RESTRICTED  
  
WT/TPR/G/345  
24 August 2016  
(16-4495) Page: 1/14 
Trade Policy Review Body  Original: En glish 
 
TRADE POLICY REVIEW  
REPORT BY  
RUSSIAN FEDERATION  
Pursuant to the Agreement Establishing the Trade Policy Review Mechanism (Annex 3 of the 
Marrakesh Agreement Establishing the World Trade Organization), the policy statement by the 
Russian Federation  is atta ched.  
 
 
Note: This report is subject to restricted circulation and press embargo until the end of the first 
session of the meeting of the Trade Policy Review Body on Russian Federation . WT/TPR/G/345 • Russian Federation  
 
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  Contents  
1   RUSSIA IN THE MULTIL ATERAL TRADING SYSTE M ................................ ......................  3 
2   ECONOMIC AND TRADE E NVIRONMENT  ................................ ................................ ....... 3 
2.1   Macroeconomic Situa tion ................................ ................................ ..............................  3 
3   FOREIGN TRADE  ................................ ................................ ................................ ..........  4 
3.1   Trade in Goods  ................................ ................................ ................................ ............  4 
3.2   Trade in  Services  ................................ ................................ ................................ .........  5 
4   TRADE POLICY  ................................ ................................ ................................ ............  5 
4.1   Customs and Tariff Policy  ................................ ................................ .............................  5 
4.2   Improving Customs Administration  ................................ ................................ ................  5 
4.3   Agricultural and Fisheries Policy  ................................ ................................ ....................  7 
4.4   Industrial policy  ................................ ................................ ................................ ..........  7 
4.5   Energy Policy  ................................ ................................ ................................ ..............  8 
4.6   Investment Policy  ................................ ................................ ................................ ........  8 
4.7   Public Procurement Policy  ................................ ................................ ............................ 10 
4.8   Intellectual Property Rights  ................................ ................................ .......................... 11 
5   REGIONAL ECONOMIC IN TEGRATION  ................................ ................................ ........  13 
5.1   Establishment of the Eurasian Economic Union  ................................ ............................... 13 
5.2   CIS Free Trade Area Agreement  ................................ ................................ ................... 13 
5.3   Free Trade Agreem ent with the Socialist Republic of Viet Nam  ................................ ......... 14 
6   FUTURE DIRECTIONS  OF RUSSIA'S TRADE PO LICY  ................................ ...................  14 
 
 WT/TPR/G/345 • Russian Federation  
 
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  1  RUSSIA IN THE MULTIL ATERAL TRADING SYSTE M 
1.1.  The accession of t he Russian Federation to the WTO on 22 August 2012 marked a landmark 
in the country 's integration into the multilateral trading system.  
1.2.  Russia 's accession to the WTO was accompanied by fundamental legislative changes that laid 
solid and predictable founda tions in the Russian market for all its participants, including foreign 
trade operators. As a result, the implementation of the WTO rules into the national legislation has 
contributed towards an improvement in Russia's international ratings. For instance, since 2012, 
Russia has been annually moving upwards in the Doing Business rating compiled by the World 
Bank Group. From being ranked 120th (out of 183) in 2012, Russia moved to the 51st place (out of 
189) in 2016.  
1.3.  During the past four years, Russia 's trade  policy was predominantly focused on further 
integration into the multilateral trading system and liberalization of the trade regime, both in the 
context of the WTO commitments and within the regional economic integration.  
1.4.  While participating in the regio nal integration processes, the Russian Federation continuously 
demonstrates its commitment to maintaining and strengthening the critical role of the WTO as the 
main platform for the negotiations on multilateral trade liberalization, as well as for the 
development and enforcement of the multilateral trade rules. Russia welcomes the conclusion of 
the Trade Facilitation Agreement, which sets the grounds for reducing the costs of trade 
operations. The benefit from the implementation of this agreement  to the Rus sian economic 
operators is estimated to be between US$10 and 27 billion. Moreover, this agreement will 
stimulate the modernization of customs administration, expansion of international trade, and 
strengthening of economic competitiveness of all the WTO Mem bers. 
1.5.  Through the presentation of the first national trade policy review in the WTO the Russian 
Federation reiterates its commitment to transparency of trade policy regime.  
1.6.  Russia actively promotes the initiative aimed at improving transparency mechanisms  for 
regional trade agreements on various international platforms - WTO, APEC, G -20. The need to 
address systemic impact of regional trade agreements on the multilateral trading system and to 
improve transparency of the regional economic integrations was r eflected in the WTO Ministerial 
Declaration of the Tenth WTO Ministerial Conference in Nairobi (Kenya).  
1.7.  As part of the preparations for the Tenth WTO Ministerial Conference, Russia had submitted a 
proposal on the draft resolution on transparency in domest ic regulation of services and advocated 
in favor of strengthening transparency rules in anti -dumping and countervailing investigations. 
Russia will continue its work on the aforementioned initiatives within the specialized working 
bodies of the WTO.  
2  ECONO MIC AND TRADE ENVIRO NMENT  
2.1  Macroeconomic S ituation  
2.1.  Since the end of 2012, the Russian economy has experienced a slowdown.  Compared to a 
3.5% GDP increase in 2012, in 2013 it amounted to 1.3%, and in 2014 - 0.6%. In 2015, there 
was an absolute GDP reduction  of 3.7%, for the first time since 2009. Overall, between 2012 and 
2015, the average GDP growth rate amounted to 0.5%.  
2.2.  At the same time, in 2015 the nominal GDP increased by 35.4% as compared to 2011 and 
amounted to 80.804 billion rubles.  
2.3.  In 2015 - early 2 016, the development of the Russian economy was negatively affected by 
the external factors. Deteriorating external economic environment together with anti -Russian trade 
sanctions have entailed serious consequences for the Russian economy, including the ro uble 
depreciation, trade balance contracting, increased economic uncertainty, and tighter non -price 
lending conditions.  WT/TPR/G/345 • Russian Federation  
 
