MAK-NEWS 13/12/95 (M.I.L.S.)

From: "M.I.L.S." <mils@ITL.MK>

Macedonian Information Liaison Service Directory

CONTENTS

MILS NEWS

Skopje, 13 December, 1995

[01] START OF THE NEGOTIATIONS ABOUT THE NAME STILL UNCERTAIN

A-1 Television reported yesterday that the Greek papers speculations considering negotiations about the name of Macedonia will not start till the end of this year due to Premier Papandreou's illness, were denied by an official representative of the Greek UN Mission in New York. The representative said that the Greek negotiator, Ambassador Hristos Zaharakis, is already at disposal to the mediators.

A-1 Television has obtained an information from Mr. Cyrus Vance's office that the date of the Macedonian - Greek meeting is still not defined. The Greek UN Mission in New York indicated 18 or 19 December as possible dates for start of the negotiations. Macedonian Foreign Affairs Ministry has still not announced anything about this, but unofficially Macedonian Ambassador Ivan Toshevski, member of the Macedonian negotiating team, left for New York yesterday.

[02] MUTUAL RECOGNITION OF MACEDONIA AND FRY UNCERTAIN

Foreign Affairs Minister Stevo Crvenkovski will lead the Macedonian delegation that will participate on the Ministers' Session for Stability and Good Neighborly Relations in Southeastern Europe, i.e. the Conference in Paris where Dayton Agreement will be signed. Mutual recognition of FR Yugoslavia and Macedonia is still uncertain, according to unofficial information, 'Nova Makedonija' reported.

[03] MACEDONIA - VERMONT SISTER STATES

American Assistant Defense Secretary Joel Resnik and General-Mayor Donald Edwards, Commender of the American State of Vermont's National Guard will meet with Defense Minister Blagoj Handziski and with the Macedonian Army Chief -of-Staff General Dragoljub Bocinov. They will also visit some military facilitates of the Macedonian Army and the Military Academy.

[04] ONE OF THE LARGEST LEGISLATIONS IN THE COUNTRY ESTABLISHED

Spokesman Minister Gjuner Ismail, on the press conference yesterday, informed that the Government has approved the Draft Energy Act on its 53rd session. In about one hundred Articles, this Act gives an access for concesions in the field of energy to those who fulfill the technical and technological conditions.

Ismail emphasized that one of the largest legislations in the Republic, the Draft Customs Tax Act, of about 500 pages, suggests a complete revision of the present tariff system.

The Draft contains about 80.000 tariffs all in conformity with GATT norms and standards of the European Union.

Government also discussed the Draft Act for Restructuring of the 25 losser firms, which should enable their successful recovery within the anticipated term and a qualitative privatization. It is anticipated that the creditors will be able to transform their credits in shares so that they become managers of these firms.

The Draft Act on Warranties to Foreign Currency Savings.

Spokesman Ismail informed that beginning 21 May 1993 till now, the foreign currency savings debt towards citizens has decreased for 252 million DM ( from 1,6 to 1,35 billion DM ), and one billion denars from the next year's Budget are scheduled to be spent for a part of the debt.

Answering the question on preparing the Act on Broadcasting the Spokesmen said that main principles have already been established. The Act anticipates that the ether will be treated as natural bordering resource and, accordingly, will be open for concessions and private initiative. The Government will have the exclusive rights on the ether, which is a solution identical to those in most media developed countries. Ismail emphasized that this Act treats the public broadcasting and the different status of the Macedonian Radio and Television.

[05] QUOTAS QUESTION SOLVING

Macedonian Foreign Affairs Ministry, A-1 Television informs, has initiated solving the question on quotas of export- import products. The decision will be discussed by the Government. There are rumors that auction placing of quotas for certain tariff numbers will be valid for the next year.

A-1 reported, again unofficially, that the quantities for some goods will remain the same, while there will be a small increase for others. Quotas distribution will be done instead of quarterly, twice a year.

[06] DANGEROUS VEHICLES ON THE ROADS

Macedonian shippers, on the meeting with Traffic and Communications Minister Dimitar Buzlevski in the Macedonian Chamber of Commerce emphasized that Macedonian buses and trucks are critically worn-out vehicles. Therefore, it will not be possible for them to be driven on the roads in Europe, especially after the eco-protective standards EURO-1 and EURO-2 were introduced by the Europe Union. The shippers expressed their reserved optimism about the transport communications with Greece and Serbia. Shippers also said that they were not pleased by the high import custom taxes for spare parts and by the long custom duties procedure.

The railroad transportation representatives expressed their hope for positive reactions from the negotiations with the Greek and Yugoslav railways.

Minister Buzlevski emphasized that negotiations for decreasing the prices of the Salonica port's services will follow, as they are seven times higher than the ones of the Bulgarian port of Burgas.

[07] COLLECTIVE BARGAINING IS NOT RESPECTED

The collective bargaining contracts that do not contain the fixed lowest salary are only dead letters on a paper, was estimated on the yesterday's session of the Macedonian Unions. It was also said that continual lay-offs and only 230 contracts on employer level show that no satisfying results have been achieved so far in this area. It was also emphasized that the UN should be informed that the Macedonian government does not respect the international criteria and does not provide a minimum standard for the citizens. The President of the Union, Mr. Zivko Tolevski, did not agree with this and informed that many important questions, including worker's participation, economic advices and discussions with the Government about the macroeconomics politics for the next year will be made.

