GENEVA, Switzerland, Jan. 29 (UPI) -- Russia's bid to join the World Trade Organization has gained momentum and moved into a "hands on mode," a senior U.S. official said Monday, following trade talks which concluded here late Friday.
"We rolled up our sleeves and got into a lot of detail ... it was a good and engaged meeting," the U.S. official, who spoke on condition of anonymity, told United Press International.
The U.S.-Russia talks were held at the end of a week-long round of extensive WTO accession talks with the 44 member strong delegation headed by Russia's Deputy Trade Minister, and chief negotiator, Maxim Medvedkov.
Membership to the 144-member organization, which sets the rules for most world trade in goods and services, is a high priority for Russian President Vladimir Putin.
Putin considers joining the WTO as a vital step in reforming the Russian economy and integrating it fully with the world economy.
"We're pushing them pretty hard on market access and equally hard on non-tariff measures," the U.S. official said.
The bilateral talks, which focused on the politically sensitive and thorny subjects of agriculture, market access for goods, non-tariff barriers to trade "are going well" said a senior Russian Official, who added that the next round of talks in February will include both U.S. and European Union officials.
During the talks, the Russians also took note of the new U.S. requirements for services and certain tariff lines, officials familiar with the talks told UPI.
The U.S. and the 15 country EU are leaning on Moscow to eliminate tariffs on select pharmaceutical lines; information technology equipment; and furniture along with other among other industries, and to make substantial cuts on tariffs for chemicals and automobiles.
Washington is also eager to remove impediments such as cumbersome Sanitary and phytosanitary measures (SPS) and technical barriers to trade that can effectively erode market-opening concessions unless dealt with.
On SPS measures, Russia has asked for a three-year phase in period upon entry to bring its regime into compliance. But the U.S. and many other WTO members insist they must be compatible upon entry.
The Russians are also under heavy pressure to join the plurilateral WTO accord that regulates international trade in civil aircraft.
But for the time being, Moscow is reluctant to show its hand and make any offer to eliminate all import duties on so called "zero for zero" items, and remains firm against joining the WTO accord on aircraft.
In 2000, Russia was ranked the world's 17th largest exporter with shipments worth $105.2 billion, according to WTO estimates.
"We don't want to, once we are members of the WTO we will study the possibility of joining (the aircraft code) not before that," a senior Russian official said.
He hinted, however that there "might be more movement" on import tariffs for automobiles.
Brussels, Tokyo and Washington, favor Russian auto tariffs coming down to single digits.
Securing commitments to allow majority foreign equity stakes in key sectors such as financial services, including banking and insurance, and telecommunications, is high on the wish list of the U.S, the EU, and other WTO members such as Switzerland.
"Its high time to see another offer (on services)" said a senior EU official.
Russian officials add they "do not exclude" putting forward a new services offer.
But the time such an offer is circulated very much depends on regulatory reforms underway in areas such as telecommunications and banking, WTO experts said.
Senior Bush administration officials are hopeful and optimistic that "Russia is genuine and will be flexible" in the WTO talks.
The impressive amount of trade legislation working its way through the Russian parliament, or Duma, is considered by the Norwegian Chairman of the Russia-WTO talks Ambassador, Kare Bryn, as "very impressive and concrete progress."
A new round of Russia-WTO talks is scheduled for April.
