Ljajic: We must protect our tobacco industry

The controversial case of Croatian cigarettes and negotiations with the EU remained where it was stopped, said Deputy Prime Minister and Minister of Foreign and Internal Trade and Telecommunications Rasim Ljajic told Tanjug.

Europeans insist that should be complied the quota of 1,625 tons of cigarettes that are imported at the custom rate of 15 percent and above that quota to be applied tariff quotas and the EU of 57.6 percent.

Croatia is trying through the institutions of the EU to keep liberalized system of trade with the countries of the region, or through the import to behave as a member of the EU, the export to the region as a member of CEFTA.

Ljajic has repeatedly emphasized that the proposal, namely the EU proposal on amending and adjusting to the Stabilisation and Association Agreement, is unacceptable for Serbia.

We are against of the proposal but we are willing to continue the conversation. We must protect our tobacco industry it fills the budget with 14 percent, employing a significant number of workers. We had more than a billion euros in foreign investments in the tobacco industry and we have an obligation to protect that investment, Ljajic said.

Serbia is ready to seek compromise, he said, to find a mutually acceptable economic solution. I believe it would come, but for now there are no movement, said Ljajic.

Ljajic said that he expects that Macedonia in August will change the regulation of wheat and flour.

We have an agreement with Macedonian Minister of Agriculture for that they should start to change of the decree, which was supposed to last until 31st December. We have requested an urgent meeting of the committee and CEFTA that was also concluded that this decision is not in accordance with the CEFTA agreement and the principles of free trade. Then it is recommended that the Macedonian government amend this regulation, and during August we expect to be changed, the minister said to Tanjug.

The Macedonian government in early July adopted a decision that Serbian imports of wheat and flour should be attached to buy domestic wheat and flour so that the Macedonian importers per kilogram of imported wheat from other countries, including Serbia, would have purchase at least three kilos of domestic wheat, and for foreign kilogram of flour to buy four kilograms of wheat from domestic production.