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  2.4.  At the same time, transition of the national currency to a floating exchange rate helped to 
adapt the economy to external shocks. In com parison to 2014, in 2015 the current account of the 
balance of payments improved as a result of a substantial reduction of the imbalance of services 
and investment income. There was a significant decrease in the private capital outflow from Russia 
due to a  lower demand of the Russian companies and banks for foreign assets, as well as reduced 
household demand for foreign currency.  
2.5.  In the first half of 2016 the economic recession has slowed down, which indicated an 
adjustment of the Russian economy to the rec ent external shocks. Moreover, in 2017 a GDP 
growth rate is expected to rebound.  
2.6.  In 2015, inflation was driven predominantly by rouble depreciation. In December 2015, 
inflation was at 12.9%. However, price growth was limited by a restrained fiscal policy a nd 
moderately tight monetary policy together with low consumer demand, and a mostly favourable 
situation in both domestic and global food markets. Between March and May 2016, consumer price 
growth has stabilized at 7.3%.  
3  FOREIGN TRADE  
3.1  Trade in G oods  
3.1.  Between 2012 and 2015, Russia's foreign trade turnover decreased by 37.5%. Imports fell by 
42,4%, and exports decreased by 34,5%. The negative import dynamics was primarily influenced 
by ruble devaluation that significantly reduced demand for foreign goods. Th e negative export 
dynamics was largely caused by a fall in the world prices for energy, ferrous and non -ferrous 
metals. However, as compared to 2014, in 2015 the physical volume of the Russian exports 
increased by 4,6%, which exceeded the world average by almost three times.  
3.2.  The commodity structure of Russia 's exports is dominated by fuel and energy goods. In 
2015, their share decreased by 7.4 percentage points as compared to 2012. Metals and metal 
products rank second in the commodity structure of the Russ ian exports. Between 2012 and 2015, 
their relative share increased by 1.1 percentage points. In 2015 machines, equipment and vehicles 
were placed third. Their share in 2015 increased by 2.3 percentage points as compared to 2012. 
Also, between 2012 and 2015 , the share of chemical products and rubber in the structure of the 
Russian exports increased by 1.3 percentage points.  
3.3.  Machines, equipment and vehicles dominate Russia 's commodity import structure. Between 
2012 and 2015, their share decreased by 5.1 perce ntage points. Chemical products and rubber 
come second in the commodity import structure. The relative share of these goods for the 
abovementioned period has increased by 3.3 percentage points. Food and agricultural raw 
materials are on the third place in the Russian commodity import structure. Their share increased 
by 1.7 percentage points as compared to 2012.  
3.4.  The European Union is Russia 's largest trading partner. It plays a special role in the 
geographical structure of the Russian foreign trade. Trade wi th the EU constitutes more than 50% 
of Russia 's trade turnover despite the fact that between 2012 and 2015 the EU 's share in the trade 
turnover of the Russian Federation has decreased by 3,9 percentage points.  
3.5.  The Asia -Pacific Economic Cooperation (APEC) c ountries represent the second largest group 
in terms of the foreign trade volume. Between 2012 and 2015, their share in Russia 's total trade 
turnover increased by 4.3 percentage points and amounted to 28.1 % in 2015. Among the APEC 
countries, China represe nts Russia 's key trading partner. In 2012, China 's share in Russia 's total 
trade turnover increased by 1.7 percentage points and amounted to 12.1% in 2015.  
3.6.  The CIS countries represent the third largest group in terms of the trade turnover. Between 
2012 and  2015, their relative share decreased by 2.2 percentage points and amounted to 12.6% 
in 2015. At the end of 2015, the share of Russia 's Eurasian Economic Union partners in the total 
trade turnover amounted to 8.1%.  
3.7.  Since the Russia's accession to the WTO i n 2012 a number of sectoral consequences were 
identified. A significant effect can be observed in the export -oriented industries that were WT/TPR/G/345 • Russian Federation  
 