Besides agreeing that the Union should more unite, conclusions were made according to which the lowest salary must be fixed, collective agreements should be more intensive, and legal terms for their realization should be respected, and paralelly working contracts should be signed.

The attitude that holiday and food benefits and travel expenses should not be abolished was unanimous.

[08] COOPERATION BETWEEN UNIVERSITIES

Representatives of the University 'St. Kiril and Metodi' from Skopje and the 'Mining and Geology University St. Ivan Rilski' from Sofia signed a cooperation agreement for the areas of mining, geology, electricity and mechanics, civil engineering and management. The agreement is a continuation and expansion of an already traditional cooperation between the Mining-Geological Faculty from Shtip and this specialised University in Sofia.

[09] THE COMPETITORS OF MACEDONIAN FOOTBALL PLAYERS IN THE QUALIFICATIONS

In the qualifications for the Football World Championship which will take place in 1998 in France, Macedonian Football Team will play in the eighth group against Romania, Lithuania, Island, Republic of Ireland and Lihtenstein.

MILS SUPPLEMENT:

[10] COMPLETE REGULATIONS WITH A FEW EXEMPTIONS

(Nova Makedonija, 9 December 1995)

The independence of Macedonia brought to a need of creating customs regulations of the country. At the beginning of this process, the most practical thing to do was to take over the regulations from former Yugoslavia, which are still in effect. The former Yugoslav republics were exempted from these regulations, as the situation about them was specific.

Due to the political and economic affairs inside and outside the country, complete customs regulations were established with almost all the countries in the world. Macedonia has now, after establishing full customs regulations with FR Yugoslavia, privileged regulations only with Bosnia and Herzegovina. It means that custom duties and some additional expenses are not paid, except for the one percent for customs evidence. According to the Macedonian Customs Administration Director, Mr. Ilija Iljoski, after Dayton Agreement is signed in Paris, intensive discussions between Macedonia and Bosnia and Herzegovina on the highest level will follow. A global agreement for economy cooperation, including customs regulations, is expected to be signed.

There are certain exceptions from the established customs regulations considering Croatia, as well. There are no duties in trade with this country, except for the one percent customs evidence and the two additional expenses (administrative tax and tax leveling) of five percent, which is still less than the usual 7,5 percent. The complete customs duties on the goods that are imported from or exported to Croatia are, therefore 11 percent, but quota regulations are also in effect.

The case with Slovenia is very specific. The complete Macedonian customs regulations are valid for the Slovenian merchandise, while for Macedonian goods marketed in Slovenia only the one percent for customs evidence is paid. This agreement will be valid only till the end of this year. The competent Ministries of both countries negotiate about the principles of customs regulations in future.

We also had more liberal regulations with FR Yugoslavia till 28 November. There are rumors that the greatest part of goods exchange with foreign countries Macedonia had, was with this neighboring country, even during the sanctions were in effect which is now a public secret. For all these goods only customs evidence was paid. Now, after complete regulations were established, first by FR Yugoslavia, and two days later by Macedonia, the usual custom duties are valid. According to the Macedonian Customs Tax Law, rates range from 0 to 25, plus two extra expenses of 7,5 percent each. When we add the one percent for customs evidence, we come out with the maximum custom duties of 41 percent. The Yugoslav rates are the same as ours, as they also use the Tariff Book of former Yugoslavia. The additional customs expenses are, however, much higher than ours, and reach, because of the inflation, to the level of 70 percent. The Yugoslavian Government has relieved the position of the exporters by introducing a stimulation up to 30%, and custom duty rates for reproduction and raw materials are decreased to two percent. The final products importers are, however, burdened with custom duties up to 30 percent. Many Macedonian businessmen are revolted by this and consider themselves as being put in inferior position compared to the Yugoslav ones. They ask from the Macedonian Government to intervene in the trade with FRY. According to Iljoski, during the first several days after the complete regulations were established, the goods turnover on the border decreased to minimum. Iljoski emphasized that this could be a result of the misleading information that Yugoslavia will again establish liberalized regulations, which makes many people wait for some better times to cross the border.

Macedonia has with all other countries in the world complete customs regulations that, besides the maximum customs charge of 41%, include quota regulations for specific goods, mostly agricultural (to protect the domestic production). All the countries have complete customs regulations towards Macedonia, except the European Union members. The Union treats Macedonia as a privileged nation, the result being lower custom duties for the Macedonian merchandise entering these countries. There are no customs privileges for their goods in Macedonia.

'With the countries which do not treat us as a privileged nation in the mutual trade, signing bilateral agreements will follow. This includes not only the neighboring countries, but also the ones with which we cooperate and which offer some economic potential for trade. I would here like to mention Turkey as a country that proved itself as a good partner to Macedonia' - said Iljoski.

A new Customs Tax Act of Macedonia is being prepared and should be applied from the next year. This will be the first Macedonian independent legislation in this area, with which bases for customs work will finally be defined.

(end)

mils news 13 December '95