Hasić: EU condition on market liberalisation with Croatia is discriminatory

European Commissioner for Enlargement Štefan Füle announced that the European Union will not automatically extend the decision on a privileged market regime with Bosnia and Herzegovina and threatened to suspend benefits for BiH from the beginning of 2016, stating that there will be no suspension from 1 January 2016 only if BiH agrees and reaches an agreement on applying the trade regime with the EU to Croatia as well. Economic analyst Duljko Hasić assessed this approach of the EU towards BiH as discriminatory, reports the Patria news agency.

- Insisting on such a deal places BiH in a completely discriminatory position, i.e., by favouring Croatia, the EU is sending a message to our country that cannot be complied with. At the same time, it must not be forgotten that BiH fully respects the application of this agreement and suffers enormous damage – says Hasić.

He further notes that over the period of one year, BiH lost more than 100 million marks due to the inability to export to the Croatian market.

- We lost that many jobs, and the EU should understand that as a reality. On the other hand, we are being asked to accept full liberalisation, which would put BiH's economy in an extremely difficult position. Especially after the consequences of the floods – notes Hasić.

This economic expert, who has long dealt with this topic, warns that if the EU insists on this principle, it would lead to the complete disappearance of the agro-agricultural sector.

- One half of Posavina, Semberija is completely destroyed in all areas. Now, in the case of liberalisation, it would erase everything that is left working. Both from a legal and economic aspect, it is unfounded for the EU to insist that one of its member states be favoured and have preferential treatment – added Hasić.

He also touched upon the proposals that were on the table, namely the system of reciprocity, which would imply the continuation of the regime that was previously in place within CEFTA, but on the principle of reciprocity for both sides.

- That is why I say that the insistence is discriminatory. The BiH side cannot accept it, because it would be doubly damaged, both from the aspect of exports and the inability to place its products such as milk, meat, etc., and on the other hand, it would fully allow the import of far more competitive products from Croatia without any restrictions, which would suffocate domestic production – added Hasić, reports Patria.