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  previously adversely affected by discriminatory restrictive measures. For instance, quotas on the 
importation of meta l products of Russian origin to the European Union markets were eliminated.  
3.8.  There was an increase in the export volume of the following goods: meat and meat by -
products - from 35 thousand ton nes to 97  thousand ton nes; vegetables and some edible roots - 
from 83  thousand ton nes to 117 thousand ton nes; cereals - 22 million ton nes to 31  million  tonnes; 
inorganic chemical products - 5.8 thousand ton nes to 6.4 thousand ton nes; wood and wood 
products - 30 million ton nes to 36 million ton nes; glass and glass produ cts – 779 thousand ton nes 
to 1,2 million ton nes; ferrous metal products - 2 million ton nes to 2.4 million ton nes.  
3.2  Trade in S ervices  
3.9.  The services ' share in Russia 's GDP represents more than 60% despite the fact that the 
Russian services market has only rec ently begun to develop actively.  
3.10.   In 2012, the volume of trade in services in Russia amounted to US$171.3 billion, with 
exports accounting for US$62.4 billion, and imports - US$108.9 billion. By 2014, the total volume 
of trade in services has increased to US$186.8 billion, with exports amounting to US$65.8  billion, 
and imports – to US$121.0 billion. During the first three quarters of 2015, the total volume of 
trade in services amounted to US$106.0 billion.  
3.11.   In terms of a geographical structure of Russia 's trade in services, the European Union holds 
the leading position. Between 2012 and 2015, its share has increased by 2.2 percentage points 
and amounted to more than 40% of Russia 's total trade in service.  
3.12.   The share of APEC countries in Russia 's trade in servi ce amounts to about 12.5%. Among 
APEC countries, the USA takes the lead. During the period under review its ' relative share 
amounted to about 5.7%.  
3.13.   During the period under review the average share of CIS countries amounted to 11.3%. A 
significant share in the Russian services turnover is taken by Turkey and Switzerland - 6.3% and 
4.2%, respectively.  
4  TRADE POLICY  
4.1  Customs and Tariff P olicy  
4.1.  The inclusion of Russian companies into the global value chains is crucial for Russia's further 
integration into the mul tilateral trading system. Therefore, Russia 's customs and tariff policy is 
aimed at attracting foreign direct investments into the Russian economy, and at the reduction of 
direct and indirect costs to the foreign economic activity participants. The customs  and tariff policy 
of Russia is based on a tariff escalation principle.  
4.2.  In order to foster the development of different industry sectors of the economy, production of 
high value -added goods and modernization of industrial processes, the customs and tariff policy of 
the Russian Federation is aimed at the tariff liberalization to enhance and improve access to the 
raw material and component bases.  
4.3.  Since its accession to the WTO, Russia has been gradually reducing its applied tariff 
protection level. Compared t o 2012 when the average weighted customs tariff rate was 9.14%, in 
2015 the average weighted  level was reduced by 3,05 percentage points and amounted to 6.09% 
with the average  bound  level of 10.1% for agricultural goods and 6,7% for industrial goods being 
in accordance with Russia's commitments in the WTO.  
4.2  Improving Customs A dministration  
4.4.  Steps are currently being taken to stimulate foreign trade activities, to expedite customs 
formalities and to reduce the release time for goods, including through removal  of redundant 
barriers in customs regulations, a simplification of customs procedures and a reduction of required 
time for customs formalities.  WT/TPR/G/345 • Russian Federation  
 
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  4.5.  In furtherance of the Treaty on the Eurasian Economic Union and in order to improve 
customs administration , the work is under way to develop a draft Customs Code of the Eurasian 
Economic Union . 
4.6.  The elimination of excessive regulation, simplification of customs operations through an 
ubiquitous use of information technologies, and the facilitation of an effective use of the resources 
of customs authorities are at the heart of the Customs ' Code development. The key purpose here 
is to ensure a balance of interests between the government agencies and the business.  
4.7.  The draft Customs Code of the Eurasian Economic Union prov ides for a substantial 
simplification of customs formalities in accordance with the international standards and global 
practices. Specific provisions are introduced to give preference to electronic customs declaration, 
to automate customs operations throug h the use of an information system without the 
involvement of customs officials (automatic goods release technology), to maintain goods 
declaration as the only document required by the customs authorities (with no additional 
documents required), to introdu ce the "single window" approach for customs formalities, and to 
reduce the release time of goods.  
4.8.  A number of measures have been introduced in order to improve international trade 
conditions and investment attractiveness of the Russian Federation, which pr imarily targeted the 
following areas: reduction in the number of documents required for customs declaration e.g. 
contracts (foreign trade agreements), licenses, certificates of conformity, declarations of 
conformity, State Control Certificates, certificate s of export of rough diamonds, transaction 
passports, identification certificates for products not covered by the export control regulations, and 
the other approvals and permits. Reduction in the number of permitting documents was made 
possible after the i mplementation of an electronic interagency communication system (hereinafter 
– EICS) among the federal executive authorities.   
4.9.  Information about documents (data) is supplied to the customs authorities directly from the 
Federal authorities not later than on  the next working day after the decision on issuance of the 
document to the concerned  person is adopted.  
4.10.   The aforementioned measures have reduced the administrative burden and improved 
customs processing for the participants of foreign economic activity.  
4.11.   At the end of 2015, the time of customs operations in respect of imported goods (provided 
that those goods were not subject to additional controls and were not identified as risky, thus 
requiring further inspection) was 1 hour 37 minutes, and 50 minutes in respect of exported goods 
(in 2014 - 5 hours 2 minutes for imports, and 1 hour 40 minutes for export).  
4.12.   Automatic goods declaration (hereinafter - GD) registration technology and automatic 
release of goods were implemented. In 2015 more than 110 thousands G D were automatically 
registered on pilot zone facilities, and more than 1.5 thousands GD released.  
4.13.   The number of documents required for the customs decl aration of goods was reduced 
(4 documents for exports and 6 documents for imports in contrast to 6 docum ents for exports and 
8 documents for imports in 2014).  
4.14.   Electronic goods ' declaration technologies were implemented under the customs transit 
procedure.  
4.15.   A list of bona fide transport companies not required to comply with the customs transit 
measures was est ablished within a framework of an experiment (158 transport companies).  
4.16.   A subject -oriented approach to risk management based on a categorization of foreign 
economic activity participants was implemented.  WT/TPR/G/345 • Russian Federation  
 
