BAKU, Azerbaijan, October 7. Kazakhstan's Kurultai (parliament) adopted in two readings a law ratifying the Protocol on the resumption of the Agreement between the governments of Kazakhstan and Russia on trade and economic cooperation in the supply of oil and oil products to Kazakhstan dated December 9, 2010, and amendments to it, according to the Kurultai press service.
"The protocol preserves the mechanism for annually agreeing on indicative balances of oil and oil product supplies and exchanging information between the competent authorities of the two countries, as well as the possibility of duty-free imports of oil products from Russia", the Kurultai's press service said.
Maintaining the duty-free regime is of practical importance for meeting Kazakhstan's domestic market needs for certain types of oil products. Expected savings in 2026 will amount to about 30 billion tenge ($67.9 million).
Of this amount, 5.59 billion tenge ($12.7 million) will be attributable to gasoline, 15.75 billion tenge ($35.6 million) to diesel fuel and 8.61 billion tenge ($19.5 million) to jet fuel.
The resumption of the agreement will also provide an international legal framework for cooperation in forming the indicative balance of oil and oil product supplies.
Thus, ratification of the protocol is important not only for continuing Kazakhstan-Russia trade and economic cooperation, but also for maintaining the stability of Kazakhstan's domestic oil product market and its energy security.
The US dollar equivalents are calculated at the exchange rate of 441.88 tenge per $1.
