Albania, Kosovo involved in new trade dispute

Kosovo exporters complain Albania is applying barriers on meat exports, while Albanian traders says Kosovo’s introduction of some private customs terminals has made exports more expensive

TIRANA, August 13 – Albania and Kosovo have been involved in a new trade dispute this time with meat and customs tariffs. Kosovo’s daily Tribuna says Kosovo traders have been unable to export their meat products to Albania in the past few days because of disputes over transportation conditions and storage temperatures with Albanian customs authorities. Burim Piraj, the head of Kosovo’s Meat Processors Association says the dispute has arisen because of different methods of measuring temperature during transportation. “Albania applies the digital thermometer to measure the storage temperature of meat during transportation while Kosovo and some European countries apply the mechanical thermometer,” Piraj says as quoted by daily Tribuna.
The dispute has blocked Kosovo meat exports to Albania despite the local food and veterinary agency giving the OK to meat transport conditions.
Meanwhile, Albanian exporters complain Kosovo has been recently applying barriers to their products with the introduction of some private customs terminals in Prizren, Ferizaj and Prishtina where unaffordable tariffs have been set. Albanian exporters claim the new tariffs have blocked some Albanian exports such as bricks because of the higher transportation costs and fees applied at the new terminal which charge Euro 40 per truck/day. They claim the new measures applied by the Kosovo authorities are making their products uncompetitive and favour Serb products.
Last March, the ban of two Albanian milk brands in Kosovo because of slightly higher levels of potentially carcinogenic aflatoxin sparked a new trade dispute between Albania and neighboring Kosovo.
Back in 2012, both Albania and Kosovo were involved in trade disputes over reference prices on cement and potato exports. In August 2012, the Kosovo government decided to lift the 35 percent reference prices on imported cement after fierce reaction by both the business community in Albania and Kosovo during its 50 days in force.
Earlier in 2012, Albania introduced reference prices on Kosovo potatoes which Kosovo considered as unacceptable under the CEFTA agreement and warned of imposing reciprocity measures. However, in April 2012 reference prices for Kosovo potatoes were restored to the previous levels.
Albania’s trade exchanges with Kosovo have considerably increased in the past few years after the construction of the Highway of Nation linking the two countries in the shortest possible way despite ongoing trade barriers and disputes over reference prices, but yet remain below their potential. Data from Albania’s state Institute of Statistics, INSTAT, show Albania’s exports to neighbouring Kosovo climbed to 17.4 billion lek (Euro 122 million) in 2012, up 18.5 percent compared to 2011. Compared to 2009 when Albania finished its part of the Durres-Kukes highway, exports to Kosovo have more than doubled. Metals and minerals account for around 70 percent of Albania’s exports to neighbouring Kosovo which ranked the second most important destination of Albanian exports in 2011 and the third top destination in 2012 after Italy and Spain.