Observer status in the Customs Union could protect Ukraine from unfair measures in mutual trade with the union's member states, Ukrainian Prime Minister Mykola Azarov has said.

"We agreed on an important principle – we don't want any preferences, but let's avoid discriminatory measures against Ukraine," he told a Tuesday press conference in Kyiv.

"That's the status we want to have. As we are not a member of the Customs Union and we don't want any privileges and preferences connected with [membership], and we have to decide that no discriminatory measures will be applied in mutual trade between our countries," the premier said.