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Report on Eastern Europe, Russia, Caucasus and Central Asia - issue # 2/2010


A deepened analysis about what happens beyond Adriatic Sea
Wednesday 3 February 2010, by Giovanni Cadioli - 457 letture

Russian military exports hit $7.4 bln in 2009

11:1128/01/2010

Russia exported $7.4 billion worth of military products last year, up 10% against 2008, the head of the country’s state-run arms exporter Rosoboronexport said on Thursday. Anatoly Isaikin said arms and hardware supplies for the Air Force accounted for half of all exports in 2009. He said arms exports had been on the rise for the past nine years, and increased more than 140% in the period 2001-2009. Isaikin said Russia’s main customers for arms were India, Algeria, China, Venezuela, Malaysia and Syria.

MOSCOW, January 28 (RIA Novosti)

http://en.rian.ru/russia/20100128/157701972.html

Russia expects to sell no less than $7.4 bln of arms in 2010

12:4228/01/2010

Russia exported $7.4 billion worth of military products last year, and expects to sell at least a similar amount in 2010, the head of the country’s state-run arms exporter Rosoboronexport said on Thursday. Russia exported a record $8.35 billion worth of weapons in 2008. "We do not expect arms deliveries abroad in 2010 to be lower than in 2009," Anatoly Isaikin said. He said arms and hardware supplies for the Air Force accounted for half of all exports in 2009. According to Isaikin, arms exports saw a steady growth in the past nine years, and increased more than 140% in the period from 2001 to 2009. Russia’s main customers for arms were India, Algeria, China, Venezuela, Malaysia and Syria, Isaikin said. He hinted that Russia could also sell its arms to Iraq and Afghanistan if the United States gives its approval. "It’s too early to say if any [arms] supplies will be made to Afghanistan and what arms could be supplied there... Military officials from Iraq and Afghanistan do approach us for various arms supplies. We are ready to deliver, provided there is a corresponding decision [on the part of the U.S. administration] and if funds are allocated," Isaikin said. He said Rosoboronexport’s contract portfolio for the next few years currently exceeded $34 billion.

MOSCOW, January 28 (RIA Novosti)

http://en.rian.ru/russia/20100128/157702850.html

Russia free to sell weapons to Iran - state arms exporter

13:5128/01/2010

There is nothing to stop Russia from selling military equipment to Iran, the head of Russia’s state-run arms exporter said on Thursday. ’Nothing prevents the continuation of military cooperation in those directions of interest to Russia and Iran," Rosoboronexport’s Anatoly Isaikin told a RIA Novosti news conference. "Iran has never violated a single commitment it has undertaken with regard to military contracts," he said. Russia signed a contract with Iran on the supply of S-300 air defense systems to Tehran in December 2005. However, there have been no official reports on the start of the contract’s implementation. Western powers are angered by Iran’s failure to give a constructive response to proposals made by a group of international mediators on its controversial nuclear program. Washington and Tel Aviv have refused to rule out military action over the issue, and on Wednesday U.S. President Barack Obama warned the Islamic Republic’s leaders that they would face "growing consequences" over their refusal to fulfill their "obligations". Both the U.S. and Israel have expressed concern over the possibility of S-300 deliveries to Iran, which would significantly strengthen the country’s air defenses. Although Russia has traditionally had close ties to Iran, including in nuclear energy through the construction of the Bushehr power plant, it is seen as having moved closer to the U.S. position on imposing new sanctions. Russian Foreign Minister Sergei Lavrov warned Iran on Wednesday that "it is impossible to wait forever" and that Russia’s partners "are already talking about the need to discuss further steps at the UN Security Council."

MOSCOW, January 28 (RIA Novosti)

http://en.rian.ru/russia/20100128/157703699.html

Russia plans to sell arms to NATO members

14:0028/01/2010

Russia may sell weapons to NATO member states, the head of Russia’s state-run arms exporter said on Thursday. "We are planning to supply Russian weaponry to NATO countries," Rosoboronexport’s Anatoly Isaikin said at a RIA Novosti news conference. He did not give any further details. Russian and NATO chiefs of staff approved on Tuesday a framework military cooperation treaty, a NATO official said. He described it as "a very important step" toward the restoration of military ties between Russia and NATO, frozen after a brief Russian-Georgian war in August 2008. He added that Russian and NATO officials would meet again in May to finalize the plan and discuss further cooperation. The cooperation plan for the current year reportedly includes Russia’s support for the U.S.-led military operation in Afghanistan, specifically military transit via Russian airspace, as well as joint anti-piracy and antiterrorism efforts.