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  4.3  Agricultural and Fisheries P olicy  
4.17.   Agriculture is on e of the priority sectors of the Russian economy. Agriculture development 
policy is implemented at federal and sub -federal levels through medium -term domestic support 
planning, provided on a state program basis.  
4.18.   Since the accession to the WTO, the Russian  Federation implements the State Program for 
agriculture development and regulation of agricultural products, raw materials and food markets 
for 2013 - 2020 (hereinafter - the State Program).1 The State Program sets out the crop and 
livestock production su b-sectors (including beef cattle production) as the main areas of agriculture 
development.  
4.19.   The structure of the State Program is largely determined by the WTO commitments of the 
Russian Federation. For this reason, special attention is paid to implementati on of non -distorting 
domestic support measures, including decoupled income support for agricultural producers.  
4.20.   In general, during the implementation period of the State Program agricultural production 
has been growing steadily. Certain progress is observed  in the diversification of agricultural 
production, including output of high value -added products. However, additional efforts are required 
to address the issues related to technological modernization of agriculture sector and development 
of agri -food mark et infrastructure.  
4.21.   Fisheries industry plays an important role in maintaining food security of the Russian 
Federation, conservation of aquatic biological resources and improvement of population life quality.  
4.22.   In 2014, the Government of the Russian Federation  adopted the State Program for 
development of fish industry (hereinafter - the Program),  consisted of 8 sub -programm es.2  
4.23.   The Program is mainly focused on the development of commercial fish farming 
(aquaculture), infrastructural development of fisheries in dustry (capital investments), application 
of new technologies, and ensuring the transition from raw materials export to innovative type of 
development based on conservation, reproduction and rational use of aquatic biological resources.  
4.24.   According to the Pr ogram, provision of internal market with aquatic biological resources is 
planned to be performed through development of aquaculture. This process is to be implemented 
by means of technological production modernization and building of innovative system in 
aquaculture sector. Development of aquaculture is designed to ensure positive dynamics of 
artificial reproduction of aquatic biological resources.  
4.25.   The Ministry of Agriculture of the Russian Federation, being the authority responsible for 
carrying out state policy and legal regulation in agriculture and fisheries sectors, continues its 
systematic work aimed at optimization of domestic support measures under the conditions of the 
Russian Federation 's accession to  the WTO.  
4.4  Industrial policy  
4.26.   The industrial polic y is developed and implemented in accordance with the Federal Law of 
the Russian Federation No. 488 -FZ of  31 December 2014 "On Industrial Policy in the Russian 
Federation ". 
4.27.   The central goal of Russian Federation 's industrial policy is to develop a technolo gy intensive 
competitive industry that would facilitate a transition of the Russian economy from development 
based predominantly on export of raw materials towards the innovative type of development. 
Therefore, the key objectives of the industrial policy o f the Russian Federation are creation and 
development of modern industrial infrastructure, support of technological modernization of 
industrial entities, as well as increase in the output of products with high added value.  
                                                
1 Resolution of the Government of the Russian Federation No. 717 of 14  July 2012 "On State Program 
for Agriculture Development and Regulation of Agricultural Produc ts, Raw Materials and Food M arkets for 2013 
– 2020". 
2 Resolution of the Government of the Russian Federation  No. 314 of 15  April 2014 “On Adoption of the 
State Program of the Russian Federation "Development of Fisheries Industry ". WT/TPR/G/345 • Russian Federation  
 
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  4.28.   Russia 's industrial policy is ba sed on the following fundamental principles: keeping the state 
regulation of the market economy to a minimum; combining of industrial development stimulation 
forms and methods; information transparency in both the industrial policy development and the 
implementation of measures aimed at stimulating entities to implement the results of intellectual 
activities; mastering production of innovative industrial goods; use of material, financial, labour 
and natural resources in a rational way; raising labour produc tiveness; implementing resource -
saving and ecologically safe technologies.  
4.29.   Institutional reforms are among the key systemic measures used by the Russian 
Government to support further favourable integration of the Russian Federation into the global 
economy.  Since 2011, the Russian export support system has been characterized by an 
emergence of new financial institutions for export development whose activities are in line with the 
relevant WTO rules. In 2011, the Russian Agency for Export Credit and Investmen t Insurance 
(EXIAR) was established for providing insurance of export credits and investments. It expanded 
significantly the range of financial services available for the exporters.  
4.30.   In 2015, JSC Russian Export Centre was established in order to improve acc essibility to and 
transparency of the state support for exporters using the "single window" mechanism. It co -
ordinates the provision of credit and insurance support, renders consulting services for promotion 
of products in specific foreign markets, conduct s market research, searches for foreign partners, 
assists in obtaining foreign patents, licenses and certificates and supplies other non -financial 
services.  
4.31.   For the purpose of extending export financial support, a program of subsidization of interest 
rates on credits provided by the Russian Export -Import Bank (Roseximbank) was launched. Such 
credits are provided mainly to the medium -sized companies.  
4.5  Energy P olicy  
4.32.   A large number of companies with foreign participation is operating on the territory of 
Russia  in the energy sector. They include both small -scale projects in the field of exploration and 
production of hydrocarbons and strategic partnerships between major players in the oil and gas 
market. As of 2015, companies from more than 15 countries have thei r assets in the territory of 
Russia. Examples of major projects with foreign companies ' participation on the territory of Russia 
include a joint venture to develop Kharyaginskoye oil field (JSC Zarubezhneft in collaboration with 
Total and Statoil), Salym g roup of oil fields (Gazprom Neft jointly with Shell), South -Russian oil 
and gas field (Gazprom in collaboration with BASF AG).  
4.33.   Currently, three production sharing agreements with foreign participation on the 
development of raw hydrocarbon deposits have bee n concluded in the Russian Federation - 
Sakhalin -1, Sakhalin -2, Kharyaginskoye SRP. Russia is actively liberalizing its trade policy with 
respect to all energy types. The coal market is now fully liberalized. The role of independent gas 
producers (IGP) on the internal gas market has significantly expanded. In 2015, the market share 
of IGP was expected to reach 33%.  
4.34.   In addition, Russia is currently implementing tax policy changes with respect to crude oil. It 
is planned that in the future the existing tax on  oil and gas production will be replaced with a more 
effective tax on financial results based on the common practice, which will enhance the investment 
attractiveness of the oil and gas sector.  
4.35.   At the end of June 2015, the Government of the Russian Federat ion supported an initiative 
on the introduction of a financial results ' tax for pilot projects in the field of oil production, which 
will correspond to the common  practice (this tax is implemented in a number of tax systems of 
developed oil -producing count ries, including Norway and the UK).  
4.6  Investment P olicy  
4.36.   The Russian Federation pays special attention to attracting foreign investments into the 
economy and creating conditions for the growth of domestic and foreign investments. Between 
2012 and 2015, in ord er to create favorable investments conditions, Russia has signed bilateral 
investment treaties with Nicaragua, Zimbabwe, Uzbekistan, Guatemala, Bahrain, Azerbaijan, WT/TPR/G/345 • Russian Federation  
 
