[OOCish]... BILATERAL ~RELATIONS~
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RELATIONS BETWEEN THE REPUBLIC OF LITHUANIA AND THE RUSSIAN FEDERATION
Integration into European and Trans-Atlantic institutions, as well as the maintenance of friendly relations with neighbouring countries, Russia among them, are identified as the priorities of Lithuania's foreign policy.
PRINCIPLES AND LEGAL FOUNDATION
Lithuania and Russia have no unresolved political issues - that creates favourable conditions for the development of relations and cooperation with Russia on bilateral, regional and all-European scale.
Lithuania bases its relations with Russia on universally recognised norms and principles of the international law and the Lithuanian-Russian Treaty on the Foundations of Inter-State Relations, signed on July 29, 1991, and entered into force on June 4, 1992. The development of bilateral cooperation is ensured by implementation of the provisions and goals of this document, including the right to independently realise sovereignty in the area of defence and security in ways they find acceptable, as well as through the collective security arrangements.
The parties of the Treaty confirmed the continuity of Lithuanian statehood, declared by the parliament of the Republic of Lithuania on March 11, 1990, and pledged to refrain from the use of force and the threat of use of force in their mutual relations, to respect sovereignty, territorial integrity and inviolability of their borders in accordance with the principles of the OSCE.
In relations with the Russian Federation Lithuania emphasises the importance of adherence to the principles enshrined in the instruments of the OSCE, including commitments to the principles to be observed in political practice that every state has the inherent right to be free to choose or change its security arrangements, including treaties of alliance as they evolve.
Lithuania has no border problems with Russia, nor does it have problems in relation to its Russian national minority. The delimitation of the state border between the two countries was completed on October 24, 1997 with the signing of a treaty on defining the state borders between Lithuania and Russia and a treaty establishing the exclusive economic zone at the Baltic Sea.
Lithuania granted the right to obtain Lithuanian citizenship for all the inhabitants that resided in Lithuania up until the declaration of the independence. The Russian population represents approximately 8 per cent of the population of Lithuania and they enjoy full social, cultural and linguistic autonomy guaranteed by the Lithuanian laws and according to international standards.
Lithuania's relation with the Kaliningrad region of Russia take an important place in the bilateral relationship as well as in Lithuania's overall policy of encouraging regional co-operation. Lithuania is linked with Kaliningrad region through geographic proximity, mutual economic interest, a long-standing Lithuanian cultural heritage in the region and numerous human contacts.
((Mun notes here that, Kaliningrad, is most definatly their child. I can make a post later about how cannon that is. ))
Agreement between the Republic of Lithuania and the then-RSFSR on economic, social and cultural cooperation in the development of the Kaliningrad region of the Russian Federation, signed on July 29, 1991 and entered into force on June 4, 1992.
A new agreement for long-term co-operation between regions of Lithuania and Kaliningrad region of the Russian Federation was signed on June 29, 1999.
Agreement on trade and economic relations, which established Most-Favoured-Nation status for both states, as well as agreements on avoidance of double taxation and on promotion and protection of investments, which were signed on 29 June, 1999, create necessary legal foundation for economic co-operation.
Last year Lithuania and Russia have agreed on bilateral confidence and security building measures: first, on a basis of reciprocity to exchange a passive quota of one additional evaluation visit beyond the quota established by the Vienna Document of 1999, and, second, to exchange information on military forces in Lithuania and in the Kaliningrad region of Russia in accordance to the formats of the Treaty on CFE.
The visit of the President of Lithuania Valdas Adamkus to Russia on 29-31 March 2001 was an important event of bilateral relations. During the visit the President of Lithuania and the President of Russia have signed a joint statement. At the meetings the Lithuanian and the Russian officials expressed their satisfaction with the development of bilateral relations and emphasised the existence of a good legal and institutional basis for further steps in this direction. September 2001 has been fixed as a preliminary date for the visit of Prime Minister of Lithuania to Russia. The signing of bilateral agreements currently under the preparation is then expected.