MOSCOW, January 28 (RIA Novosti)

http://en.rian.ru/russia/20100128/157703757.html

Russia’s future fighter conquers the skies

09:3129/01/2010

Russia’s prototype fifth-generation fighter made a 45-minute maiden flight on Friday in the Far East, Russian television reported. The flight had been postponed for 24 hours due to poor weather conditions in Komsomolsk-on-Amur where the prototype is being tested. "The plane showed a superb performance. It has met all our expectations for the maiden flight," said Olga Kayukova, a spokesperson for the Sukhoi aircraft manufacturer. Russia has been developing its newest fighter since the 1990s. The country’s top military officials earlier said the stealth fighter jet, with a range of up to 5,500 km, would enter service with the Air Force in 2015. Russia’s fifth-generation project is Sukhoi’s PAK FA and the current prototype is the T-50. It is designed to compete with the U.S. F-22 Raptor, so far the world’s only fifth-generation fighter, and the F-35 Lightning II. The PAK FA is to be equipped with the most advanced technology and armed with next-generation high-precision weaponry. India, which has a long history of defense relations with Moscow, remains Russia’s sole partner in the project. India’s Hindustan Aeronautics Ltd (HAL) was reported to be seeking a 25% share in design and development in the project. It has also sought to modify Sukhoi’s single-seat prototype into the twin-seat fighter India’s Air Force wants.

MOSCOW, January 29 (RIA Novosti)

http://en.rian.ru/mlitary_news/20100129/157712091.html

For more information about T-50: FACTBOX: Russia’s fifth-generation fighter T-50 (PAK FA)

http://en.rian.ru/mlitary_news/20100129/157717728.html

Umarov’s close accomplice killed in Chechnya

29.01.2010, 11.12

MOSCOW, January 29 (Itar-Tass) — Doku Umarov’s close accomplice was killed in a special operation in Chechnya. “The so-called emir of the Urus-Martan district and one of Umarov’s closest and most trustful accomplices, Chingiskhan Gishayev and three more gunmen were destroyed the other day,” Chechen President Ramzan Kadyrov said in an interview with the Izvestia newspaper. Kadyrov noted that Gishayev personally killed brutally two policemen; gunned down Chechen border guards and is involved in several murders of servicemen. The operation to find and destroy Doku Umarov and his close accomplices is underway and embraces not only the Chechen highland districts, but also neighboring districts in Ingushetia and Dagestan, Kadyrov pointed out. “We will not permit Umarov hiding in the rat hole, as long as deceived young men and civilians are dying. If he puts up resistance I gave the order to destroy this rat,” the Chechen president said. Kadyrov emphasized that all measures under this special operation are being held outside the settlements. “So, the motor traffic and the movement of people are not restricted,” he said. The republican leader noted that the law enforcers are ordered to care for the life and health of the participants of the operation. For his part, Chechen Interior Minister Ruslan Alkhanov noted that under the special operation the obtained information is analyzed thoroughly, the concrete action plan and the lineup of the task force were determined. “We have enough forces and means,” he pointed out. “The goal is to find Doku Umarov, the Gakayev brothers – Muslim and Husein, as well as their close accomplices,” the interior minister stressed. “These bandits are particularly cruel. They committed numerous terrorist acts and murders of civilians and policemen. It will be done with them. These bandits should be put behind the bars or buried three meters deep,” Alkhanov underlined. The minister also confirmed the information that the bandits are getting the assistance from abroad, particularly from Georgia. “According to the Federal Security Service republican department and our information, they receive such assistance. I cannot say more yet,” he said.

http://www.itar-tass.com/eng/level2.html?NewsID=14769433&PageNum=4

China warns U.S. about arms sales to Taiwan

09:0330/01/2010

China summoned the U.S. ambassador on Saturday warning him about consequences for bilateral relations of planned arms sales to Taiwan. Washington announced its plan to sell $6.4 billion worth weapons to Taiwan on Friday. The decision is likely to affect relations with China already strained by a dispute over Internet censorship. The United States is again making the wrong decision despite repeated protests from China, the country’s Foreign Ministry said in a statement published on its website. Deputy Foreign Minister He Yafei said in the statement after a meeting with Ambassador Jon Huntsman that the sale could trigger "consequences both sides do not want to see," and demanded the sale be cancelled. China considers Taiwan to be part of its territory. Beijing has not ruled out use of force against the island, which split from the mainland in 1949 and maintains de facto independence. Beijing briefly suspended military contacts with Washington in 2008 after the then Bush administration announced plans for arms sales to Taiwan. The U.S. seeks cooperation with China on a host of issues, including Iran and North Korea’s nuclear ambitions.

