Thursday, October 16, 2014

Vučić and Putin hold joint news conference

BELGRADE -- Russian President Vladimir Putin said on Thursday that Serbia and Russia have strong political ties.
(Tanjug)
(Tanjug)
He underscored that Moscow's position on the issue of Kosovo and Metohija will not change and that Russia insists on it being resolved in line with UNSC Resolution 1244.
"I thank President Nikolić and Prime Minister Vučić for the invitation. The talks passed in a constructive, working atmosphere. Our trade and economic relations are developing very well," Putin said during a joint press conference with Serbian Prime Minister Aleksandar Vučić, held in the Palace of Serbia after the talks of the two state delegations.

Putin extended an invitation to Nikolić for the celebration of 70 years since the victory over fascism that will be held in Moscow next year.

"We will be glad to see the president of Serbia at the celebration of 70 years since the victory over fascism in Moscow next year," he said.

Taking into consideration that Serbia will assume the chairmanship of the Organization for Security and Cooperation in Europe (OSCE) in 2015, the Russian president voiced the hope that "at that moment Russia will be able to continue constructive work and cooperation with that international organization, in this case with the support from Serbian friends."

Putin said that agriculture is the field with big cooperation prospects, adding that if the agreements signed today are realized, the exports of Serbian products to the Russian market will increase from USD 130 million to USD 500 million in a short time.

That is beneficial for the Serbian economy, means job creation, and it benefits Russia too, Putin said.

Pointing to the restrictions for imports of products from the countries that joined the sanctions against Russia, Putin said that this is a real chance for producers from those countries that want to develop cooperation with the Russian Federation.

Asked by a TASS reporter about the Russian investments and prospects for Russia-Serbia cooperation, Putin said that as long as the Western countries' sanctions against Russia are in place, there are big chances for Serbian companies to take the places they deserve in the Russian market.

"We are ready to invest," Putin said, adding that today's talks dealt with investments in the energy, machine building, railway, agriculture sectors, noting that these are not just state, but also private investments.

Putin noted that the South Stream gas pipeline cannot be realized unilaterally, but that he "truly believes that it is useful for European consumers."

"South Stream cannot be realized unilaterally, if our partners are still in two minds about it. This is like love, it can be happy only if there are two participants of this wonderful process, who both want to develop relations," he said.

The Russian leader added that similar debates about whether the pipeline is needed were held before the beginning of construction of Nord Stream, and now that it has been built everyone is happy, adding that he is confident that it will be similar with South Stream.

"I am deeply convinced that the project is beneficial for European consumers," said the Russian president, stressing that in this case policy harms economy and to some extent lowers the competitiveness of the European economy.

Putin also stated that Russia's investments in the Serbian economy could be doubled, and reach USD 6-10 billion in three years and specified that he and his hosts among other things considered prospects for cooperation in the agrarian sector.

In relation to that, he noted that European agricultural producers are sustaining losses worth billions of euros due to Russia's response to the sanctions.

"We would not like to continue that practice. But, for now, it is in place," Putin told reporters.

Besides the possibility of further developing cooperation in the agrarian sector and other investments to the benefit of both countries, in the energy, machine building, infrastructure sectors, he pointed to the fact that Russia granted an USD 800 million loan to Serbia for construction and upgrade of the railway system.

All in all, Russia's investments in Serbia so far total USD 3 billion, and in three years, including the private sector, they could be doubled, and reach USD 6 billion, or even USD 10 billion, Putin said.
(Tanjug)
(Tanjug)
Prime Minister Aleksandar Vučić also addressed reporters to say Serbia would not impose sanctions on Russia, and would continue with its EU integration.

Vučić thanked the Russian leader for his visit to Belgrade and decision to attend the 70th anniversary of Belgrade's liberation from German occupation, a victory won jointly by the Yugoslav Partisans and the Red Army.

"Serbia is on a path towards the EU and will not abandon it, but it is grateful to Russia for respecting that and not trying to make it give up on EU integration," Vučić stated.

"The Russian Federation has always protected Serbia, but Serbia has also shown that it is Russia's friend in tough times," the Serbian prime minister pointed out.

"I am embarrassed to have to reiterate that we have not and will not impose sanctions on Russia. This government will definitely not do that," Vučić emphasised.

Commenting on Serbia's upcoming chairmanship of the OSCE, he said that Serbia would play an important role and help solve problems in other parts of the world.

A number of cars manufactured in Fiat's plant in the Serbian city of Kragujevac will be exported to Russia, Vučić stated.

"The good news for the people of Serbia is that President Putin agreed to my request to export a certain quota of Fiat vehicles made in Kragujevac to Russia, and we also agreed on a moral liberal arrangement concerning cheese export, which is important for our agriculture," Vučić remarked.

"We also talked about increasing trade... we are on the verge of solving some energy issues, and the Russian president showed great understanding for our workers, for our efforts to save their jobs," he said.

"Putin showed a lot of understanding for employment. We discussed Petrohemija also and got significant support from our Russian partners, and we are grateful for all the humanitarian aid that has come from Russian," Vučić stated.

Serbia and Russia have a free trade agreement.

Serbian chemical company Petrohemija, which is scheduled to be sold, owes a large debt NIS, which is owned by Gazprom.

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