Russia set for entry to WTO

The European Union and Russia said today Moscow's long-delayed bid to join the World Trade Organisation should be completed this…

The European Union and Russia said today Moscow's long-delayed bid to join the World Trade Organisation should be completed this year, the EU's trade chief said.

"We have agreed that WTO accession should be completed by the end of the year," trade commissioner Catherine Ashton said following a meeting with Russian economy minister Elvira Nabiullina in the margins of the St Petersburg Economic Forum.

"I welcome the commitment that minister Nabiullina has shown today. We have a common understanding on the gaps that need to be bridged now," Ashton said in a statement.

But US trade representative Ron Kirk struck a cooler note after talks with Ms Nabiullina. "I think that may be a bit premature," he told Reuters when asked about the timeframe voiced by MsAshton.

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Russia, which had annual gross domestic product of $1.7 trillion in 2008, is the largest economy outside the 153-member WTO and Russian officials are optimistic a breakthrough might finally be on the cards after starting negotiations in 1993.

Prime minister Vladimir Putin, said on Wednesday that desire to join the WTO has not been dented by the economic crisis and supporters says accession to the trade club would help further integrate Russia into the world economy.

"There is a good window of opportunity (for Russia to join WTO) at the moment - probably the best in recent years. So if we don't use this opportunity it would be a shame," said Russia's chief WTO negotiator Maxim Medvedkov.

"Considerable progress was made with the EU Commissioner on WTO questions," he added. "After our meeting with the EU, we are looking at the whole process with a large amount of optimism."

But there is a powerful domestic lobby which says Russia's development will be stunted by entry and senior Kremlin officials have warned that Moscow is losing patience with Western promises to let it join the trade body.

Moscow's accession stalled after the United States put the issue on ice over its opposition to Russia's military incursion into Georgia in 2008.

Reuters