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  Cambodia, Iran and Morocco. To date, Russia has signed 81 agreements, 64 of which have come  
into force.  
4.37.   A prerequisite for attracting investment into the economy is a favorable investment 
environment that can be stimulated through the implementation of "roadmaps ". More than 
400 legal acts, including 85 federal laws, were adopted and implemented within the framework of 
roadmaps, followed by a real positive effect confirmed by the entrepreneurs. As an example of 
recent developments in this context, a "roadmap" on improvement of corporate management was 
enacted by the Government of the Russian Feder ation on 25 June 2016.  
4.38.   Since 1994 the Foreign Investment Advisory Council (FIAC) has been successfully operating 
in Russia. The FIAC is a result of the combined efforts of the Russian government and foreign 
businesses to improve the investment climate in R ussia. The key task of the Council is to assist 
Russia in forging and promoting a favorable business environment based on global expertise and 
the experience of international companies operating in Russia. The Council is chaired by the 
Russian Prime Minist er and includes more than 50 top international companies and banks.  
4.39.   In addition, the following measures were implemented to improve the investment climate:  
  Legislative framework for the public -private partnership was developed at the federal 
level;  
  Stand still in tax conditions will be maintained until 2018;  
  A moratorium on a number of non -tax payments for entrepreneurs (in effect until 
1 January 2019) was introduced.  
4.40.   In 2012 -2015, the list of investment activities requiring special approval was amended d ue 
to significant changes in the investment legislation. Currently the list of strategic activities 
(hereinafter - the List), contained in the Federal Law of the Russian Federation No. 57 -FZ dated 
29 April 2008 "On the Procedure for Facilitating Foreign In vestment in Legal Entities Having 
Strategic Importance for Russian National Defense and State Security", contains 45 activity types. 
A prior approval by the Government Commission on Monitoring of Foreign Investment in the 
Russian Federation is required if the level of investment with regards to the abovementioned 
activities exceeds a certain threshold. In 2014, the list of strategic activities was expanded to 
include such activities as evaluation of vulnerability of transport infrastructure facilities and 
vehicles; protection of such facilities from unlawful interference, carried out by transportation 
safety forces; certification of transportation safety forces carried out by the certifying organization 
in accordance with the Russian legislation on transport ation safety.  
4.41.   In addition, the activity of companies engaged in food processing which is related to use of 
infectious agents was removed from the list of strategic activities. The List was expanded to 
include services provision in the Russian ports. In add ition, it was clarified that strategic 
importance criteria  relates exclusively to the activity of editors and publishers of periodicals, whose 
total circulation meets the following requirements: 15 million copies twice (or more) a week ; 
2.5 million copies once a week, or once in 2 or 3 weeks; 700 thousand copies once a month, or 
once every 2 months; 300 thousand copies once a quarter and less3. In addition, between 2012 
and 2015, improving the investment climate remained a key pri ority of the Russian policy . 
In 2011, the Russian Direct Investment Fund (RDIF) was established. Its main tasks included 
carrying out profitable investments, and attracting foreign direct investment, the world's best 
technologies and personnel into Russia. To date, RDIF was able to raise more than US$25 billion 
worth of foreign investment.  
4.42.   In order to improve the investment climate, Russia has also made a number of legislative 
changes with regards to business activities. In 2014 -2015, company registration procedure was 
                                                
3 Federal Law of the Rus sian Federation No. 15 -FZ dated 3 February 2014 "On introducing changes to 
some legislative acts of the Russian Federation on Providing Transport Security"; Federal Law of the Russian 
Federation No. 343 -FZ dated 4 November 2014 'On introducing changes to t he Federal Law " On the Procedure 
for Facilitating Foreign Investment in Legal Entities Having Strategic Importance for Russian National Defense 
and State Security " and some legislative acts of the Russian Federation'.  WT/TPR/G/345 • Russian Federation  
 
