AKIPRESS.COM - An Interim Free Trade Agreement between Mongolia and the Eurasian Economic Union (EAEU) was signed during the meeting of the Supreme Eurasian Economic Council and the 4th Eurasian Economic Forum in Minsk on June 26–27, Montsame reported.

Deputy Prime Minister and Minister of Economy and Development Uchral Nyam-Osor, officials from the Ministry of Foreign Affairs, Ministry of Economy and Development, and the Mongolian National Chamber of Commerce and Industry participated in the forum.

Under the agreement, Mongolian producers and businesses will be able to export 367 types of products tariff-free to the EAEU's member countries, including the Russian Federation, the Republic of Belarus, the Republic of Kazakhstan, the Kyrgyz Republic, and the Republic of Armenia.

Among the arrangements, a 5% customs duty on diesel, kerosene, fuel oil, and lubricants will be exempted, reducing fuel prices by 147 tugriks per liter. Regarding cigarettes, the agreement specifies no increase in physical quantity while compensating customs duty through excise tax.

The quota for both sugared and unsweetened milk powder was agreed to be set at 1,500 tons, and for eggs at up to 90 million pieces with a reduced duty of 7.5% instead of 15%. Vodka will be subject to a 30% duty, and beer to 18.75%. Cheese, processed cheese, and butter imported into Mongolia will be subject to a 7.5% duty.

The EAEU's member states offer a $15 billion market for meat, leather, wool, and cashmere products. The agreement is expected to add value to livestock raw materials and improve incomes for herders and producers.

The agreement will be submitted to the Mongolian Parliament for ratification.