BEIJING, January 30 (RIA Novosti)

http://en.rian.ru/world/20100130/157721989.html

China suspends military contacts with U.S. over Taiwan arms

13:0030/01/2010

China suspended on Saturday military contacts with the U.S. over its plans to sell $6.4 billion worth arms to Taiwan, the official Xinhua agency reported. China’s Defense Ministry condemned the plans, which the Obama administration announced to the Congress on Friday, to sell weapons to de facto independent Taiwan, which China considers part of its territory. The ministry said as quoted by the agency that "the Chinese side decided to suspend planned mutual military visits." Chinese Vice Foreign Minister He Yafei told U.S. Ambassador Jon Huntsman earlier on Saturday that the planned arms deal could affect bilateral ties, triggering "consequences both sides do not want to see." He demanded the sale be cancelled. The United States seeks cooperation with China on a host of issues, including Iran and North Korea’s nuclear ambitions, efforts to fight the global financial crisis and climate change. The two countries’ bonds are already strained by a standoff over Internet censorship, trade and currency disputes, human rights and Tibet. Beijing briefly cut off military exchanges with Washington in 2008 after the then Bush administration announced plans for arms sales to Taiwan. Beijing has not ruled out use of force against the island, which split from the mainland in 1949. The U.S. arms package for Taiwan would include 114 Patriot (PAC-3) anti-missile systems, 60 UH-60M Black Hawk helicopters, 12 Harpoon Block II Telemetry missiles, 2 Osprey Class mine hunting ships and a command and control enhancement system, according to the Pentagon website.

BEIJING, January 30 (RIA Novosti)

http://en.rian.ru/world/20100130/157722956.html

Gay parades will be ruled out in Moscow in future, too – Luzhkov

25.01.2010, 19.57

MOSCOW, January 25 (Itar-Tass) — Gay parades will be ruled out in Moscow in future, too, and this is an axiom, Moscow Mayor Yuri Luzhkov said at the Christmas readings in Moscow on Monday. “One cannot watch complacently numerous manifestations of blasphemy presented as creativity and enacted with the use of the principle of the freedom of speech as a cover. Actions of destructive sects are not to be tolerated, just as the propaganda of so-called same-sex love,” he said. “Unprecedented pressure has been brought on Moscow for several years in succession with the intention to hold here a gay parade which cannot be described as anything but a Satanist action. We have not permitted such a parade then and we will not permit it in the future. Everyone must accept this as an axiom, not a theorem,” the Moscow mayor stressed. For several years in succession the Moscow authorities ruled out gay parades in the city. Thirty persons who tried to hold an unsanctioned action on the Vorobyovy Gory hills in Moscow in May last were detained. Back in 2006 when activists of the gay movement first made an application for a parade in the capital, Luzhkov noted that such an action “is prohibited out of consideration of safety of participants in an action.” “A group of activists was denied the permission to hold an action of sexual minorities not because of my whim but because of the will of Muscovites who protested against such a function,” the mayor said. “All religious confession protested, too,” he said. Regarding his personal opinion of the matter, Luzhkov said “such manifestations of human life should not be put on view.”

