Put up for trade: the EAEU and Tunisia are nearing the start of negotiations on the FTA

The Eurasian Economic Union (EAEU) has come close to launching negotiations on a free trade area with Tunisia. The preparation of the report of the joint research group is at the final stage, and a decision may be made by the end of June. Moscow's interest in Tunisia is connected not only with trade and economic prospects, but also with the geopolitical importance of the country as one of the key points of Russia's presence in North Africa and the Mediterranean against the background of expanding cooperation with the states of the Arab world. At the same time, the EAEU is exploring the possibility of increasing the network of free trade zones with other countries in Asia and Africa. In Moscow, this is considered as one of the priority instruments of foreign economic policy against the background of the restructuring of global trade chains, the Ministry of Economy told Izvestia.

Prospects for trade with Tunisia

By the end of June, the Eurasian Economic Union (EAEU) may make a final decision on launching negotiations on a free trade agreement with Tunisia.

— The preparation of the report of the Joint Research Group (SIG) on Tunisia is at the final stage of approval. We expect that by the end of the first half of the year it will be possible to reach a formal decision by the leaders of the EAEU member states on launching negotiations on concluding a free trade agreement, the Ministry of Economic Development of the Russian Federation confirmed to Izvestia.

The Free trade Area (FTA) with this country is particularly promising for the agro-industrial sector.

— Tunisia will be able to increase the supply of olive oil to the Russian markets, and the Russian Federation will be able to export grain to the republic. This is an important step for diversifying trade flows and strengthening economic ties with Africa," said orientalist Leonid Tsukanov.

Olive harvesting in Tunisia

Photo: TASS/EPA/MOHAMED MESSARA

The Ministry explained that Tunisia is not the only priority. The Eurasian Economic Commission (EEC) is currently compiling a list of countries for new trade unions. Pakistan is of particular interest, given its geographical location and a market of more than 250 million people, amid the growth of its trade with the Russian Federation. Over the past five years, the trade turnover between the two countries has increased by 15%, and Russian exports to the Islamic Republic have increased by 35%, which indicates the untapped potential of trade relations with Islamabad.

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At the same time, the Ministry of Energy clarified that it was premature to talk about launching the negotiation process. The decision should be preceded by the preparation of the SIG report, which will identify the possible effects and risks of trade liberalization. Such work can be started in a short time, subject to the consent of all EAEU member States.

Loading of export barley onto a ship in the port of Astrakhan

Photo: TASS/Dmitry Dadonkin

Leonid Tsukanov stressed that the expansion of the FTA with African countries has not only economic, but also image value, as it will strengthen ties with the continent, expand trade turnover and remove the stereotype of Moscow's alleged international isolation.

In 2024, Russia became the Tunisian Republic's fourth largest trading partner among exporting countries. The trade turnover between the two countries is about $2 billion. The Tunisian Ministry of Economy notes that the republic's products, especially in the food, industrial and technological sectors, are in high demand on the Russian market. In addition, due to its geographical location and numerous trade agreements, this African country provides domestic companies with access to regional and international markets with high potential.

Bizerte Port in Tunis

Photo: TASS/Zuma

The EAEU has already signed free trade agreements with Vietnam, Iran, Indonesia, the UAE and Serbia. Back in May 2023, Vladimir Putin emphasized the strategic importance of creating a free trade area. "It is important to continue forming free trade zones with interested countries, including inviting them to jointly use the international payment infrastructure available to the Five members in national currencies and digital currencies of central banks," the Russian president stressed.

Tunisian Dinar

Photo: Getty Images/NurPhoto

In the case of an agreement with Tunisia, the competitiveness of its products in the markets of the EAEU countries will increase, as well as access to goods and services will be simplified. The republic will be able to take advantage of the experience of these countries in the field of industry, technology and infrastructure development, said Kami Torki, a columnist from the republic.

"The agreement will allow Tunisia to increase exports and diversify international partnerships, which is of strategic importance against the backdrop of global economic instability and growing competition," the expert told Izvestia.

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At the summit in St. Petersburg, the leaders of the association discussed how to boost trade among themselves and with other countries.

Relations between Russia and Tunisia

From a political point of view, Russia is interested in developing cooperation with Tunisia, which belongs to two important regional spaces — the Arab world and the Mediterranean. This situation gives bilateral relations a special geopolitical significance and makes the African republic an important partner of Moscow.

The similarity of the approaches of the two countries is also evident in the assessment of key international issues. Russia and Tunisia advocate the formation of a multipolar world order, support the central role of the United Nations in the system of international relations, consider the use of force unacceptable without the approval of the UN Security Council and emphasize the principle of non-interference in the internal affairs of States.

On one of the streets of the city of Monastir in Tunisia

Photo: TASS/Anatoly Strunin

Practical cooperation is also being built on this basis. The Russian Embassy previously noted to Izvestia that political and business contacts between Moscow and Tunisia are stable and regular, this is largely due to the accumulated experience of fruitful cooperation. The republic positively perceives the intensification of Russian policy in the African direction and demonstrates readiness to expand mutually beneficial relations.

This approach fits into the broader strategy of the Russian Federation in North Africa. Russian diplomacy in the Maghreb countries — Algeria, Morocco, Tunisia, Libya, and Mauritania — is focused on realizing Moscow's strategic interests, primarily in the fields of energy, trade and economic cooperation, security, and strengthening its position on the African continent as a whole. In this context, the Maghreb is seen as one of Russia's key entry points into Africa. The development of relations with the states of the region allows Moscow to consistently increase its presence on the continent.