Belgrade, May 25, 2010

SERBIA

TADIC MEETS WITH GABONESE FOREIGN MINISTER
BELGRADE, May 24 (Beta) - President Boris Tadic in Belgrade on May 24 met with Gabonese Foreign Minister Paul Toungui to discuss bilateral, political and economic ties, said a statement from Tadic's office.
Tadic and Toungui agreed that the several decade long political relations between the two countries are at a high level and that there is a good basis for improving economic ties.
Tadic stressed that Serbia supports Gabon's good policy in Africa and its important role in the African Union and the Nonaligned Movement. The two officials described relations between the two countries in multilateral organizations as being at a high level.

JEREMIC: GRATITUDE TO GABON FOR SUPPORT TO SERBIA
BELGRADE, May 24 (Tanjug) - Serbian Foreign Minister Vuk Jeremic today thanked Gabon for its explicit and principled support to Serbia in regards to the issue of Kosovo and Metohija's independence, announcing that the bilateral relations between the two countries, based on traditional friendship and mutual support, are entering a new and better phase.
"It is not easy to support Serbia. Countries worldwide are under pressure to give up the support. Gabon was also under pressure, but did not give in, and that is why we are grateful," Jeremic told a news conference after his meeting with Gabon Foreign Minister Paul Toungui. "When necessary, Serbia will support Gabon in the future just like Gabon is backing Serbia today and no one will be able to dissuade us from it," Jeremic said.
Gabon, a non-permanent member of the UN Security Council, has not recognized the independence of Kosovo.
Minister Toungui said that his country supports the principle of solving problems within the United Nations and, in particular, the principle of non-interference in internal affairs of other states. In the international arena, the Republic of Gabon has always been in favor of peace, dialogue and understanding among nations, Toungui said. As for international issues, Gabon is an advocate of multilateralism, trust in the UN and particularly of non-interference in internal issues of other states, Tounugi pointed out.
The two ministers evaluated today's meeting as very successful, announcing concrete projects in the areas of agriculture and pharmaceutical industry. Jeremic announced that the mixed committee of the two governments will be reestablished soon.
Toungui recalled that Belgrade and Libreville have had diplomatic relations for fifty years so far, that they have successfully cooperated and expressed his satisfaction over the willingness of both countries to intensify their cooperation.
Jeremic stated that the relations are entering "a new and better phase."

TADIC RECEIVES NEW AMBASSADORS FROM BOSNIA, IRAN
BELGRADE, May 24 (Beta) - Serbian President Boris Tadic on May 24 met with Borisa Arnaut, the newly appointed ambassador from Bosnia Herzegovina, who presented his credentials, Tadic's cabinet announced.
Tadic also received the credentials of the new ambassador from Iran, Abolghasem Delfi, on May 24.
The Serbian president welcomed the Bosnian and Iranian ambassadors, voicing the belief that relations between Serbia and their countries would continue to improve and grow during their terms.
The presidency of Bosnia Herzegovina put forward Arnaut for the post of ambassador to Serbia in 2007, but he only received his agreement in February 2010.
Media in Bosnia claimed that Arnaut had used his influence as deputy Bosnian interior minister during the war to obtain Bosnian citizenship for several mujahideen in Bosnia, members of the Third Corps of the Army of Bosnia Herzegovina.
Bosnia was without an ambassador to Serbia for about three years.