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  simplified: i t is no longer required to notarize a bank card with signature specimens in order to 
open a bank account; the requirement to set up an authorized capital prior to the registration of a 
company and the requirement to notify tax authorities with regards to t he opening of a bank 
account were also abolished .4 
4.43.   In 2013 -2014, the construction sector has also undergone a number of reforms: the 
number of government approvals required to obtain a construction permit was reduced5. In 2013 -
2014, the introduction of an electronic document management in the fields of taxation, export -
import operations and filing lawsuits significantly reduced the administrative burden on the 
companies.  
4.7  Public Procurement P olicy  
4.44.   In the recent years, the Russian Federation has made conside rable efforts to improve the 
public procurement system. On 5 April 2013, the Federal Law No. 44 -FZ "On the System of Public 
Procurement Contracts for Products, Works, Services for State and Municipal Needs"  replaced the 
Federal Law dated 21 July 2005 No. 9 4-FZ "On the Placement of Orders for the Procurement of 
Goods, Performing Works, and Rendering Services for State and Municipal Needs".  
4.45.   Between 1 January 2015 and 1 April 2016, the amount of notices of procurement under the 
Federal Law No. 44 -FZ has exceed ed 6.6 trillion rubles. The total amount of concluded contracts 
(excluding contracts that constitute a state secret and are not publicly available) has amounted to 
6.3 trillion rubles, which represents more than 10% of Russia 's GDP. There are m ore than 
330 thousand state and municipal customers and about 500 thousand suppliers operating in the 
contractual system. Currently, the system of public procurement contracts is based on the 
principles of openness, transparency, competition, customers ' professionalis m, innovative 
development, uniformity of the contractual system in procurement, effective provision for state 
and municipal needs, and procurement efficiency.  
4.46.   In 2015, the establishment of the fundamental contractual system institutions on 
information prov ision, justification and procurement planning has been completed by more  than 
90%: 
  Procurement information system;  
  Public discussion of major procurement;  
  Procurement control;  
  Procurement monitoring;  
  Procurement audit;  
  Training in the field of procur ement.  
4.47.   The following are the priority areas of the contractual system development:  
  Digitization of all open competitive methods for suppliers ' identification (contractors, 
service providers) in order to facilitate openness and transparency and to ensure 
competition within the system of public procurement contracts for goods, works and 
services for state and municipal needs;  
  Obligatory disclosure of information regarding subcontractors engaged in the fulfillment of 
contracts;  
  Establishment of mandatory pa yment terms for goods delivered, works performed (its 
results), services rendered and for the individual stages of the contract implementation;  
                                                
4 World Bank Group  Report , 2016 Doing Business Report, Economy Profile of the Russian Federation, p. 
20. Viewed at: 
http://www.doingbusiness .org/data/exploree conomies /~/media /giawb /doing %20business /documents /profiles /
country /RUS.pdf?ver=2. 
5 World Bank Group  Report , 2016 Doing Business Report, Economy Profile of the Russian Federation, p. 
30. Viewed at: 
http://www.doingbusiness .org/data/exploreeconomies /~/media /giawb /doing %20business /documents /profiles /
country /RUS.pdf?ver=2. WT/TPR/G/345 • Russian Federation  
 
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    Formation of a catalogue for procurement of goods, works and services for the state and 
municipal needs, which will form a basis for the system of price references for goods, 
works and services.  
4.48.   Therefore, Russia 's system of public procurement contracts of goods, works and services for 
state and municipal needs meets the highest international standards with respect  to the public 
procurement information system, anti -corruption practices, openness and transparency of public 
procurement, and the efficient protection of the rights and legitimate interests of market 
participants in the procurement procedures. These concl usions are also supported by the 
researches conducted by different international organizati ons, including the World Bank (a nalytical 
report "Comparative analysis of state procurement 2016 ", which includes an overview of state 
procurement systems of 77 coun tries).  
4.8  Intellectual P roperty R ights  
4.49.   Since 1 January 2008, the sphere of intellectual property is regulated by Part 4 of the Civil 
Code of the Russian Federation. With respect to intellectual property rights protection and 
enforcement, since Russia 's acces sion to the WTO,  amendments to Part 4 of the Civil Code (the 
Federal Law No. 35 -FZ dated 12 March 2014 "On Amendments to the First, Second and Fourth 
Parts of the Civil Code and Certain Legislative Acts of the Russian Federation"), federal laws on the 
protection of intellectual property rights on the Internet, as well as amendments to the Federal 
Law on customs regulations concerning customs protection of intellectual property rights (the 
Federal Law No. 73 -FZ dated 6 April 2015 'On the Introduction of Amen dments to the Federal Law 
"On Customs Regulation in the Russian Federation "') were adopted.   
4.50.   Provisions of the Federal Law No.  187-FZ dated 3 July 2013 "On Amendments to Certain 
Legislative Acts of the Russian Federation on the Protection of Intellectual P roperty Rights in 
Information and Telecommunications Networks"  and the Federal Law No. 364 -FZ dated 
24 November 2014 "On Amendments to the Federal Law "On Information, Information 
Technologies and Protection of Information" and the Code of Civil Procedure of the Russian 
Federation make up anti -piracy legislation providing for both a judicial mechanism to restrict 
access to illegally posted objects of copyright and related rights on the Internet (except 
photographic works), and extra -judicial mechanism for r estricting access to content.  
4.51.   The judicial mechanism allows rights holders to apply to the Moscow City Court with an 
application for interim measures, and then, according to an enforceable court decision, to the 
authorized federal authority (Roskomnadzor),  with a request to restrict access to information 
resources illegally distributing the objects of copyright and related rights.  
4.52.   Simultaneously, the Fourth Part of the Civil Code was supplemented with Article 1253.1 
regarding the responsibility of an inform ation intermediary providing the possibility of placing the 
material in the information and telecommunication network.  
4.53.   Non-judicial mechanism allows the right holder to apply directly to the owner of the Internet 
resource with a request to cease the infrin gement of copyright and related rights, and to promptly 
block the illegal content (within 24 hours of receipt of such request the website owner must take 
measures to remove the illegal content).  
4.54.   In addition, the anti -piracy legislation provides for the pos sibility to block under a court 
decision a website that has repeatedly and unlawfully posted objects of copyright and related 
rights (access to this website in this case cannot be restored).  
4.55.   For the entire period of its application (2013 to 2016) anti -piracy legislation has proven to 
be efficient; the amount of illegal content on the Internet was reduced, enabling the Russian 
Federation to carry out further work to improve the legislation in this area, subject to existing law 
enforcement practice, and to st rengthen provisions aimed at termination of the illegal use of 
objects of copyright and related rights on the Internet.  
4.56.   In addition, the provisions related to unfair competition of Chapter 2.1 of the Federal Law 
No. 135 -FZ of 26 July 2006 "On Protection of  Competition" were harmonized with the global WT/TPR/G/345 • Russian Federation  
 
