DUSHANBE, March 25, 2011, Asia-Plus  -- Russia has canceled export duty on light oil for Kyrgyzstan, while the issue of canceling Russian tariffs on oil and gas exports for Tajikistan still remains unsolved.

Kyrgyz news agency, KirTAG, reports that an agreement on canceling Russian tariffs on oil and gas for Kyrgyzstan has been reached during a recent two-day visit of Kyrgyz Prime Minister Almazbek Atambayev to Moscow.

Kyrgyz media outlets report that Kyrgyz prime minister told Kyrgyz TV channels that in exchange for restoration of the tax-free status, Kyrgyzstan has exempted Russia from rental payment for its military base deployed in the Kyrgyz city of Kant.

“The military base is necessary for Kyrgyzstan.  Russia is our strategic partner, we have common past and common future.  This year, we will mark a number of important dates, including the 150th anniversary of voluntary accession of Kyrgyzstan to the Russian Empire.  There ought not to try to earn money on this.  Due to cancellation of export duty on oil and gas we will save more than 200 million U.S. dollars.  What is more important, US$20 million that we would receive for the base or the saved US$200 million?  Moreover, we will preserve normal relations between the countries,” Atambayev was quoted as saying.

In the meantime, the issue of canceling Russian tariffs on oil and gas exports for Tajikistan still remains unsolved.

The source at the Ministry of Energy and Industries (MoEI) says they have sent all necessary documents were sent to the Russian side at the beginning of this year already.  “The Russian side is still considering this issue and no one knows when it will be solved,” he noted

We will recall that like Kyrgyzstan, Tajikistan was exempted from paying Russian tariffs on light oil exports from 1995-2010.  When Russia cancelled Tajikistan''s tax exemption last May, Tajik Prime Minister Oqil Oqilov sent a letter to his Russian counterpart Vladimir Putin asking for the tax-free status to be restored.

Radio Liberty’s Tajik Service yesterday quoted former Tajik Trade and Economy Minister Davlat Usmon as saying that the issue of customs duties and tariffs is usually completely an economic issue but that it currently "looks to be political."  Usmon noted that in May Russia increased tariffs for Kyrgyzstan and Tajikistan but later waived the new tariffs for Kyrgyzstan. Usmon said Moscow probably is seeking something from Tajik officials in exchange for such a waiver, like a Russian military base in Tajikistan.