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Bulgarian Telegraph Agency (BTA), 96-12-02

Bulgarian Telegraph Agency Directory - Previous Article - Next Article

From: Embassy of Bulgaria <bulgaria@access1.digex.net>


EMBASSY OF BULGARIA - WASHINGTON D.C.

BTA - BULGARIAN TELEGRAPH AGENCY

2 December, 1996


CONTENTS

  • [01] BULGARIA FULL W.T.O. MEMBER AS OF TODAY
  • [02] BULGARIA WANTS OBSERVER STATUS IN SCHENGEN GROUP
  • [03] UN THIRD COMMITTEE ADOPTS RESOLUTION ON BULGARIAN MINORITY
  • [04] U.S. AEROSPACE FIGURES VISIT BULGARIA
  • [05] PRESIDENT ZHELEV: TODAY O.S.C.E. HAS MORE GLOBAL FUNCTIONS ON SECURITY MATTERS
  • [06] NUCLEAR ENERGY COOPERATION WITH RUSSIA
  • [07] BULGARIAN-MACEDONIAN TALKS ON TRADE LIBERALIZATION
  • [08] BULGARIAN, YUGOSLAV DEFENCE MINISTRIES SIGN COOPERATION PLAN
  • [09] LIBERAL-DEMOCRATIC ALTERNATIVE PARTY FOUNDED, PRESIDENT ZHELEV AMONG FOUNDERS
  • [10] STAGE OF DON PROJECT COMPLETED
  • [11] PRIVATIZATION SODI SALE TO BE SIGNED IN EARLY DECEMBER
  • [12] FOREIGN COMPANIES INTERESTED IN BULGARIA'S GOLD FIELDS
  • [13] TRADE SURPLUS IN 1996
  • [14] ECONOMIC ENVIRONMENT FOR SMALL BUSINESS

  • [01] BULGARIA FULL W.T.O. MEMBER AS OF TODAY

    Sofia, December 1 (Vanya Ivanova of BTA) - The protocol on Bulgaria's accession to the World Trade Organization (WTO) takes effect as of today. Bulgaria enters the WTO, the organization that succeeded GATT, after nearly 20 years of negotiations. The accession protocol was signed on October 2, 1996, and was ratified by Parliament on October 24.

    Entering the WTO Bulgaria gets a chance to be an equal partner in international trade which in turn opens up an opportunity to start negotiating for accession to the Central European Free Trade Agreement, Bulgarian Trade Minister Atanas Paparizov yesterday told an interviewer of the Bulgarian National Radio. The country has already signed free trade agreements with the Czech Republic, Slovakia and Slovenia and negotiations to that effect are underway with Poland and Romania.

    Reduction of customs duties for some imported goods and duty- free import of other as of next year are some of the steps Bulgaria is committed to take as WTO full member. The customs duty for 263 industrial goods must be reduced to under 35% as of today, BTA was told by Yuliana Nikolova of the Industry Ministry International Integration Department.

    The customs duty for some types of pulp will drop to 5-0% and the Industry Ministry will demand that as of next year pulp be imported free of duty. There will be a pronounced markdown of customs duty for jewelry, bottles and jars for the food processing industry; machines for the mining industry and medical equipment will be imported free of duty. As of today, no customs duty will be charged for wool while fresh and tinned fish, among others, will be imported at lower duty.

    Quotas have been allocated for duty-free import of 83 tonnes of quality beef, 42 tonnes of pork at 15% duty, 83 tonnes of cheese and curds at 17% duty, as well as low-duty import of chocolate and haricot beans, among other goods. The quotas are valid only for the December 1-31 period.

    In compliance with Bulgaria's obligations as WTO full member, the government last Thursday decided to drop the 10% charged on the taxable value of imported used cars. It also decided to appoint a permanent representation at the WTO as part of this country's representation at the United Nations and other Geneva-based international organizations.

    [02] BULGARIA WANTS OBSERVER STATUS IN SCHENGEN GROUP

    Sofia, November 29 (BTA) - Bulgaria joined the group of states including Estonia, Latvia, Lithuania, Poland, Romania and Slovakia which came up with a joint declaration in Brussels stating willingness to join the Schengen group as observers like the Scandinavian countries, the Bulgarian Foreign Ministry said. With this demarche the Central and Eastern European states will seek to harmonize with the Schengen standards their actions on border protection during the preparations for membership in the European Union.

