Kosovo, EU discuss trade, industry, customs, taxes

Developments in trade, customs, taxes, industry and free movement of goods during the past year were discussed today in Brussels by representatives of Kosovo and the European Commission.

This was the second meeting of the subcommittee under the Stabilisation and Association Agreement (MSA) that went into effect in April 2016.

In all areas, the Commission and Kosovo agreed on the importance of implementing the relevant European agenda of reforms and priorities of the economic reform programme, as well as recommendations from the Commission's Report on Kosovo 2018.

As for trade, the parties discussed trade integration and trade balance with Kosovo's main trade partners. Kosovo introduced developments regarding CEFTA.

The commission stressed the importance of deepening regional economic integration and welcomed the agreements reached at the CEFTA ministerial meeting in Pristina on April 27, 2018, under the leadership of Kosovo. The sides agreed to regularly exchange information concerning Kosovo's application for observer status at the WTO.

The commission stressed the importance of Kosovo adopting and implementing revised laws on the Protection Measures for Imports and the Trade in Oil Products and Renewable Fuels and addressing the issue of oil evaporation and the loss of other perishable goods.

As for customs and taxes, the European Commission stressed the importance of strengthening the capacity of the tax and customs administration and seeking a long-term solution for engaged personnel. The commission urged Kosovo to further fight the informal economy and proceed with tax administration reforms, particularly cutting the time for T's reimbursement VVS for businesses and increased debt collection level (paying claims).

As for Customs, the Commission encouraged Kosovo to change the Kosovo Customs and Actis Code to further harmonise it with EU legislation and practices.

As for industry and NVM policies, the European Commission reminded the need to make KIESA restructuring and further develop its capacities to improve its performance in promotion and support of investments, private sector and NVM development.

The commission called for greater efforts in boosting the competitiveness and export potential of Kosovo businesses to achieve the full benefits of the SAA. Kosovo pledged to speed up preparations at COME, including the establishment of the Enterprise Network consortium.

In the end, for free movement of goods, Kosovo pledged to increase the capacity of institutions and to further comply with EU legislation by improving infrastructure and quality in areas of standardisation, accreditation, reform assessment, metrology and market supervision.

The European Commission urged Kosovo to ensure the continued implementation of relevant regulations in Kosovo.

Otherwise, the Stabilisation and Association Agreement is the framework for the EU and Kosovo administration to regularly discuss technical and policy issues concerning the European agenda.