Deprecated: mysql_connect(): The mysql extension is deprecated and will be removed in the future: use mysqli or PDO instead in /home/a26f9f83/public_html/articles/includes/config.php on line 159
Protectionism in Russia > NetSparsh - Viral Content you Love & Share

Protectionism in Russia

The new law "Special Protective, Antidumping and Import Compensatory Measures" differs from the old one by the fact that it fully complies with the WTO (World Trade Organization) standards. It is for the first time in the Russian practice that a law describes in detail what is necessary to do in order to protect the Russian market and how to do it. As its authors promised, the Law has turned out to be extremely concrete: it is conceived so that the officials as well as the participants of trade agreements will be able to find straight answers to their questions, and they should not search for any special "explanations" and "commentaries".

The law provides a listing of basic concepts. Not everyone in Russia, even among lawyers, will be able to tell straight off what "dumping leverage" is, and what "dumping import" is. For the majority of people it becomes a revelation, that "dumping" is not the sale of foreign goods in Russia at lower prices than similar local products cost (that's what for some reason most people think) but the sale of a product cheaper, than local production costs. A number of base concepts comprise such, as "the material loss of an industry" (what to understand in general under the term "damage") and "serious damage " (how to calculate it), and in general a lot of other things, which are clear "in general", but very artful when officials start to build a state policy, based on the intuitive understanding of such terms.

For example, the Law provides the description of the investigation concept, which should precede the introduction of all protective measures against "bad" foreign goods.

The Law states, that the body responsible for investigation, is appointed by the decision of the Government of the Russian Federation, and defines concrete timeframe, both for the investigation, and for implementation of its results (the measures, taken according to investigation results should be approved by the Government not later than 14 days after they are exposed). In case of a highly critical situation such measures need to be introduced extremely rapidly, as the Government can practically instantly introduce a special tax (protective import tax) on the goods that cause damage to the economy. Should it be found out later, that this tax is excessively heavy; the foreign trade participants will have the right to be reimbursed for the actual incurred losses. Such import tax cannot be effective for more than 200 days.

The Law describes in detail how to establish the degree of damage to the Russian economy from "bad" import. Special protective measures have to be implemented in order to protect the economy, the Law clearly defines, what those are and in what case they should be used, for how long and what is the order of their review. The main idea behind this is that such protective measures should be lifted, as soon as they fulfill their purpose. It is important not to go too far with those measures, otherwise the market protection may cause more harm than good, creating with the domestic manufacturer a sensation of absence of competition, that the buyers will be the first ones to feel.

A separate chapter of the Law is dedicated to antidumping measures. Discovering the fact of goods dumping in Russia, calculating the damage and introducing protective measures - each step is exposed in every detail, because this is a new practice for this country. Here, as well as in the case of application of special protective measures may be, the lawgiver requires that the facts should be carefully investigated, as it is possible that blind measures can do more harm than good. If dumping influence does not exceed a certain allowable threshold, strict measures should not be used. Moreover, if the supplier of the goods states in writing that he followed a dishonest price policy, and signs an obligation to stop it, the investigation is then suspended, should the "inspectors" make the decision, that the supplier can be trusted. However, tight control is carried out to verify how he complies with the promise.

The Law introduces the concept of "compensatory measure" which is necessary in case when the goods, produced with the subsidies of the foreign governments are imported into Russia. In the reality however, as it has been already noticed by the experts, it is firstly the foodstuffs: the crisis of overproduction of agrarian and industrial complex, the aspiration to support quiet lifestyle of local farmers cause the foreign governments to buy from manufacturers of agrarian and industrial complex the goods at unfairly high prices, and then resell them for export at lower prices, compensating the difference from the budget. The demands of domestic manufacturers of agrarian and industrial complex "to forbid" such imports was faced with fears, that the sharp interdiction of imports will not cause the growth of own production and will result only in shortages and price increases. The Law has defined the "golden balance": the investigation concerning the subsidized import is conducted extremely objectively, abstracting from lobbyism of domestic manufacturers.

The document is extremely transparent, as it could not be any different. The attempts to declare a "trade war" to Russia when its goods are exported to some countries, on one hand, as well as obvious practice of "bad import" to our country from which we were not protected, on another hand, have forced Russia to use protective measures (on import of fowl, beef, pork) before the adoption of this law. It caused an ambiguous and sometimes extremely strong reaction in the outside world. The reaction of Russia's supporters during the WTO negotiations was especially painful. There was not a single country at this stage of joining the WTO who dared strengthening its protective measures. Russia has invested a great deal of efforts to prove, that it had the right to protect the market, and has spent a lot of time to explain to foreign experts, how its market was going to be protected.

Copyright 2005 OpenRussia.ru Russian business directory

In The News:

This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news

Vox

The “do what you want” theory of politics
Vox
An unspoken assumption of most political punditry is that the political positions taken by, and the policies supported and enacted by, politicians play a significant, perhaps decisive role in determining the outcomes of elections. This is the premise ...

and more »

The Atlantic

The Atlantic Politics & Policy Daily: He Said, He Said
The Atlantic
In a speech in South Africa, former President Obama warned about the rise of “strongman politics.” During a House Judiciary Committee hearing, Facebook, Twitter, and YouTube executives addressed Republican claims that their platforms censored ...
Trump Putin summit is proof: Politics hijack how we handle RussiaAZCentral.com
Discord over Trump's Helsinki humiliation hands Putin another winCNN
White House attempts to clarify Trump's response to whether Russia is still targeting US electionsWashington Post
The Japan Times -New York Times
all 4,005 news articles »

The Nation.