    A meeting of EU interior and justice ministers with their colleagues of the EU-associated states from Central and Eastern Europe was held on Thursday in Brussels. Bulgaria was represented by Deputy Justice Minister Radka Yossifova and Paraskev Paraskevov, Secretary of the Interior Ministers.

    On the agenda of the meeting were also issues concerning drug smuggling.

    The Bulgarian delegation reported on the adopted National Drug Control Programme Drugs for the period 1996-1998, the implementation of the agreement for combat against organised crime and drug-trafficking in the framework of the Black Sea Economic Cooperation and about the different forms of bilateral cooperation. The meeting focused in particular on the progress of improving immigration legislation as part of the joint efforts to combat illegal immigration.

    [03] UN THIRD COMMITTEE ADOPTS RESOLUTION ON BULGARIAN MINORITY

    New York, November 30 (BTA) - The 51th session of the United Nations General Assembly yesterday adopted a resolution on human rights in Bosnia and Hercegovina, Croatia and the Federal Republic of Yugoslavia. It is the first resolution at this level that refers to the Bulgarian national minority in the Republic of Serbia, said the Bulgarian permanent representation at the UN.

    The resolution, adopted by the Third Committee (on social, humanitarian and cultural matters), calls upon the authorities in FR Yugoslavia to take urgent measures to protect the rights of persons belonging to the Bulgarian minority. The document also insists for respecting the rights of minority groups in Kosovo, Sandjak and Vojvodina. The resolution outlines the existing humanitarian and human rights problems in the post-war period in former Yugoslavia, and recommends measures to be taken by the countries in the region.

    [04] U.S. AEROSPACE FIGURES VISIT BULGARIA

    Sofia, November 29 (BTA) - Today President Zhelyu Zhelev and National Assembly Chairman Blagovest Sendov received Richard McLeod, President of the US Aerospace Foundation, and Dr Ronals M. Sega, a crew-member of several missions of the shuttles Discovery and Atlantis. They are visiting Bulgaria at the invitation of the Atlantic Club, the Bulgarian Aerospace Agency and the Eureka Foundation.

    Dr Sega informed president Zhelev about the international programme for space exploration. It envisages the launching of an international space station into orbit and the building of a facility on the Moon by 2008 where astronauts will prepare for a mission to Mars. According to the programme, people should set foot on the red planet in 2016.

    According to the American guests, Bulgaria can participate in space exploration by supplying space food and devices and conducting medical and biological research. President Zhelev said that a Bulgarian space greenhouse was being used on a US space station at the moment.

    During the meeting with National Assembly Chairman Sendov the American guests dwelt on the most important moments in the US space research programme. The sides discussed the possibility of cooperation in this area. The meeting was attended by Prof. Boris Bonev, President of the Bulgarian Aerospace Agency.

    Later today McLeod and Sega had a meeting with representatives of the Atlantic Club, politicians, diplomats and public figures.

    [05] PRESIDENT ZHELEV: TODAY O.S.C.E. HAS MORE GLOBAL FUNCTIONS ON SECURITY MATTERS

    Sofia, December 1 (BTA) - A Bulgarian delegation led by President Zhelyu Zhelev today left for Lisbon to participate in the fourth meeting of the Organization for Security and Cooperation in Europe (OSCE). The delegation also includes First Deputy Foreign Minister Irina Bokova. Dr. Zhelev is expected to address the forum.

    "The OSCE underwent a serious evolution. When it was called Conference on Security and Cooperation in Europe, the two military blocs met to negotiate peace matters. Today the organization has much more global functions on security matters," the President said upon his departure for Lisbon. Dr. Zhelev expects that the forum will discuss security and security architecture, the responsibilities and the links among regional security systems.

    The Bulgarian President believes it is also important to outline the priorities of the other European organizations as the OSCE is not the only one dealing with security: NATO, the Western European Union, the European Union and the Council of Europe, too, are competent on these matters.

    "We are supportive of a development of the all-European process within the framework of the OSCE and believe that it gives ample opportunities for the Bulgarian national interests," Deputy Foreign Minister Irina Bokova said adding that "we stand by the position taken by President Zhelev and there are no differences on this matter".

    [06] NUCLEAR ENERGY COOPERATION WITH RUSSIA

    Sofia, November 29 (BTA) - The signing of a working Protocol for Cooperation in nuclear energy brought to a close a visit here by Russia's Minister of Atomic Energy Viktor Mikhailov. Questions concerning the development of nuclear power in Bulgaria, the problems of resources and the possibility to operate the older generation reactors, Units One to Four, at the Kozlodoui Nuclear Power Plant (on the Danube), figured on the agenda.

