The European Union is one of the major political and economic partners of Kazakhstan.
Overview
On February 2, 1993 were established diplomatic relations between Republic of Kazakhstan and the European Union.
In December, 1993 opened Representative of the Republic of Kazakhstan to the European Union in Brussels.
Since May, 2009 head of Representative of the Republic of Kazakhstan is the Extraordinary and Plenipotentiary Ambassador E. Utembayev.
In November 1994 in Almaty opened the European Commission (EC). Since December 6, 2011 the head of the European Commission in the Republic of Kazakhstan is the Extraordinary and Plenipotentiary Ambassador A. Bouchez.
Political dialogue
The legal basis of the relationship between Kazakhstan and the EU is the Partnership and Cooperation Agreement (PCA) 1999.
Since Kazakhstan and the EU after the signing of the PCA have experienced significant political, economic and social changes, the parties agreed to conclude a new basic agreement as a replacement, with a view to reflect these changes. In June 2011, in Brussels, the negotiations on the new RK-EU Agreement on Expanded Partnership and Cooperation were officially started. The first round of negotiations on the new RK-EU Agreement was held on 12 October this year in Astana, and the second round is scheduled for spring 2012.
The parties achieved high rates of development of trade and economic relations. The EU has been the major trade and investment partner of Kazakhstan for five consecutive years, leaving behind such countries as Russia and China. Almost half (49.7%) foreign trade of Kazakhstan, and over a third of the accumulated foreign capital in the economy of Kazakhstan accrue to the EU. Kazakhstan’s foreign trade turnover with EU countries in 2011 amounted to 50 billion USD, exceeding 2010 figures (38 billion USD). Over the period from 1993 to 2011 the gross inflow of direct investment from EU countries into Kazakhstan’s economy amounted to 65,7 billion USD (out of 137 USD billion raised). The key investors are the Netherlands, Great Britain, Italy and France.
For the years of independence Kazakhstan has approved itself a reliable and responsible energy partner of the EU. Kazakhstan is the third largest energy supplier to Europe among OPEC non-member countries, after Russia and Norway. In some European countries the share of deliveries of Kazakhstan’s oil is high enough. For example, it amounts to 25% in Austria and 30% in Romania. Kazakhstan is the fourth by volume energy supplier to Germany. Kazakhstan is interested in further strengthening the strategic energy dialogue with the EU, the legal basis of which is the Memorandum of Understanding on Co-operation in the field of Energy and the Agreement for Co-operation in the Peaceful Uses of Nuclear Energy.
The parties have high expectations related to the beginning of practical activities of the European Investment Bank (EIB) in Kazakhstan after the signing the agreement in April 2010, which governs the activities of the Bank in Kazakhstan. Following the meeting between President of Kazakhstan and President of the EIB Ph. Maystadt in Brussels in October 2010, they agreed to elaborate a “road map” between the RK and the EIB, which provides for a strategic plan of joint actions and projects for joint implementation (with due respect to readiness of the EIB to finance projects in the RK amounting to 1,5 billion Euro). In addition, SWF Samruk-Kazyna JSC, the Development Bank of Kazakhstan and the EIB signed a bilateral Memorandum of Understanding providing for the first investment for Kazakhstan’s projects in the amount of 300 million USD.
Astana would like to see a realistic and positive approach of the EU to the conditions of accession of Kazakhstan to the World Trade Organization. The Kazakhstan’ side has taken a lot of efforts to bring its national legislation into conformity with WTO rules. In July 2010, the parties agreed upon all conditions related to providing market access for goods. In October 2011, they signed the Protocol on Completion of Bilateral Negotiations on the Access to Services Market. The only outstanding issue is the application of export duties to raw materials.
Kazakhstan intends to continue its work with the EU on full recognizing the market status of the economy of Kazakhstan in conducting anti-dumping investigations.
Taking into account the growth of mutual trips of citizens of Kazakhstan and the European Union in the light of intensification of relations between Astana and European countries, Kazakhstan stands for the simplification of the visa regime between the RK and the EU. In this regard, the parties negotiate the issue of concluding visa facilitation and readmission agreements, and hold regular consultations.
There is a new format of cooperation between the parties, including sectoral dialogues, aimed at holding detailed consultations on topics of mutual interest (energy, transport, security, migration, human rights dialogue, etc.).
Once a year, the parties hold meetings of the Parliamentary Cooperation Committee (the European Parliament – the Parliament of the RK). In June 2011, in Brussels, the EU-Kazakhstan Parliamentary Cooperation Committee held the 10th anniversary meeting, following which the parties adopted the Conclusions.
The annual meetings of the Cooperation Council plays a key role in the institutional system of the RK-EU interaction. The Council is headed by Deputy Prime Minister E. Orynbaev from the Kazakhstan’s side. The Cooperation Committee and two specialized Sub-Committees for Cooperation (trade, investment, transport and energy; justice and the rule of law) operate for implementing the decisions of the Council.
In regional terms, the parties cooperate in the framework of the EU Strategy for Central Asia (introduced in 2007).
The meetings, held in 2011, between President N. Nazarbayev with President of the European Commission J. Barroso on the sidelines of the Kiev Summit on Nuclear Energy (19 April), and with President of the European Council H. Van Rompuy (during the 66th session of UN General Assembly in 21 September) helped broaden and deepen our partnership and reaffirmed the priority of the development of multifaceted relations with the European Union.
As part of the practical implementation of the reached agreements, intensive political dialogue of the RK and the EU in 2012 is expected.
