Ulaanbaatar /MONTSAME/ The Ministry of Foreign Affairs (MFA) held a press briefing today to present actions being carried out on expanding Mongolia’s trade and economic cooperation with its neighbor countries. Head of Foreign Trade and Economic Cooperation Department of the MFA V.Oyu provided information on ongoing works in directions of increasing the volume of export and expanding foreign trade.

She stressed that the newly formed Government is giving priority to increase export and reduce encountering barriers on foreign trade. Since the budget condition is becoming tough with declined performance on foreign trade due to the COVID-19 pandemic, foreign trade, especially export is of great significance to revive the economy and improve payment capacity. In aims of increasing export and promoting foreign trade, the MFA is focusing on the following four main directions.

Firstly, we are attaching attention on boosting export with our two neighbors. To accomplish this goal, works such as strengthening Mongolia’s Trade Representative Offices in Beijing and Moscow and opening Trade Representative Office in Vladivostok, Russia. have started. And more attention will be paid on diversifying products being exported to China, especially raising the volume of meat export. Furthermore, we are ensuring preparations to establish Free Trade Agreement with the Eurasian Economic Union, which includes countries such as Russia, Belarus, Kyrgyzstan, Kazakhstan and Armenia.

Secondly, legal basis has been formed by mutually agreeing principles to develop trade, economic and investment cooperation with the third partner countries such as the United States and Japan. In addition, specific works have being carried out to expand trade relations with the Republic of Korea and India.

Thirdly, “Mongol Export” program is successfully running in its second year. The program aims to create export environment and diversify export. And it necessarily requires public-private partnership. Corresponding officials are studying possibilities to export four types of products to other countries passing through the European market with support of the European Union. The products are beauty products, sea buckthorn oil, leather goods, yak and camel wool.

In the fourth place, works are underway to join the Asia-Pacific Trade Agreement (APTA) in regard with expansion of export market. The Parliament of Mongolia ratified this agreement in 2019 and its implementation will begin in 2021. This is a Free Trade Agreement joined by six countries namely China, South Korea, India, Bangladesh, Laos and Sri-Lanka. We see this region as a market with 2.6 billion customers in total. By joining the agreement, it will become able to enjoy tariff discount of 5-100 percent on 10.667 types of products to import and export products to these six countries.