Northern Macedonia's profits from 100 per cent tax

Since the tax has been imposed, northern Macedonia has increased the export of products to Kosovo from 5.8 per cent to 6.9 per cent, they say at the Northeastern Macedonia Economic Ode, adding that the benefits would be much greater if the North Macedonian side did not lack infrastructure.

The chairman of the Northwestern Macedonia Economic Ode, Nebi Hoxha, tells Radio Free Europe that the export growth trend Skopje has scored against Pristina is good but insufficient, as according to him there is much more space to be used.

“Products from Northern Macedonia to the Kosovo market were included by 4.2 percent during 2017. A year later, in 2018, the percentage of goods from northern Macedonia to Kosovo increases to 5. 8 percent, while this year receiving data from just the first nine months of the year, until October respectively, the export of Macedonian products to Kosovo totals 6.9 percent”, Hoxha says.

According to the country's economic opas data, Macedonian companies have been exporting food products to Kosovo, such as flour, milk, oil, sugar, water, etc.

Local companies see the lack of infrastructure in northern Macedonia's part in Kosovo's direction as problematic to connect to the “Arba Xhaferi” highway.

“Pes mostly known. The main obstacle to business between Kosovo and Northern Macedonia is infrastructure, the section of the highway to Blace, respectively, is one of the barriers slowing circulation and increasing the cost of North Macedonia products towards Kosovo. Also, the other problem involves the tariff barriers between our two countries”.

So we are doing our best to remove these barriers and the products of North Macedonia to be present on the Kosovo market in a larger amount because it is seen that this gap emerging from Serbia's lack of import would have to be more literally covered with our products, given the proximity and quality that we as businesses can offer on the Kosovo market”, Hoxha says.

Meanwhile, from the Government of Northern Macedonia stress that construction of the Skopje-Blace highway, which is only 12 kilometers long, so that North Macedonia can connect to the highway in Kosovo, “Arcba Xhaferi”.

Even during the recent meeting between Macedonian Prime Minister Zoran Zaev and Vetevendosje Movement leader Albin Kurti, who is the prime contender for the prime minister's post, is said to have talked about projects dealing with infrastructure. Apart from the Skopje-Blace highway, Zeaev and Kurti are also said to have talked about the road link between Tetovo and Prizren, as well as the expansion of capacity at the Jarinca border point, to facilitate the movement of goods between the two states.

Meanwhile, the Ministry of Transport and Links stress that during these days the tender for construction of the Skopje-Blace highway will be opened. Northern Macedonia Deputy Prime Minister Bujar Osmani has stated last week that delays in building this highway have occurred because when the tender for its construction was earlier opened, there were no quality bids.

“Nevoja for construction of the Skopje-Blace highway was presented when Kosovo built the Pristina-Blace section. There has been no such push or pressure from citizens and institutions to create a segment of 13 miles [13 km], when 60 kilometers are missing. So the need and pressure to build this piece is for a year. I am co-ordinator of this project in the last 18 months. What I've accomplished is to provide financial infrastructure of 180m euros, make a preliminary or idea project, do basic projects and tender. The first tender has failed because we did not have good offers, qualitative bid”, Deputy Prime Minister Bujar Osmani has said.

Economic issues recognisers say infrastructure presents one of the basic pillars for the development of the economy, so stress that the business sector and exercise more pressure on the government to start construction of the Skopje-Blace highway.