During the last meeting with his administration, Lukashenka spared no harsh words addressing the leadership of the “union state” of Belarus and Russia. “If they, choking on oil dollars and other foreign currency influxes, decided to center us out… let’s ask then such a rich Russia to pay us for the services we provide”.

The Belarusian president demanded to make Russia pay transit fee for transporting its oil through Belarus, to pay rent for the land which is occupied by the Russian gas and oil pipelines and military bases, and even reconsider the status of the Russian state property in Belarus.

Aliaksandr Lukashenka admitted, that he had sanctioned signing the unfavorable agreement, which sets high gas prices for Belarus and provides selling “Belatrangsaz”, the Belarusian gas pipeline operator, to Russians. According to the president, it was planned, that in return Russia would abandon its decision to make Belarus pay the duties on oil imports. However, this issue “has not yet been solved”.

Right after the meeting with Lukashenka the Belarusian Council of Ministers set a new duty on the Russian oil transit - $45 pro ton, starting 1 January 2007. The Russian oil pipeline operator “Transneft” believes the decision is illegitimate.

Belarusian oil refineries are working as usual, using their oil reserves. However, the export of the refined oil products from Belarus has become unprofitable and had to be temporarily stopped.

Russia also imposed a ban on Belarusian sugar – no more trains with the Belarusian sugar are allowed to cross the border of the Russian Federation.

It is unlikely, that any new decisions will be made before January, 9. - the Russian governemt is on a Christmas vacation.

Rarely the protective economic measures are being accompanied by such spicy remarks. The new steps of Aliaksandr Lukashenka will most likely further spoil the Belarus-Russian economic relations. In the future it may force both governments to stick to the by the rues of the free market.

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