Skip to content

Nice bread basket you have there…

October 12, 2012

From Hot Air

Ukrainian Prime Minister Nikolai Azarov has said the price of Russian gas would be significantly reduced if Ukraine joined the CIS Custom Union with Russia, Kazakhstan, and Belarus …for the past several years, both the EU and Russia have courted Ukraine to form long-lasting trade partnerships. The EU wants to include Ukraine in its Deep and Comprehensive Free Trade Agreement (DCFTA) while Russia is pushing to join its Customs Union. Because of the way these agreements are set up, Ukraine has to choose one or the other, placing the country in a pitched economic battle between East and West.

Why do we care?

At the same time as promising to cut natural gas prices by almost two-thirds, Putin refrains from making any demands for government reforms, unlike the EU. Clearly, an autocratically-controlled satellite is preferable to Russia than the freer, reformed state envisioned by the Orange Revolution. Especially considering the sheer volume of natural gas (about 75%) that is transported from Russia to Europe via pipelines in Ukraine.

We’re not going to FORCE you do join us….hmm. Sounds vaguely familiar

No comments yet

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: