0(02 Moscow, 12th July 2002 (85XVVLDSDUWQHUVKLSRQ.DOLQLQJUDG 7KH(8ZDQWVWRZRUNZLWK5XVVLDWRPD[LPLVHWKHEHQHILWVRI(8HQODUJHPHQW IRU5XVVLDDQG.DOLQLQJUDG. The issue of transit is important and should not be a problem if the EU and Russia co-operation in a timely fashion to ensure that those Russians who need to travel across the future territory of the EU have the proper travel documentation. The EU is ready to assist Russia in this effort and to contribute to improving the situation at the borders so that people can cross these as speedily and easily as possible. The EU is also keen on co-operating on all the other important issues which concern this part of Russia and the wider Baltic region, including economic development, energy, environmental and health issues. All citizens of Russia, including those in Kaliningrad, and the EU stand to benefit from close co-operation between the EU and Russia on Kaliningrad, the impact of EU enlargement, and the development of the wider region. &RRSHUDWLRQRQ.DOLQLQJUDGIRUPVSDUWRIWKHEURDGHU(85XVVLDSDUWQHUVKLS which has developed over the past years and which will become even more important for both the EU and Russia after EU enlargement when the shared borders become much longer than they already are. It is in the spirit of partnership that the EU wants to work with Russia on Kaliningrad and continue to strengthen the relationship between the EU and Russia which form part of a wider Europe, the development of which is crucial for both. 7KH(XURSHDQ8QLRQUHFRJQLVHVWKHXQLTXHVLWXDWLRQRI5XVVLDV.DOLQLQJUDG UHJLRQ DQG WKH SDUWLFXODU FKDOOHQJHV DULVLQJ IURP WKH IRUWKFRPLQJ HQODUJHPHQW RI WKH (XURSHDQ 8QLRQ. It was for this reason that the European Commission published a Communication on “The EU and Kaliningrad” in January 2001. In this Communication the Commission outlined various elements and options for co-operation with Russia and neighbouring countries on regional development for Kaliningrad. The document pointed out while main responsibility for the development of Kaliningrad rests of course with Russia the European Union was ready to assist in the economic and social development of the Oblast as part of the strengthening of relations with Russia, an increasingly important partner of the EU. As input for intensified discussions the European Commission recently prepared a second document setting out the Commission´s analysis of the main issues and making concrete proposals for further work with the Russian authorities. This document, “EU-Russia Co-operation on Kaliningrad: 2002 and beyond” was given to the Russian authorities in May and is intended to further contribute to strengthening EU-Russia co-operation on Kaliningrad. The European Council in Seville on 21 June invited the European Commission to submit, in time for the 24-25 October European Council Meeting of Heads of State in Brussels, an additional study on the possibilities for an effective and flexible solution of the transit of persons and goods to and from Kaliningrad oblast, in compliance with the acquis and in agreement with the candidate countries concerned. The study is now under preparation. (85XVVLDFRRSHUDWLRQRQWUDQVLWLVVXHV 7KH(8LVDZDUHRIDQGIXOO\XQGHUVWDQGVWKHLPSRUWDQFH5XVVLDDWWDFKHVWR WKHPRYHPHQWRI5XVVLDQFLWL]HQVEHWZHHQ.DOLQLQJUDGDQGWKHUHVWRI5XVVLD DIWHU (8 HQODUJHPHQW. This issue has been carefully considered by EU Member States and the EU has also consulted the candidate countries concerned. Established EU policy is to require all Russian citizens passing through EU Member States to be in possession of a valid travel document and an appropriate visa. This is not something entirely new, Russian citizens travelling to Kaliningrad by car already need visas. Given the EU’s safety and security concerns about its frontiers we do not consider transit corridors across future Member States as being a viable option. The visa system required after EU enlargement should not entail any major difficulties for Russian citizens provided that the EU and Russia work together before enlargement. It will be necessary to have a visa before travelling. If Russia gives priority to providing Kaliningrad citizens with internationally valid passports and responds positively to the requests of current and future EU Member States to establish and expand consular facilities in Kaliningrad to facilitate the issuance of visas it will be possible to ensure that all intending travellers can acquire the necessary documentation without difficulty. The European Union has offered to assist with this process, and to help speed up the issuance of passports to citizens of Kaliningrad. More specifically: • The EU has indicated its willingness to KHOS ILQDQFH WKH SURYLVLRQ RI LQWHUQDWLRQDO SDVVSRUWV to all Kaliningrad citizens. The pace of issuing passports