    At a news conference today, Bulgarian Energy and Energy Resources Minister Roumen Ovcharov said that the sides had reached agreement not only on the remodelling and updating of Kozlodoui Units One to Four but also on the overall conditions for cooperation in atomic energy. Russia is providing 150 million US dollars for participation of its companies in a European consortium which is planning to remodel Kozlodoui Units Five and Six and to build a spent nuclear fuel storage.

    Mr Ovcharov said the problem of spent nuclear fuel must be settled at a meeting of officials of the two countries' ministries in Moscow in mid- December. The transportation of nuclear fuel, not only across Russia and Bulgaria but also across Moldova and Ukraine, will also be arranged at that meeting. Bulgaria has already signed an agreement to this end with Romania, Mr Ovcharov specified. The final results of the testing of samples from Kozlodoui Unit One will be available early next month.

    [07] BULGARIAN-MACEDONIAN TALKS ON TRADE LIBERALIZATION

    Skopje, November 29 (BTA exclusive by Kostadin Filipov) - A Bulgarian business delegation, led by Deputy Trade Minister Vladimir Kurpachev, paid a two-day visit to Macedonia. On the delegation were Bozhidar Bozhinov, President of the Bulgarian Chamber of Commerce and Industry, and a large group of businessmen in chemical industry, ferrous and non-ferrous metallurgy, wine production and banking.

    At a meeting at the Macedonian Ministry of the Economy Kurpachev and his Macedonian counterpart Blagoi Petrusevski considered the possibilities for boosting bilateral relations in economy, banking and the construction of infrastructure projects of mutual interest. The sides stressed the necessity of liberalization of trade. Sofia and Skopje have already signed agreements to this effect with other partners.

    The Macedonian side said it wants to establish free trade areas with all its neighbours. Bulgaria and Macedonia decided to specify the differences in the two countries' legislations which vary only in technicalities, according to the two parties' shared view. A joint expert group will be set up and it will draft a bilateral agreement on the establishment of a free trade area.

    A two-day seminar was held at the Chamber of Economy of Macedonia with the participation of businessmen and economic managers from the two countries. The two parties arrived at the conclusion that commercial exchange between the two countries may be increased if the existing administrative barriers are overcome and agreements on economic cooperation, on the avoidance of double taxation and on mutual protection of investments are urgently signed. The sides evaluated as abnormal the drop in the commercial exchange which last year alone fell from 400 million US dollars to 100 million US dollars.

    A seminar on the problems Bulgaria and Macedonia encounter in the transition to market economy took place at the Macedonian Academy of Sciences and Arts. The participants discussed common and specific problems in the restructuring of the two countries' economies. Bulgarian experts noted as major problem for Bulgaria hyperinflation and the Macedonians - unemployment which is the highest in Eastern Europe.

    [08] BULGARIAN, YUGOSLAV DEFENCE MINISTRIES SIGN COOPERATION PLAN

    Sofia, November 29 (BTA) - A Plan for Cooperation in 1997 between the ministries of defence and the general staffs of Bulgaria and the Federal Republic of Yugoslavia was signed here Friday by the two countries' deputy defence ministers, Dimiter Mitkov of Bulgaria and Lieutenant Colonel General Ratomir Milovanovic of Yugoslavia. The document proceeds from an agreement signed in February 1996 by the two countries' defence ministers, Dimiter Pavlov of Bulgaria and Pavle Bulatovic of Yugoslavia. During the two-day visit, which ended today, the Yugoslav military delegation was received by Defence Minister Dimiter Pavlov and the Chief of Staff of the Bulgarian Army, Colonel General Tsvetan Totomirov.

    [09] LIBERAL-DEMOCRATIC ALTERNATIVE PARTY FOUNDED, PRESIDENT ZHELEV AMONG FOUNDERS

    Sofia, November 30 (Iva Toncheva of BTA) - President Zhelyu Zhelev, whose term expires in January, was among the founders of a new party set up under the name Liberal-Democratic Alternative. The major objective of the party is the establishment of a presidential republic in Bulgaria.

    Among the founders of the Liberal-Democratic Alternative (LDA) are politicians, outstanding intellectuals and journalists. Boris Gulubov, a professor of chemistry at the St. Kliment Ohridski University of Sofia, was elected LDA Chairman.