SERBIA - EU

DJELIC: WORK TOWARD EU ACCESSION LOWER IN FIRST QUARTER
BELGRADE, May 24 (Beta) - Bozidar Djelic, Serbia's deputy prime minister for European integration, said on May 24 that fulfilling programs had been "less successful" in the first quarter of 2010 than in previous periods.
Presenting a report on implementing the National Program for Serbia's integration into the European Union for the January-March 2010 period to the parliamentary European Integration Committee, Djelic said the "success percentage was close to 60 percent, that is, 57 percent," but that the goal was to return it to "74 percent," the level it has been since July 2008.
On April 15, the government of Serbia adopted the first trimester report.
"The goal is for the second quarter to be much more fulfilled; a lot is being done toward that and we are in touch with all ministries so that Serbia can get back to the performance level that we had until the end of last year," Djelic said. He cited a large number of important laws which have been debated in public for a long time as the reason for lower completion levels by ministries, stating that it was time to wrap some things up and send the laws to Parliament. Another reason was that some ministries had a limited number of people to work on important legal documents for important adopted laws. A third element was that the state decided to absorb savings measures mainly by reducing the state's own expenses, which resulted in downsizing in ministries. This is not to be taken as an excuse, new systematization is finished now and teams can continue working, Djelic said.
The deputy prime minister stressed that demonstrating good progress was important for a positive report from the European Commission, due to be published in November, "so we will have strong arguments" that Serbia should get the goahead for consideration of its EU candidacy.

DJELIC: SAA RATIFICATION PROCESS EXPECTED TO START IN MID-JUNE
BELGRADE, May 24 (Tanjug) - Serbian Deputy Prime Minister for European Integrations Bozidar Djelic on Monday expressed his expectations that the European Union Council of Ministers will decide in mid-June on starting the process of ratification of the Stabilization and Association Agreement (SAA) with Serbia.
Djelic underscored that Serbia's goal is to become an EU candidate member in mid-2011, and to start negotiations on its accession in the EU by mid-2012. "Based on a report by ICTY Chief Prosecutor Serge Brammertz, which we expect to be positive, we may also expect the EU Council of Ministers to decide in mid-June on the beginning of the SAA ratification process," Djelic said presenting a report on the implementation of the National Program for Serbia's integration in the EU for the period January-March 2010 to the parliament Committee for European Integrations. He said that it would be a clear political signal that Serbia, which will be an EU associate member after the ratification process is completed, is on a European path.

EU INTEGRATION, KOSOVO SEPARATE PROCESSES, CLAIMS DJELIC
BELGRADE, May 24 (Beta) - Deputy Prime Minister Bozidar Djelic said in the Parliament on May 24 that there are voices in Europe who would like to link Serbia's European integration with the issue of Kosovo, but stressed that these are two separate processes.
"Our position is that they are two separate processes and the EU policy is that they are separate. However, in the Bundestag and some other parliaments there are also other voices and this is inevitable," Djelic added.
Djelic answered questions while presenting to Parliament's European Integrations Committee the quarterly report on the implementation of the National Program for Serbia's EU Integration.
"Those voices are isolated, and what is much better and more positive is that the factions that have thus far claimed that Kosovo's status has been resolved are now realizing, due to the situation in the field, that it would not be sustainable to have a solution on Kosovo without Belgrade being a part of that solution," Djelic said.
He went on to say that there are voices in the EU who would want to link these two issues and that there are voices in Serbia who would want "to blackmail us with Kosovo in exchange for Europe," stressing that "Serbia will never accept that."
Djelic stressed that for the first time different tones have appeared in the lower house of the German parliament, the Bundestag, from the factions who have thus far backed Kosovo's independence. The question has been raised as to which solution to Kosovo's status would be acceptable also to Belgrade.

NO EU WITHOUT KOSOVO ISSUE SOLUTION, SAYS BRINGEUS
BELGRADE, May 24 (Beta) - Outgoing Swedish Ambassador to Serbia Krister Bringeus on May 24 said Serbia cannot join the EU without resolving the problem of Kosovo.
"Let me be very, very clear unless Serbia resolves the issue with Kosovo, Serbia will not become a member of the EU," the ambassador told Belgrade's Avala TV, adding: "And this is not a new condition. It is a fact, a simple fact. And this is advice I want to convey."
The ambassador said further that he would convey to his successor that he must press Serbia to engage in economic and political reforms in order to become a member of the EU, because becoming a member of the EU is not "a free ride." "It is about internal reform and about hard work. And this Serbia must do. Secondly, Serbia must not forget that it will not be able to enter the EU unless it has solved its neighborly relations," Bringeus said. The ambassador explained that he had decided to be very specific and very clear, because "I love Serbia and want Serbia to become a proud member of the EU."

