Selasa, 03 Juli 2012

From farms to factories, Russians wary of WTO

LENIN STATE FARM, Russia (AP) — Migrant workers, some stripped to their underwear in the sweltering heat, pick fragrant strawberries from the sprawling fields of Lenin State Farm, a former collective that has become one of the most successful farms around Moscow.

Director Pavel Grudinin says his strawberries are better than anything else in the Russian capital because they go from field to shelf in under 24 hours.

But with Russia joining the World Trade Organization next week, Grudinin worries that rules designed to ensure fair trade will put him at a disadvantage. He says it will be hard for him to compete with U.S. and European producers who can offer lower prices — because they don't have to deal with corruption and bureaucracy.

Thousands of businesses across Russia are fearful as the country — after 18 years of negotiations — is set to join the WTO, which restricts import duties and subsidies in an effort to even the playing field for international trade. Parliament needs to approve the ascension by July 10, something almost sure to happen as Russian President Vladimir Putin — whose party controls parliament — says WTO membership will bring increased foreign investment and make Russian companies more competitive.

Grudinin says those rosy projections fail to take into account the toll of never-ending inspections and official checks.

"That's why we're not competitive," he says. "We don't get much support compared to European and American farmers. We'd better deal with corruption first and then join the WTO, not the other way around."

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