http://www.itar-tass.com/eng/level2.html?NewsID=14753822&PageNum=6

Ukrainian power player avoids endorsing presidential candidates

14:3227/01/2010

Former central banker Sergei Tigipko, who came third in the first round of Ukraine’s presidential election, said he would not throw his crucial support behind either candidate in the runoff on February,7. Prime Minister Yulia Tymoshenko, who will face frontrunner Viktor Yanukovych in a tight race, has offered Tigipko the prime minister’s position in exchange for his support. Yanukovych won 35% of the vote in the first round on January 17, 10% more than Tymoshenko. Support from Tigipko, who garnered 13%, is broadly viewed as a decisive factor for the victory of either candidate. "I am not going to support anyone until the end of the runoff," Tigipko said. "We have our own party, our own views." Yanukovich has not made any official offers to Tigipko. However, Tigipko, 49, said he does not rule out his premiership whether with Tymoshenko or Yanukovich. He had earlier said he would focus on the "modernization" of the ex-Soviet nation. Analysts say that Tymoshenko’s offer of premiership for Tigipko was largely symbolic. In Ukraine, the parliamentary majority rather than president proposes a candidate for premier. Neither Yanukovich, nor Tymoshenko, leaders of the biggest parliamentary parties, have the necessary majority votes to push through their candidate. Tigipko said his voters were free to make their own choice. "I might have my sympathies or antipathies, but I will not express them openly as that will not help the issue," he said. Current President Viktor Yushchenko, swept to power by the 2004 pro-Western street protests, gained slightly more than 5% of the January vote. His presidency has been marred by continuous political infighting and economic problems.

KIEV, January 27 (RIA Novosti)

http://en.rian.ru/exsoviet/20100127/157693991.html

Tymoshenko to win west Ukraine, lose presidential vote - survey

21:5828/01/2010

Ukrainian Prime Minister Yulia Tymoshenko will beat opposition leader Viktor Yanukovych in western Ukraine but will not do well enough in the east to win the presidential election, a survey said. Strong backing for Tymoshenko in traditionally nationalist western areas of the country will not outweigh support for Yanukovych in predominantly Russian-speaking eastern and southern parts of the country, Research&Branding Group reported on Thursday. Yanukovych won the first round of Ukraine’s presidential elections on January 17, and faces runner-up Tymoshenko in the second round on February 7. According to the survey, Tymoshenko is ahead in western Ukraine with the support of 60.6% of voters, but in the central Ukraine she has 42% and only 11.9% in the southeast. Yanukovych is polling at 14.2% in the west, 29.3% in central Ukraine and 69.2% in the southeast, giving him 44.9% nationwide, against 31.6% for Tymoshenko. The poll was carried out on January 19-25 among 3,108 respondents in 24 populated areas of Ukraine. Tymoshenko last week accused Yanukovych of attempting to secure victory in the second round by bribing losing candidates from the first round with the promise of seats in the parliament. Yanukovych hit back on Thursday during a visit to Simferopol by accusing the prime minister of trying to sabotage voting in areas where he is expected to do best. "I am 100% confident that Tymoshenko is trying to disrupt the elections on the south-east of Ukraine," Yanukovych said in comments broadcast on Crimean TV, adding that he would impede these plans. Yanukovych won 35% of the vote in the first round, 10 percentage points more than Tymoshenko.

MOSCOW, January 28 (RIA Novosti)

http://en.rian.ru/exsoviet/20100128/157708200.html

Medvedev urges to adhere to Customs Union plans in Belarus’ oil supplies issue

28.01.2010 09:46

MOSCOW, 28 January (BelTA) – President of Russia Dmitry Medvedev demanded to take into account the plans on the Customs Union formation in addressing the issue of oil supplies to Belarus. Dmitry Medvedev made this statement as he met with Vice Premier of the Russian Federation Igor Sechin after the negotiations with First Vice Premier of Belarus Vladimir Semashko were over on 27 January.

Dmitry Medvedev has stated that the unified customs tariffs and the Customs Code of the Customs Union of Belarus, Russia and Kazakhstan takes effect this year. In this respect the Russian President asked Igor Sechin on how the oil supplies agreements signed between Belarus and Russia correspond to the course chosen for the integration of the economies.

“The signed documents are aimed at the implementation of the agreements on the Customs Union,” Igor Sechin said. The Russian Vice Premier explained the President that “the companies located on the territory of Russia and Belarus will get crude oil for processing on the same schedule and at the same price”.

According to Igor Sechin, the formation of the Customs Union of Russia, Belarus and Kazakhstan will push the sides towards further discussion of the export issues. The development of the relations with the partners “will be based on the equal approaches”, the Russian Vice Premier said.

http://www.belta.by/en/news/econom?&page=5

Cooperation with Africa, South America is among Belarus’ priorities

29.01.2010 14:48

MINSK, 29 January (BelTA) – Belarus sees intensification of a constructive dialogue with the countries of Africa and South America as one of its foreign policy priorities, President of Belarus Alexander Lukashenko said as he received the letters of credence from the ambassadors of 13 countries on 29 January.

According to the head of state, the sides would like to see the bilateral relations expanded and filled up with concrete content. It will help the countries to promote their economic development in the post-crisis period.

