EEU to Make Oil Trading Market More Transparent

Eurasian Economic Commission has announced a new project aimed to form a united market of oil and oil products within the Eurasian Economic Union.

According to a proposal by the Supreme Eurasian Economic Council, all EEU member states have to sign the agreement on the common market on oil and oil products before January 1, 2024.

To make this proposal come true, the EEU is going to develop a list of rules which will be applied to oil trading within the union and oil trading on an exchange. Both documents should supplement the current EEU international agreement on common markets.

As the EEC website reported, the public discussion of the proposal about the second phase of the creation of a common oil market will last until May 11.

A plan to create a common market of oil and oil products within EEU was approved by the SEEC in 2018. The second phase under this plan must be implemented before 2024. Over this period, authorized bodies of all member states should develop the text of the new international agreement and secure approval for it. The third and final phase will end in 2025 when the common markets of oil and oil products within EEU will emerge.

Another initiative of the SEEC is to create a working group on a common stock market for commodities. 

«The strategy of the integration process within EEU is to create a common stock commodities market, including the market of derivatives. EEU states are already leading producers of oil, gas, wheat and primary metals. Therefore, they are ready to act as leading players in price setting for commodities they are producing,» said Sergey Glazyev, EEC minister of integration and macroeconomy.