Estonia, Russia sign aviation, road transport pacts

ST. PETERSBURG (BNS) - Estonian Prime Minister Mart Laar and Russian
deputy PM Valentina Matviyenko, co-chairs of an Estonian-Russian
intergovernmental committee, on July 4 signed an aviation agreement
and an agreement on road transport between the two countries.

Speaking after their meeting in the Russian city of St. Petersburg,
Laar and Matviyenko said they were planning a new meeting this fall.

At that meeting, economic agreements between the two countries,
including one on preferential trade terms which would lift double
Russian duties on Estonian imports, could be signed.

The aviation agreement signed on July 4 was initiated by the two
parties on April 24 this year, allowing regular flights to resume
between Tallinn and Moscow at the beginning of May.

The agreement with Russia liberalizes the two countries' aviation
market similarly to an accord Estonia has with Finland.

Under the treaty, either side may issue operating licenses for a line
in the established timetable to one or more carriers. It also allows
flights to be operated to other destinations in both countries
besides Tallinn and Moscow.

The agreement also makes provision for tariffs, customs duties,
aviation firms' business operations, consultations and settlement of
disputes.

The draft of the agreement was agreed upon between the aviation
authorities of the two countries on Jan. 14 this year.

Regular flights between Tallinn and Moscow were suspended at the
beginning of this month when Russia refused to approve the summer
flights schedule of Estonian Air.

In a tit-for-tat move, Estonia refused to issue a permit for regular
flights on the line to Estonian Airlines - ELK, a partner of Russia's
Aeroflot.