Can a New Left Movement Shift Israeli Politics?
The Nation.
At their center is a growing grassroots political movement called Standing Together, which is a partnership between Jewish and Palestinian citizens of Israel (and of which I am a member). Without waiting for an invitation from some higher progressive ...
Playing Politics With Birthright? That's Like Stealing A Free Trip To Israel.Forward

all 129 news articles »

New Scientist

Deepfakes won't wreck politics this year even if politicians might
New Scientist
By Tim Hwang. There's no doubt that recent demonstrations of how machine learning can generate believable fakes are striking. From uncanny simulated voices to fabricated videos of political leaders, it is natural to worry that these techniques will ...


Vox

The rise of rage in social media politics, in one chart
Vox
Politics is all the rage on social media. Literally. According to a new analysis by the Pew Research Center, people are increasingly responding to Facebook posts from members of Congress with “angry” reactions, instead of the previously more common ...

and more »

New York Times

The Hidden (and Not So Hidden) Politics of the 2018 World Cup
New York Times
CAPE TOWN — The 2018 World Cup revealed much about the state of our world, and not simply in the triumphal smile of President Vladimir Putin of Russia, the arch-nemesis of the liberal global order, as he presided over the final match, the planet's ...

and more »

National Review

Yes, the Wars over Campus Politics Matter
National Review
BLM's platform makes clear references to Marxist political economy, declaring “that patriarchy, exploitative capitalism, militarism, and white supremacy know no borders” and that its members “stand in solidarity with our international family against ...


Brookings Institution (blog)

Politics, policy, and implementation: The 'Ghanaian Paradox'
Brookings Institution (blog)
Two political parties—the New Patriotic Party (NPP) and the National Democratic Congress (NDC)—have dominated the political scene since 1992. No political party has been able to succeed itself after the mandatory two-term limit of four years each.

and more »

New York Times

Obama Warns of 'Strongman Politics' After Trump's Meeting With Putin
New York Times
Without mentioning President Trump by name, former President Barack Obama delivered a pointed rebuke of “strongman politics” on Tuesday, warning about growing nationalism, xenophobia and bigotry in the United States and around the world, while ...
Barack Obama is as frustrated as you are with strongman politics in AfricaQuartz
Obama warns against 'strongman politics' in speech after Trump news conferenceCNN
Obama warns against 'politics of fear' after Trump-Putin summitNBCNews.com
Washington Post -ELLE.com
all 1,845 news articles »

CNBC

Airbnb condemns NYC's 'bellhop politics' - CNBC.com
CNBC
In advance of a City Council vote on Wednesday that will impose strict regulation on Airbnb in NYC, policy and public affairs head Chris Lehane launched into ...

and more »
Google News

California Attorneys and Politicians

California Attorneys and politicians are to blame for the energy... Read More

From Democracy to Omniocracy

Clint Eastwood recently plunged into the murky political pond with... Read More

The Self-Appointed Altruists

Their arrival portends rising local prices and a culture shock.... Read More

Accounting Nightmare at the FTC

Most government agencies cannot pass an audit of their expenses.... Read More

Monetary Flows, Consumer Debt, Policy, Trade Deficit and Reality

America has some monetary issues, which need to be addressed.... Read More

We Are Turning a Corner in Foreign Relations, Thanks GW Bush!

Kudos goes out to the George Walker Bush's Administration and... Read More

MORAL ARMORS Counterfeit 911: Refuting Michael Moore

Michael Moore asserts the following in his political film Fahrenheit... Read More

Fraud From FTC Insiders, Who Can You Trust?

The FTC franchising division purports their law enforcement experience in... Read More

Is The Bill Of Rights Necessary?

The Bill of Rights to our Constitution caused -- and... Read More

Wartime Prisoners and the Will to Fight; War is Hell, Let?s Win Alright?

We learned some lessons in these last few wars. For... Read More

Iranian Elections and Boiling Points

The Iranian elections are certainly interesting indeed. The ruling party... Read More

What is the Filibuster-Breaking Nuclear Option?

What is the so-called "nuclear option" that Senator Bill Frist... Read More

Lack of Peace, Reaching Critical Mass

You have in front of you two buttons, one is... Read More

The Divided Language

I was dismayed to learn the other day, that my... Read More

Hillary Says Health Care Can Be Fixed with IT

The great leader and Senator from New York and wife... Read More

Sarbanes-Oxley Reality Check on Bureaucracy

There is no doubt in hindsight that Sarbanes Oxley was... Read More

Global/Israeli Corruption!

What depth of blind insanity has inflicted itself upon Israel's... Read More

Doorstops and Paperweights

Ted Stevens (R-Alaska), chairman of the Senate Commerce Committee, has... Read More

Mommas, Dont Let Your Babies Grow Up to Be Lobbyists

For many years now, I have been the proud holder... Read More

Wartime Britain & Things Look Bleak

This is the second of a series of four articles... Read More

Boston Bankers

Many people make a lot of money in war. In... Read More

Public Schools Are Un-American

Compulsory-attendance laws force parents to send their children to public... Read More

More Devastating Than a Nuclear Bomb

Despite their signature on the Biological Weapons Convention of 1975,... Read More

The Criminality of Transition

Lecture given at the Netherlands Economic Institute (NEI) on 18/4/2001Human... Read More

Farming Human Clones

If someone wanted to farm future clones they would need... Read More