultaneously a note was added at the bottom of the EAEU tariff in effect extending the operation of the combined tariff until August 31, 2017. At the same time, according to Russia’s WTO commitments, the final bound rate of 10 percent should have been implemented in 2015.

MEETING OF THE EURASIAN ECONOMIC COMMISSION COLLEGIUM May 11, 2017

EEC Collegium Decision No. 44 On Establishment of Rates of Import Customs Duties of the Unified Customs Tariff of the Eurasian Economic Union for Certain Types of Goods in Accordance with the Commitments of the Russian Federation in the Framework of the WTO and Amending Some Decision of the Eurasian Economic Commission - original in Russian

Summary: The decision will change the EAEU import tariff in connection with Russia’s WTO tariff commitments. According to the decision, the following agricultural items will be affected by tariff changes as of September 1, 2017: some fish liver, eggs and roes, edible fish

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aquatic invertebrates, prepared or preserved (from 1605), sugar and cocoa products (from 1702, 1803, and 1804), preserved vegetables, fruits, nuts, and mushrooms (from 2001 and 2002), soy sauce, mustard, and chewing gum (from 2103 and 2106), water, beer, and vermouth (from 2201-2203 and 2205).

MEETING OF THE EURASIAN ECONOMIC COMMISSION COLLEGIUM May 30, 2017

EEC Collegium Decision No. 60 On Amending Unified Veterinary (Veterinary and Sanitary) Requirements for Goods Subject to Veterinary Control (Surveillance) - original in Russian

Summary: The decision introduces a new Chapter 45 with the veterinary and sanitary requirements for dog semen imported into the Eurasian Economic Union. As a draft, Russia notified the WTO of this draft document via G/SPS/N/RUS/127 and Kazakhstan - via

G/TBT/N/KAZ/3 in July 2016. For English translation of the original draft please see GAIN report RS1637 Draft SPS Measure on Dog Semen Notified to WTO.

EEC Collegium Decision No. 61 On Amending Decision of the Customs Union Commission No. 607 of April 7, 2011 - original in Russian

Summary: The decision introduces a new form No. 46 of a unified EAEU veterinary certificate for dog semen imported into the Eurasian Economic Union. As a draft, Russia notified the WTO of this draft document via G/SPS/N/RUS/126 and Kazakhstan - via G/TBT/N/KAZ/4 in July 2016. For English translation of the original draft please see GAIN report RS1637 Draft SPS Measure on Dog Semen Notified to WTO.

MEETING OF THE EURASIAN ECONOMIC COMMISSION COLLEGIUM June 8, 2017

EEC Collegium Decision No. 65 On Establishing Rates of Import Customs Duties of the Common Customs Tariff of the Eurasian Economic Union in Respect of Some Types of Agricultural Products - original in Russian

Summary: The decision will raise the EAEU import tariff for Brussels sprouts (EAEU HS 0704 20 000 0), pistachios (0802 51 000 0 and 0802 52 000 0), dates (0804 10 000 0), and dried grapes (0806 20 100 0 and 0806 20 900 0) from the current temporarily reduced rates of 5% for Brussels sprouts and zero per cent for the other items to 13% and 5%, respectively, as of

February 1, 2018. The increased tariff rates are Russia’s final bound rates for the corresponding items in accordance with Russia’s WTO tariff commitments.

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EEC Collegium Order No. 61 On Draft Order of the Council of the Eurasian Economic Commission

“On Draft Agreement on Measures Aimed at Unification of Selection and Breeding Work with Agricultural Animals in the Framework of the Eurasian Economic Union” - original in Russian

Summary: The document gives interim approval to the stated draft Agreement. When finally adopted, the Agreement will establish unified requirements for breeding products and methods of assessment of the animals’ breeding value, as well as ensure exchange of information on

breeding animals and selection achievements, and coordination of selection and breeding work in the EAEU. According to the EEC Minister for industry and agriculture Sergey Sidorsky, the Agreement should help increase the output of competitive breeding products, increase livestock production, and decrease dependence from imported breeding products.

MEETING OF THE EURASIAN ECONOMIC COMMISSION COLLEGIUM June 30, 2017

EEC Collegium Order No. 69 On Draft Decision of the Council of the Eurasian Economic

Commission “On Amending Annex 2 to the Technical Regulation of the Customs Union “On Safety of

Grain” (TR TS 015/2011)” - original in Russian

Summary: The document gives interim approval to the stated amendment, which would

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EEC Collegium Decision No. 80 On Certificates of State Registration of Products - original in Russian

Summary: The decision approves a new version of the unified form of state registration

originally approved by the CU Commission Decision No. 299 of May 28, 2010. The certificate of state registration is a document that confirms compliance of products with the requirements of the EAEU technical regulations or the Unified Sanitary-Epidemiological and Hygienic

Requirements for Products Subject to Sanitary-Epidemiological Surveillance (Control). The decision also establishes a procedure for issuing certificates of state registration. In particular, producer, seller (or importer) or a person authorized by the producer can file applications for certificates of state registration. The decision also sets the procedure of forming and maintaining a unified register of such certificates. The data in the register will be publicly available. The decision comes into force as of June 1, 2019. Certificates issued prior to that date will be valid until their expiration.

EEC Collegium Order No. 71 On Draft Recommendation of the Council of the Eurasian Economic Commission “On the Expediency of Implementation and Use of Best Practices of the Organization for Economic Cooperation and Development”- original in Russian

Summary: The document gives interim approval to the stated recommendation for the EAEU Member States to consider implementation of the OECD standards taking into account the socio-economic development and legal regulation in the EAEU Member States. In terms of

agriculture, the potential use of the OECD tools in the sphere of seeds certification and the need to study the OECD Schemes for the Varietal Certification is mentioned.

MEETING OF THE EURASIAN ECONOMIC COMMISSION COLLEGIUM August 4, 2017

Publication Date: August 8, 2017

EEC Collegium Order No. 88 Draft Decision of the Council of the Eurasian Economic Commission

“On Draft Decision of the Supreme Eurasian Economic Council “On the Status of Observer in the

Eurasian Economic Union”- original in Russian