The President has stressed that Belarus views Algeria as a friendly state and a promising economic partner in North Africa. “I believe it is high time we started exploring the existing potential of mutually beneficial cooperation and strengthening business ties between the two countries,” Alexander Lukashenko said.

According to the head of state, Belarus would like to establish all-round relations with Sudan. “The implementation of concrete projects will help intensify our cooperation. We hope Sudan will apply the same approach in line with the present agreements including those signed at the highest level,” Alexander Lukashenko said.

Belarus pays close attention to the development of the relations with other African countries. “We hope for more dynamic relations at different levels with Mali, Zimbabwe, Tanzania, Cote d’Ivoire,” the President stressed.

According to Alexander Lukashenko, Belarus considers Peru as a strategic partner in South America. In his words, further development of trade and economic contacts will meet the interests of the two countries. The Belarusian leader believes that the two sides should work on stepping up bilateral trade.

http://www.belta.by/en/news/president?id=481466

Belarus hikes Russian crude oil transport fees by 11%

23:4729/01/2010

Crude oil transfer tariffs to Belarusian refineries and transit fees through the country will be increased by 11% starting February 1, a spokesman for Belarus’s economic ministry of said on Friday. The spokesman said the recalculation of the tariffs are in line with changes in the fees for crude oil transportation services and was included in the package deal signed earlier on Wednesday. Russia and Belarus signed an array of agreements on crude oil deliveries and uninterrupted transits to Europe. "These tariffs have been recalculated in Russian rubles and will be increased by 11% starting February 1," the spokesman said. Tariffs were previously figured in euros. Russia earlier offered to supply the ex-Soviet republic with some 6.3 million metric tons of oil for domestic consumption duty-free and demanded Minsk pay full import duties on crude it refines and transits to Europe, dropping considerable subsidies. Belarus requested Russia to supply up to 30 million metric tons of oil duty free, saying it would otherwise increase transit fees for Europe-bound oil from $3.90 to $45. Russia has had frequent disputes with its former Soviet neighbors over energy prices in recent years, as it has moved to bring tariffs closer to free market levels. The West has accused Moscow of using energy as a political tool in ties with Ukraine and Belarus, major transit nations for its natural gas and oil flows.

MINSK, January 29 (RIA Novosti)

http://en.rian.ru/russia/20100129/157719311.html

Moldovan communists against Romanian president’s visit to Chisinau

January 27, 2010

Communist head: Romanian President "should mind his own business at home, in Romania"

Former President (2001-2009) and current Party of Communists (PC) head Vladimir Voronin told the press today that Romanian President Traian Basescu "should mind his own business at home, in Romania" instead of visiting Moldova. Mr. Basescu has planned a two-day visit to Moldova, during which he will meet with local officials and visit the cemetery of Romanian soldiers who fought the Soviets in 1941, located in the village of Tiganca. Communist-run Moldova between 2001 and 2009 had a very tense relationship with Bucharest, which peaked in April 2009, when Mr. Voronin accused the neighboring country of attempting to stage a coup. The conflict is mostly centered on the Communists’ insistence that Moldovans are not Romanians and objections to Mr. Basescu calling Moldova a "second Romanian state." Imedia

http://politicom.moldova.org/news/moldovan-communists-against-romanian-presidents-visit-to-chisinau-205700-eng.html

Moldova to get $570 million in IMF loans

05:2330/01/2010

The International Monetary Fund (IMF) will provide Moldova with loans worth a total of $570 million to help one of Europe’s poorest states in post-crisis recovery. The IMF Executive Board approved on Friday two three-year loans "to support the country’s economic program aimed at restoring fiscal and external sustainability, preserving financial stability, reducing poverty, and raising growth," the IMF said in a press release. Over $93 million will be immediately available, with the remainder available in installments subject to semiannual reviews. Last week the board of directors of the U.S. Government’s Millennium Challenge Corporation (MCC) and Moldovan Prime Minister Vladimir Filat finalized a deal on $262-million non-repayable financial aid. During his visit to Russia a month ago, Moldovan Vice-Premier and Economy Minister Valery Lazer said his country would also seek to develop economic cooperation with Russia. He asked the Russian authorities to provide Moldova with a $500 million loan for investment programs requested by the country’s former pro-Russian leader, Vladimir Voronin.

MOSCOW, January 30 (RIA Novosti)

http://en.rian.ru/exsoviet/20100130/157721106.html

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