Ukraine needs to thoroughly analyze consequences of entering free trade zone with EU or Customs Union, say experts

Kyiv, May 11 (Interfax-Ukraine) - Ukraine should have clear proposals from the European Union and the Russian Federation in order to make a decision on the signing of an agreement on free trade zone with the European Union or entering the Customs Union with Russia, Kazakhstan and Belarus, experts have said.

"We need to quite clearly understand what one and the other side are expecting from us," MP Vladyslav Lukyanov (the Regions Party) said at a panel discussion at Interfax-Ukraine on Wednesday.

The MP noted that today there is no clear mechanism from the EU on Ukraine's accession. At the same time Ukraine is not ready to become a full member of the Customs Union by giving up its "sovereign rights."

"I think we will have difficult talks [on the issues]. This issue must be resolved not in a bilateral but a trilateral format, and we need to build relations between Russia, the EU and Ukraine," said Lukyanov.

Expert Valentyn Zemliansky said that there are no clear advantages in the energy sector that Ukraine could gain on entering either the Customs Union or a free trade zone with the EU.

He noted that three years after the signing of documents at a conference in Brussels on the EU's participation in the modernization of the Ukrainian gas transportation system, the EU had not allocated any funds for this purpose.

In addition, according to Zemliansky, Ukraine has not received any clear proposals regarding energy prices for Ukraine or the conditions of the creation of a joint venture based on Naftogaz Ukrainy and Gazprom after it enters the Customs Union.