    There is room for a new party in the political space of Bulgaria, for an alternative to the status quo in politics, President Zhelev said upon the LDA founding. He believes that the model of transition adopted with the 1991 Bulgarian Constitution, is essentially wrong and has exhausted itself. He said that his idea is proven by the fact that after seven years of democratic government the International Monetary Fund is proposing a currency board that will influence directly both economy and politics. Dr. Zhelev, who emerged an ardent advocate of the presidential republic about an year ago, said that Bulgaria needs both new personalities and a new form of government.

    A presidential republic or a republic with strong presidential powers will help the country get out of the grave crisis and complete successfully the reforms, said novelist Georgi Mishev, also a LDA co- founder.

    The LDA will work for the adoption of a new electoral law based on the majority principle and new modern laws on referenda, local government and government employees. The founders stressed that setting up the LDA they seek to offer an alternative to the status quo closely guarded by the proponents of the bipolar model. In a declaration of intent the LDA says it will try to create a broad public movement for amending the Constitution, holding a referendum to decide on the presidential republic and summoning a Grand National Assembly to vote the change in the form of government.

    [10] STAGE OF DON PROJECT COMPLETED

    Sofia, November 29 (BTA) - The western optic fibre ring, one of the main stages of Bulgaria's Digital Overlay Network (DON) project, was officially opened today by the managements of the Committee of Posts and Telecommunications and the Bulgarian Telecommunications Company (BTC).

    "The western optic fibre ring is one of the largest telecommunication projects ever realized in Bulgaria. It allows the transmission of high- quality voice, picture, data and multimedia," BTC Chairman Mihail Danov said at the opening ceremony. The implementation of this project is an example of good economic cooperation between Bulgaria and Great Britain, said British Ambassador to Bulgaria Roger Short who also attended the opening. Mr Short wished successes in this area in the future.

    The optic fibre cable of the ring was supplied and installed by a consortium of the Nortel and Pirelli British companies. A number of Bulgarian companies, including Telecomplekt-Sofia, Teleco Consortium, Montazhi Inc., took part in the building up of the system. The western optic cable ring covers a 818 km-long section in Western Bulgaria. The cable is 840 km long. It links 26 population centres in the country, including Sofia, Pazardjik, Plovdiv, Haskovo, Svilengrad, Stara Zagora, Kazanluk, Gabrovo, Veliko Turnovo, Lovech, Pleven, Vratsa, Montana, Kostinbrod and others. The Stara Zagora-Veliko Turnovo section was built by Alkatel.

    The system comprises 12 digital exchanges of which 7 are transit, 4 local and one international. An atomic clock installed in the international digital exchange based in Sofia provides stability of the voice transmitted. The cable has 24 optic fibres. The equipment in the central and multiplex facilities are supplied by Siemens and Ericsson.

    According to Pirelli and Nortel representatives, the western optic fibre ring is one of the largest modern digital systems in Europe. It can be used to transmit international traffic.

    [11] PRIVATIZATION SODI SALE TO BE SIGNED IN EARLY DECEMBER

    Sofia, November 29 (BTA) - The privatization deal for Sodi, Bulgaria's largest chemical works at Devnya, Northeastern Bulgaria, is expected to be signed in the first ten days of December, Deputy Prime Minister and Minister of Economic Development Roumen Gechev said in reply to an MP's question in Parliament today. The investor, General Chemical Group of the United States, buys 60 percent of Sodi for 160 million US dollars. The company undertakes to invest 100 million dollars over the next five years and to keep all jobs, which are about 3,000.

    The technical parametres of the deal were coordinated last week, Deputy Prime Minister Gechev said. Ten percent of the amount will be paid on signing the deal, the rest of it is payable within a month's time, Gechev said. Bulgaria invested about 260 million US in the construction of the Sodi chemical works. The Deputy Prime Minister pointed out that its privatization would not disrupt supplies to Sodi's consumers in the country.

    Gechev described the contract for Sodi with the US company as the largest single successful privatization deal. In his words, the negative reactions on the part of certain circles alleging in the Bulgarian press that Sodi has been sold for a song and that the US company will not be able to meet the payment are "undisguised anti- Government policy". Roumen Gechev stated expressly that the deal does not harm Bulgaria's national interests.

