"Politicians to resolve dispute over cigarettes and sugar"

BELGRADE A decision on exports of Serbian sugar and Croatian cigarettes following Croatia's EU entry will be made "at the political level." The announcement of tState Secretary at the Ministry of Agriculture Danilo Golubovic came "as the negotiating teams of Serbia and the EU failed to find a solution," Tanjug reported. "Politicians to resolve dispute over cigarettes and sugar" Serbia seeks an additional quota of 46,000 tons for sugar exports, while the EU requests an export quota of 1,625 tons for Croatian cigarettes, and so far no agreement has been reached, Golubovic said. Now, it will be up to the Serbian government and the European Commission to arrive at a final decision on the two issues. Serbia has been negotiating with the EU for some time now on certain changes to the trade agreement with Croatia after the country's EU entry, he said. The talks focus on raising certain quotas, and some other favorable terms for Croatia, which it had under the Central European Free Trade Agreement (CEFTA), Golubovic said. The valid quota for sugar exports from Serbia to the EU is 180,000 tons. However, after Croatia joined the bloc, the amount of sugar from Serbia on the Croatian market should be included in the quota. On the other hand, the EU requested an export quota of 1,625 tons for Croatian cigarettes, of which 25 tons will be taxed at 10 percent, 1,600 tons at 15 percent, and the remaining quantities at 57.6 percent. “We did not agree with that request, the EU's negotiating team did not agree with ours,” Golubovic said. The Serbian Chamber of Commerce (PKS) is against Croatia's request for preferential cigarette exports to Serbia, as it is to the detriment of producers and manufacturers in Serbia, Tanjug learned from Secretary at the PKS Association of Agriculture Nenad Budimovic. “Since Croatia became a fully-fledged member of the EU on July 1, 2013, the CEFTA is not applied any more. The customs duty for cigarette imports from the EU is 57.6 percent,” Budimovic stressed. Serbia's tobacco industry is a more stable sector of agriculture, accounting for around 14 percent of the overall budget revenues, 2.6 percent of the GDP and 2.7 percent of the total exports of agricultural and food products, he said. Foreign investments in the tobacco industry totaled over EUR 1.2 billion, which confirms a long-term interest of Serbian and foreign investors in the development of that branch, Budimovic said. (sxc.hu, stock) Tanjug

"Politicians to resolve dispute over cigarettes and sugar"

Serbia seeks an additional quota of 46,000 tons for sugar exports, while the EU requests an export quota of 1,625 tons for Croatian cigarettes, and so far no agreement has been reached, Golubović said.

Now, it will be up to the Serbian government and the European Commission to arrive at a final decision on the two issues.

Serbia has been negotiating with the EU for some time now on certain changes to the trade agreement with Croatia after the country's EU entry, he said.

The talks focus on raising certain quotas, and some other favorable terms for Croatia, which it had under the Central European Free Trade Agreement (CEFTA), Golubović said.

The valid quota for sugar exports from Serbia to the EU is 180,000 tons. However, after Croatia joined the bloc, the amount of sugar from Serbia on the Croatian market should be included in the quota.

On the other hand, the EU requested an export quota of 1,625 tons for Croatian cigarettes, of which 25 tons will be taxed at 10 percent, 1,600 tons at 15 percent, and the remaining quantities at 57.6 percent.

“We did not agree with that request, the EU's negotiating team did not agree with ours,” Golubović said.

The Serbian Chamber of Commerce (PKS) is against Croatia's request for preferential cigarette exports to Serbia, as it is to the detriment of producers and manufacturers in Serbia, Tanjug learned from Secretary at the PKS Association of Agriculture Nenad Budimović.

“Since Croatia became a fully-fledged member of the EU on July 1, 2013, the CEFTA is not applied any more. The customs duty for cigarette imports from the EU is 57.6 percent,” Budimović stressed.

Serbia's tobacco industry is a more stable sector of agriculture, accounting for around 14 percent of the overall budget revenues, 2.6 percent of the GDP and 2.7 percent of the total exports of agricultural and food products, he said.

Foreign investments in the tobacco industry totaled over EUR 1.2 billion, which confirms a long-term interest of Serbian and foreign investors in the development of that branch, Budimović said.