could be accelerated and everyone could be provided with a passport before EU enlargement. • Sweden is expanding its FRQVXODU IDFLOLWLHV in Kaliningrad, which will help provide the necessary visas. Lithuania and Poland are also willing to increase their consular facilities in Kaliningrad so that visas can be issued quickly. The European Commission is ready to support the candidate countries in this respect, if Russia is willing to agree to the request for additional/extended consular facilities. • 9LVDV QHHG QRW EH H[SHQVLYH. However, at present Russia charges much higher prices for visas issued to Poles and Lithuanians and both countries are expected to address the issue on the basis of reciprocity. • 0XOWLSOHHQWU\H[LWYLVDV can be issued to those who need them, for example for professional reasons (bus and lorry drivers etc). The Commission has urged Russia to begin compiling lists of such people now so that they could apply for Lithuanian and Polish visas before 1 July 2003. • The QHZYLVDVZLOO EH PDFKLQH UHDGDEOH which should speed up checks on the border itself and reduce the current long checking times. • The impact of the visa requirement can be further reduced if all citizens of Kaliningrad are fully informed, ahead of 1 July 2003, of what the new rules will be and how they can comply with them. The EU is willing to fund and run an LQIRUPDWLRQFDPSDLJQ, if Russia would find this helpful. )RU PRUH LQIRUPDWLRQ RQ WUDQVLW LVVXHV SOHDVH VHH 4XHVWLRQV DQG $QVZHUV LQ $QQH[ Poland charges $5 for a single and $14 for a multiple visa valid one year; the Russian Federation charge $35 and $80 respectively 2 (8FRQWULEXWLRQWRWKHGHYHORSPHQWRI.DOLQLQJUDG The need for close EU-Russia co-operation on Kaliningrad, notably in the light of EU enlargement, of course goes much beyond the issue of transit and concerns notably the economic and social development of the oblast. Nevertheless, particular attention needs to be given to the development of border and customs co-operation where the EU and Russia are already working together closely but where more needs to be done. 7KH(XURSHDQ&RPPLVVLRQKDVDOUHDG\FRPPLWWHG¼PLOOLRQLQUHFHQW\HDUV IRUWHFKQLFDODVVLVWDQFHSURMHFWVLQ.DOLQLQJUDG, of which ¼PKDVDOUHDG\EHHQ spent, with ¼PLQWKHSLSHOLQH3URMHFWVLQWKHSLSHOLQHZLOOKDYHDEHQHILFLDOHIIHFW on border crossings, economic development, and environment (see “EU Support to Kaliningrad” in annex 2 for further details). Depending on the plans of Russia for the future development of the region, the EU is prepared to go further and provide an additional ¼PLOOLRQXQGHUWKH7DFLVSURJUDPPHZKLFKFRXOGEHXVHGWRSURPRWH economic development through investment in enterprise development and in small scale infrastructure. The EU could also consider the creation of a new Kaliningrad Fund, using the contribution from the European Commission and inviting EU Member States and other interested parties to contribute. %DFNJURXQG(85XVVLDUHODWLRQV 5HODWLRQV EHWZHHQ WKH (XURSHDQ 8QLRQ DQG WKH 5XVVLDQ )HGHUDWLRQ KDYH VWUHQJWKHQHGRYHUWKHSDVW\HDUV and a closer partnership is developing which will benefit the citizens of both the European Union and Russia. The EU-Russia Summit on 29 May in Moscow confirmed this development as well as the interest on both sides in strengthening ties further in all areas, from trade and economics to energy, political dialogue and developing co-operation in European Security and Defence. The development of the EU´s Common Foreign and Security Policy (CFSP) and European Security and Defence Policy (ESDP) has brought with it closer co- operation and dialogue between the EU and Russia in this important area. 7KH (8 LV 5XVVLDV ODUJHVW WUDGH SDUWQHU. Already, 35% of Russia´s current exports go to the EU; this will increase to over 50% after EU enlargement. EU enlargement will bring significant benefits to Russia, providing an integrated market of 500 million consumers neighbouring Russia. The EU´s announcement at the 29 May Summit to recognise Russia as a market economy will help strengthen trade relations further as well as contributing to Russia´s WTO accession, which the EU strongly supports. Indeed the EU has been at the forefront of those countries with whom Russia is negotiating its terms of accession. The EU and Russia also co-operate on the concept of a &RPPRQ (XURSHDQ (FRQRPLF 6SDFH, which should in time contribute to greater legislative approximation and regulatory convergence, thereby making it easier to do business together. Russia´s decision to engage in a wide-ranging reform process is fully supported by the EU and co-operation is well-developed. The (8 KDV VLQFH WKURXJK LWV WHFKQLFDODVVLVWDQFHSURJUDPPH7$&,6SURYLGHG¼EQWRVXSSRUW5XVVLDV WUDQVLWLRQand is ready to continue this support to all key areas of Russia´s reform process. In the field