    [12] FOREIGN COMPANIES INTERESTED IN BULGARIA'S GOLD FIELDS

    Sofia, November 29 (BTA) - The tender-winning international oil companies have invested some 20 million US dollars in Bulgaria between 1995 and 1996, said the Chairman of the Committee of Geology and Mineral Resources Simeon Kalaidjiev told a news conference today. During the same period, merely 1, 200,000 dollars have been budgeted by Bulgaria for oil and gas prospecting and exploration, he added.

    Apart from oil, major international companies have recently been showing interest in Bulgaria's ore occurrences as well, and above all in the gold fields. Concrete intentions are being expressed for conduct of feasibility studies, prospecting and exploration work, formation of joint ventures and investments in the order of millions of US dollars, Mr Kalaidjiev said. He specified that new prospective terrains and shows of gold and gold-silver ores have already been identified. The eastern part of the Rhodopi Mountains (South Central Bulgaria) show the best prospects for the time being, with gold reserves of over 200 t of metal proven so far.

    Mr Kalaidjiev said that the findings of a second drill of the gas field off Capa Galata (in the Black Sea shelf) will be announced before the end of the year. The data so far suggests a diurnal gas discharge similar to that in the first drilling, i.e. some 1 million cubic metres. By international standards, the deposit will most probably qualify as medium-large in reserves.

    The Committee of Geology and Mineral Resources has drafted a Subsoil Natural Resources Bill which will be submitted to the Council of Ministers shortly, reporters learnt at today's news conference. The adoption of a modern law on the matter will attract foreign investment, considering the keen interest which foreign companies take in Bulgarian mineral deposits, mainly of precious metal ores, non-metal resources and rock facing, Mr Kalaidjiev said.

    [13] TRADE SURPLUS IN 1996

    Sofia, November 29 (BTA) - Bulgaria is to report trade surplus of 166 million US dollars by September 31, 1996, Minister of Trade and Foreign Economic Cooperation Atanas Paparizov said reporting on his Ministry's performance in 1996. "We expect also surplus on the current balance," Paparizov added.

    The drop of Bulgarian exports is not tangible. Compared with last year the decrease is 100-150 million US dollars. Bulgaria exported goods of 3,288 million US dollars' worth and its imports equalled 3,122,500,000 US dollars.

    Chemical products accounted for the largest share of exports and the share of ferrous metals was reduced by two percent. The EU countries are Bulgaria's largest market with a share of 40.3 percent. Bulgarian exports to Russia account for 19 percent of total exports and 29-30 percent is the share of Russian imports in Bulgaria, which runs some 300 million dollars' worth trade deficit with Russia. This tendency is alarming considering that the Yamburg agreement expires in late 1996 and after that Bulgaria should have to buy natural gas at international prices, the Bulgarian Trade Minister said. Negotiations on additional export of Bulgarian goods to Russia are under way, Paparizov added.

    [14] ECONOMIC ENVIRONMENT FOR SMALL BUSINESS

    Sofia, November 29 (BTA) - A conference on the economic and legal environment for the promotion of small and medium-sized enterprises in Bulgaria was held here on Friday. It was attended by Atanas Paparizov, Minister of Trade and Foreign Economic Cooperation; Lyubomir Dachev, Minister of Industry; Lyubomir Filipov, Governor of the National Bank of Bulgaria (BNB); Cristos Katsanis, President of the Bulgarian International Business Association; Kalin Mitrev, Director of the Privatization Agency; MPs, economists, and experts.

    Addresses to the participants were made by President elect Peter Stoyanov; John Tenant, Head of the US Agency for International Development Mission; Rose Likins, Charge d'Affaires of the US Embassy in Sofia; and Ognyan Shentov, Director of the Center for the Study of Democracy.

    Kiril Velev, economic adviser to President Zhelyu Zhelev, presented a report that commended specific changes in the economic policy and the legislation to promote small business. No policy of encouraging small business has been formulated so far, Velev said. He cited a World Bank source that the involvement of Bulgarian entrepreneurs in corruption rings is rather a question of survival than of making higher profits. Small and medium-sized business can be promoted by appropriate legislation and appropriate tax and administrative policies. Velev suggested the establishment of a state agency for the encouragement of small business and activation of crossborder cooperation.

    In the opinion of Gancho Ganchev, President of the Agency for Economic Coordination and Development, if a currency board mechanism is applied successfully, small businesses will operate in better conditions because there will be stable prices and better opportunities for saving and investment.


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