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  judicial and administrative practice and incorporated bans on various forms of illegal use of 
intellectual property rights. The following is recognized as unfair competition:  
  Bad faith acquisition and use of t rademark rights and means of individualization 
(Article  14.4 of the Federal Law);  
  Illegal use of the results of intellectual activities (Article 14.5 of the Federal Law);  
  Actions that may create confusion with activities of a competing business entity or  goods 
or services introduced in circulation by the competing business entity in the Russian 
Federation, through illegal use of a mark identical or confusingly similar to the trademark, 
trade name, commercial name, appellation of origin of the competing bu siness entity, as 
well as by copying or imitation of the appearance of the product introduced in circulation 
by the competing business entity, packaging of this product, its labels, name, colour 
scheme, overall corporate design (collectively branded clothi ng, trading floor design, 
showcases) or other components individualiz ing the competing business entity and (or) its 
goods.  
4.57.   In order to protect intellectual property rights, business entities may file requests to the 
antimonopoly body, which according to th e results of the analysis of the request can establish the 
fact of unfair competition and issue a warning or an order to cease the offense, as well as bring 
the offender to administrative responsibility.  
4.58.   The new edition of the Federal Law "On Protection of  Competition" in terms of unfair 
competition, which entered into force in 2016, adapts a number of provisions of European 
regulations in the field of consumer protection and combating unfair competition to the Russian 
legal framework. Certain elements of a cts of unfair competition are formulated on the basis of 
identified trends in administrative and judicial practice of the Russia 's Federal Antimonopoly 
Service and its territorial bodies.  
4.59.   The efficiency of law enforcement in Russia has been significantly i mproved through the 
implementation of a two -stage special preventive action "Counterfeit" that is carried out annually. 
It is aimed at preventing the production and trafficking of counterfeit, falsified products and 
products illegally imported into the ter ritory of the Russian Federation. The Ministry of Internal 
Affairs of the Russian Federation, the Federal Customs Service of the Russian Federation, the 
Federal Service for Consumer Rights and Human Welfare Protection, and the Federal Service for 
Supervisi on in the Sphere of Health Care and Social Development participate in this action.  
4.60.   The international police operation "Pangea" is carried out on an annual basis under the 
auspices of the General Secretary of Interpol. It is aimed at detecting and suppress ing illegal sales 
of falsified medicines via the Internet. The Ministry of Internal Affairs of the Russian Federation, 
the Federal Customs Service of the Russian Federation and the Federal Service for Supervision in 
the Sphere of Health Care and Social Dev elopment Service participate in this operation in the 
Russian Federation.  
4.61.   On 28 October 2011 the Russian Federation signed the Council of Europe Convention on the 
counterfeiting of medical products and similar crimes involving threats to public health (he reinafter 
- the Medicrime  Convention), which is a pan -European  agreement on combating counterfeit 
medical products.  
4.62.   As part of the preparation for the ratification of Medicrime Convention by the Russian 
Federation, the Federal Law No.  532-FZ of 31 December  2014 "On Amendments to Certain 
Legislative Acts of the Russian Federation to counter the circulation of falsified, counterfeit, 
substandard and unregistered medicines, medical products and counterfeit dietary supplements"  
introduced amendments and additio ns to the Criminal Code of the Russian Federation, Code of 
Criminal Procedure of the Russian Federation, Code of Administrative Offences of the Russian 
Federation, establishing sanctions for offenses and crimes involving unlawful circulation of unsafe, 
falsified, counterfeit and unregistered pharmaceutical and medical products.  
4.63.   In addition, on 20 January 2014, amendments to the Code of Criminal Procedure of the 
Russian Federation and the Code of Administrative Offences of the Russian Federation have WT/TPR/G/345 • Russian Federation  
 