SERBIA – ECONOMY, FINACE

CVETKOVIC: ECONOMIC SYSTEM SHOULD BE MORE RELIABLE
BELGRADE, May 25 (Tanjug) - Serbian Prime Minister Mirko Cvetkovic believes that it is very important to register as many companies as possible in Serbia and thus include them in the country's tax system, Tanjug has been told in the prime minister's office.
The Serbian government is working intensively on establishing a reliable and predictable economic system and promotion of competitive economy in order to register as many companies as possible in Serbia rather than abroad, the statement said. The Serbian government will definitely reconsider the legal regulations that refer to the area and in the process, it will follow European model, Cvetkovic announced.
Serbian President Boris Tadic stated Sunday that it is unacceptable that certain domestic companies, which are registered abroad as offshore companies, do not pay tax to Serbia in case of their selling.

DINKIC: IDEA OF DOMESTIC REGISTRATION OF COMPANIES IS GOOD
BELGRADE, May 25 (Tanjug) - The idea of Serbian President Boris Tadic that national companies should be registered in their native countries is good, but Serbia should not be the first one to introduce this regulation, not until the European legislature in that area is settled, Serbian Minister of Economy and Regional Development Mladjan Dinkic stated Tuesday.
Dinkic said that Europe is currently discussing this issue, adding that it would be Europe adopted a regulation whereby national companies would have to operate in their own countries, but he pointed out that there is a problem of multinational companies.
Dinkic told journalists in Sava Center that Serbia must observe the European legislation and that the country will carefully monitor the situation regarding this issue, which will be the job of the Serbian EU Integration Office. Tadic stated two days ago that it would be inadmissible if some domestic companies registered abroad as offshore companies were sold without paying taxes in Serbia.

AGREEMENT SIGNED ON NEW AUTOMOTIVE PARTS FACTORY
BELGRADE, May 25 (Tanjug) - An agreement on building a new automotive parts factory in Kragujevac, which is supposed to employ about 400 people, was signed Tuesday by Serbian Deputy Prime Minister and Minister of Economy and Regional Development Mladjan Dinkic, President and Chief Executive Officer of the Italian company Magneti Marelli S.p.A. Eugenio Razelli, and Mayor of Kragujevac Veroljub Stevanovic.
The value of investment amounts to EUR 60 million, and the factory should supply parts for 200,000 vehicles a year. The agreement was signed within the framework of the first International Automotive Industry Conference, held in Belgrade on May 25, and it envisages setting up a plastic parts production line within an old local factory. Serbia will provide EUR 10 million worth of grants and make sure that the new factory operates in the free customs zone, as well as EUR 800 in subsidies for every new worker. The city of Kragujevac has taken the obligation to equip the site with infrastructure and provide local tax relief.

KOSOVO AND METOHIJA

FEITH: CONSIDERABLE PROGRESS MADE IN KOSOVO
PRISTINA, May 24 (Beta) - International civilian representative in Kosovo Pieter Feith said in Washington that considerable progress had been made in Kosovo lately, but that the reforms must continue, the International Civilian Office in Pristina announced on May 24.
Feith, who is in the U.S. for consultations at key institutions in Washington, said he would be informing officials at the State Department and other officials of the Obama Administration about that progress.
The press release from the International Civilian Office in Pristina said Feith had pointed out the need for the government of Kosovo and its international partners to focus on reforms continually.
The citizens and people of Kosovo are devoted to approaching European and Euro Atlantic structures, and we can best support those efforts through reform, Feith said, adding that important steps had been taken in decentralization and forming a constitutional court.
According to him, the challenge remained to ensure that good leadership and respect for rights, especially those of minority communities, become the main characteristics of Kosovo. Feith said he was grateful to the U.S. for strong and continuing support to the people of Kosovo, including support to the work of the International Civilian Office. He went on to say that his office was proud to have employees from America and Europe, and that their contributions were appreciated.