Accession to the World Trade Organization (WTO) will generate lost budget revenues amounting to an estimated 188 billion rubles ($5.70 billion) in 2013 and 257 billion rubles ($7.80 billion) in 2014, Economic Development Minister Andrei Belousov said on Tuesday.
Belousov told the State Duma, the lower chamber of Russian parliament, that the actual losses were likely to be lower owing to increased foreign trade after the country joins the global trade body.
"Direct budget losses may be 188 billion rubles in 2013 and 257 billion rubles in 2014, but we predict that actual budget losses would be lower because of trade increase, and hence wider tax levies and better fee collection," he said.
The minister said that the core advantages from the WTO accession stemmed from the advent of clear foreign trade rules, and a stable regime for foreign trade with more active exports, while consumers would face improved product quality because of increased competition.
To become a full member of the WTO, all documents must be ratified by the Russian government, parliament and president by July 23, 2012. Russia spent 18 years trying to enter the WTO, completing accession talks in December 2011.
The Russian government has been implementing a program to adapt the country's economy to the WTO terms and would support the industries, including the agricultural sector, that could face the most serious risks after the joining.
Joining the WTO will not also lead to increased unemployment in Russia, Belousov added.