TRADE AND INVESTMENT
According to the data of Lithuanian Statistics Department for the period of January-February, 2000, the total trade between the Republic of Lithuania and the Russian Federation amounted to 237.8 mill. USD or 17.8% of Lithuanian foreign trade. During this period Lithuanian exports to Russia made up 34.5 mill. USD or 6.0% of total exports (3rd place among Lithuanian export partners, after Germany and Latvia), while imports from Russia totalled 203.2 mill. USD or 26.8% of total imports (1st place).
bullet Total trade with the Russian Federation for the year 1999 reached 1 179.8 mill. USD. In comparison with 1998, Lithuania’s exports fell down by 65.6% to 210.7 mill. USD while imports decreased by 20.9% to 969.3 mill. USD.
bullet The opposite recovering tendency was evident during the period of January-February, 2000, in comparison with the same period of 1999 with Lithuanian exports and imports increasing by 21.0% and 75.6% respectively.
bullet The main Lithuanian import items in the year 1999 were as following: mineral products (mainly crude oil and gas) made up 72.2% of imports to the Russian Federation, machinery and mechanical appliances, electrical equipment - 8.3%, base metals and articles thereof - 3.9%, plastics and articles thereof - 3.6%, chemical production - 2.4%.
bullet For the same period in the structure of Lithuanian export the following items dominated: live animals and animal products amounted to 14.8% of Lithuanian exports to Russia, vehicles, aircrafts, vessels and associated transport equipment - 14.2%, machinery and mechanical appliances, electrical equipment - 13.1%, prepared foodstuffs, beverages, spirits and vinegar, tobacco - 9.4%, textiles and textile articles - 8.8%.
According to the Lithuanian Enterprise Rejester there were 1054 enterprises with the participation of capital from Russia registered in Lithuania as of February, 2000. The share of Russian capital amounted to 16.5 mill. USD or 4.7% of statutory capital of enterprises.
Foreign direct investment from the Russian Federation reached 28.6 mill. USD as of January 1, 2000. It places Russia at the 14th place among the foreign direct investors with the 1.4% of total FDI.
INTERGOVERNMENTAL COMMISSION
An intergovernmental commission was established in 1996 to prepare concrete projects for economic, scientific and cultural cooperation between Lithuania and Russia, as well as to provide a forum to resolve differences. The meetings of the commission or of the co-chairmen of the commission usual are held every year. Last meeting of the co-chairmen of the commission was held on March 22, 2001 to discuss the issues related to the organisational matters of the commission’s activity.
The some working groups set up by the commission address the issues connected with trade and economy; energy; agriculture; transport; archives; social affairs; science and culture; illegal migration; regional cooperation; properties of diplomatic missions; and financial claims.
TRANSIT ISSUES
The agreements of the Government of Lithuania and the Government of the Russian Federation on the principles of cooperation and the conditions of mutual relations in the sphere of transportation, on international auto-vehicle communication as well as on air communication establish the common principles of transit across the territories of Lithuania and Russia. These principles are also applied to RF transit into and from Kaliningrad region (KR).
Civilian transit: The transit of the Russian Federation nationals across the territory of Lithuania is regulated by the temporary provisions between the Government of the Republic of Lithuania and the Government of the Russian Federation on travels of nationals of both states. This agreement determines the transit visa regime, although it does not apply to railway, truck and locomotive staff and to the crews of cargo vehicles under the permission issued according to the Agreement on International Road Transport between the Governments of Lithuania and Russia. The protocol to the temporary provision on travels of nationals of both states determines the visa-free travel regime for the KR residents who are Russian citizens. The KR residents can travel to Lithuania and stay for 30 days without visas. The same rules apply to Lithuanian citizens travelling to the KR. Such arrangement promotes business contacts, facilitates KR residents' transit, and contributes to the development of direct relations between Lithuania and the KR.
Commodity transit: The agreement between the Government of Lithuania and the Government of Russian Federation on trade and economic relations stipulates that the governments of the Republic of Lithuania and the Russian Federation shall establish a regime according to which commodities carried across the territory of the other state or from it, in accordance with the rules and formalities related to the transit of goods, are treated no less favourably than transit goods of any other state.
Military transit: At present, the transit of dangerous and military cargo is carried out only by rail in accordance with the rules set by the Lithuanian Government. The agreements establishing the rules for the withdrawal of Russian troops from the Federal Republic of Germany across the territory of the Republic of Lithuania form the basis of these rules.
PROSPECTS FOR FUTURE COOPERATION
The aims of Lithuania’s policy towards Russia are to ensure the equal and mutually beneficial co-operation in the spirit of good neighbourhood, to foster confidence and mutual understanding and to increase the positive background for the Lithuanian accession to the European and Transatlantic structures.
Lithuania is interested in continuing active political dialogue with Russia and developing mutually beneficial and practical cooperation within the framework of existing institutions, including the Lithuanian-Russian Intergovernmental Commission and the Council of the Baltic Sea States (CBSS).
The concrete proposals for further developing co-operation between the two states were presented to Russia, among them:
- Development of inter-parliamentary relations;
- Promotion of contacts among non-governmental organisations, including support for organising "round tables", seminars and conferences on Lithuanian-Russian relations, regional, European, and global issues;
- More intensive co-operation between the regions of Lithuania and Kaliningrad region of Russia, including:
- The cross-border and developing regional relations through the activities of Euro-regions "Baltica", "Nemunas" and "Saulė",
- Preparation of co-ordinated proposals for PHARE and TACIS cross-border co-operation programmes;
- Implementation of concrete projects in the environmental protection sphere, such as:
- Cleaning and deepening of the riverbed in the delta of state frontiers river Nemunas, lowering the level of pollution of effluent waters, and organising a system to monitor the condition of surface waters and exchange of information,
- Co-operation in addressing the natural disasters and industrial accidents;
- Co-ordination of actions aimed at combating organised crime and improving border control.
Welcoming the decision by the European Union to adopt the Northern Dimension Initiative, which aims to increase co-operation between the enlarging EU and Russia, Lithuania invited all the members of the CBSS to give a special effort to development potential for practical action and encouraged them to further the Northern Dimension initiative of the European Union, especially in the areas, where EU and CBSS activities are complimentary: investment and trade, transport and energy, environmental protection, education, health care, fighting organised crime, border control, cross-border co-operation.
Already now Lithuania projects the relations with Russia as an integral part of the strategic partnership among the European Union membership in which Lithuania is seeking and Russia. Lithuania - as a future EU member - is creating the real positive facts of co-operation with Russia in accordance to the Common Strategy of the EU on Russia and Northern Dimension Initiative.
Lithuania welcomes mutual firmness expressed at EU - Russia’s summit in Paris last year to use the potential provided by the expansion of the EU for the development of exchanges between Russia and the expanded EU. We, also, welcome the decision to continue a dialogue on this topic - by devoting special attention to the Kaliningrad Region of the Russian Federation - in the appropriate structures of the EU - Russia’s partnership and co-operation agreement. We are ready to consult with the EU on the issues of co-operation with Russia and, in this context, we are waiting with interest for the next EU - Russia summit.
Russia in its “Strategy for Co-operation with the EU” has recognised the exceptional situation of Kaliningrad Region and has expressed the commitment to determine the possible place of the Region in financial, energetic and transport spheres after the accession into the EU of its neighbours. We believe that the neighbouring countries, including Lithuania, could contribute considerably to the issue being involved in consultations on the subject. We also believe that the EU Candidate countries could be involved in the process of the preliminary exchange of views on or even drafting of the other agreements between the EU and Russia.
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