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  entered  into force. These amendments provide for an absolute destruction of light industry goods 
illegally transported across the customs border of the Russian Federation and withdrawn from 
commerce. Previously, it was allowed not only to destroy, but also to sal e the physical evidence 
(including light industry goods withdrawn from commerce).  
4.64.   The State Commission on combating illegal trafficking of industrial products has been 
established by the Presidential Decree of 23 January 2015 No. 31 "On the additional meas ures on 
counterfeiting the illicit trafficking of industrial products " in order to improve  state governance in 
the field of smuggling, production and trafficking of industrial products, including counterfeit 
goods.  
5  REGIONAL ECONOMIC IN TEGRATION  
5.1  Establishme nt of the Eurasian Economic Union  
5.1.  Between 2012 and 2015, the integration processes between the Russian Federation, the 
Republic of Belarus and the Republic of Kazakhstan were developing actively. The Treaty on the 
Eurasian Economic Union signed on 29 May 2 014 in Astana, and entered into force on 
1 January  2015, marked a new stage of economic integration. In 2015, the Republic of Armenia 
and the Kyrgyz Republic also acceded to the Eurasian Economic Union.  
5.2.  The key objectives of the Eurasian Economic Union inc lude sustained economic development 
that would allow for improved living standards in the Member States, creation of a single market 
for goods, services, capital and labor within the Union, as well as a comprehensive modernization, 
co-operation and enhance ment of competitiveness of the national economies in the global 
economy. The Eurasian Economic Union operates on the principles of mutually beneficial 
cooperation, equality and consideration for the national interests of its Member States.  
5.3.  Upon the entry i nto force of the Treaty on the Eurasian Economic Union, Russia has lost its 
right to unilaterally conclude regional trade agreements on trade in goods with the third countries. 
Therefore, free trade in goods with a third party may be established exclusivel y on the basis of a 
Free Trade Agreement between the Eurasian Economic Union and such third party. At the same 
time Russia can still autonomously conclude regional trade agreements on trade in services.  
5.4.  In 2015, the Agreement on the Coordination of Actions  for Intellectual Property Rights 
Protection was signed for the purpose of further developing cooperation within the Eurasian 
Economic Union.  This Agreement is aimed at creation of a legal framework for the implementation 
of information exchange and preven ting intellectual property rights ' violation within the customs 
territory of the Eurasian Economic Union.  
5.5.  Developing the legal framework of the Eurasian Economic Union and strengthening economic 
integration among its Member States is one of the key priorit ies of Russia 's trade policy.  
5.2  CIS Free Trade Area Agreement  
5.6.  Between 2012 and 2015, in addition to the integration processes within the Eurasian 
Economic Union, the integration processes within the CIS territory have continued to expand. On 
18 October 2011 the CIS Free Trade Area Agreement was signed. It provides for a free trade 
regime between the Russian Federation, the Republic of Armenia, the Republic of Belarus, the 
Republic of Kazakhstan, the Kyrgyz Republic, the Republic of Moldova, the Republic of Ta jikistan 
and Ukraine. In 2014, the Republic of Uzbekistan also acceded to the CIS Free Trade Area 
Agreement.  
5.7.  This Agreement establishes a duty -free access to its Members ' markets with regards to 
almost all goods, except for certain sensitive goods, and pro vides for negotiations on a gradual 
elimination of export duties.  
5.8.  In contrast to the previous bilateral free trade agreements between Russia and its CIS 
partners, the aforementioned Agreement provides not only a free trade regime, but also a uniform 
set o f rules for contingency measures, technical regulations, application of sanitary and 
phytosanitary measures, and customs administration.  WT/TPR/G/345 • Russian Federation  
 
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  5.3  Free Trade Agreement with the Socialist Republic of Viet  Nam 
5.9.  In addition to participating in dynamic integration proces ses within CIS, Russia has also been 
active in the global processes of regional economic integration and the conclusion of free trade 
agreements of a new generation. Thus, on 29 May 2015 a free trade agreement between the 
Eurasian Economic Union and its Me mber States, on the one side, and the Socialist Republic of 
Viet Nam, on the other side, was signed.  
5.10.   In comparison to  other free trade agreements previously concluded by Russia, the free 
trade agreement with Viet  Nam is unique both in terms of its scope an d its membership. It 
provides for free trade in goods, liberalization of trade in services and the establishment of 
companies both in Russia and Viet  Nam. In addition, the Agreement also provides for the 
protection of the intellectual property rights, coop eration in the field of e -commerce, establishment 
of unified principles of competition protection, transparency in the application of sanitary and 
phytosanitary measures, technical regulations, customs administration.  
5.11.   Due to the fact that Viet  Nam is one o f Russia 's key trading partners in the South -East Asia, 
this free trade agreement will contribute towards a further extension of trade relations between 
Russia and Viet  Nam, which will create favorable conditions for the participants of foreign 
economic ac tivities.  
6  FUTURE DIRECTIONS  OF RUSSIA 'S TRADE POLICY  
6.1.  The medium - and long - term trade policy of Russia will be determined by the need for 
economic reforms aimed at creation of a competitive economy based on an innovative model of 
development, diversifica tion of Russian exports, application of high technologies in the production, 
and development of competitive advantages in traditional industries.  
6.2.  Russia will develop its trade policy in accordance with the fundamental rules of the WTO and 
will continue to support its unique role as negotiating platform for global trade liberalization.  
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