Swot Analysis Of Customs Union

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The key elements and structure of the Customs Union initiative In January 2010, Russia, Belarus and Kazakhstan formed the Eurasian Customs Union. In January 2012, the three countries agreed to even closer economic ties, by signing the agreement to form a “common economic space.”Their earlier effort at a Customs Union failed due to high transfers from Kazakhstan and the other Central Asian member countries to Russia; unfortunately, the current Customs Union imposes a tariff structure that repeats that mistake. But Russian WTO accession will substantially reduce those transfers, and the present Customs Union is charged with reducing non-tariff barriers among the member countries and hopes to improve trade facilitation. So far, the Customs Union…show more content…
Weaknesses: • Restrictions on property rights and the rigid requirements of the state planning system act against attracting foreign direct investment and independent entrepreneurial activity; • Productivity is still rather low in comparison with European/American…show more content…
Kazakhstan represents the point where the east comes into contact with the west through its membership in the Customs Union. In the long run, this move will help Kazakhstan gain technology whether in terms of building manufacturing units on its territory or through easier movement of peoples who can tap into the Russian labour market and remain an integral part of society in Kazakhstan. Technology transfers will also prove easier and relevant for increasing agricultural exports from Kazakhstan; there has been a tremendous push from the government to make Kazakhstan’s agricultural products into brand names. As an example, a very good is the situation on the export of flour and wheat production per capita, where today Kazakhstan's position among the world leaders. In order to keep the position must be at the legislative level to adopt regulations that will protect the interests of domestic producers of grain, and partner countries to guarantee the rhythm and volume of

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