The article examines the advantages and disadvantages of the integration process in the field of tourism the three Commonwealth of Independent States countries: Kazakhstan, Russia and Belarus, in the framework ofthe Eurasian Economic Union. The main method of research is a comparative analysis of the positive and negative aspects of the processes for the tourism industry of the Republic of Kazakhstan. Given the fact that in modern conditions the international economic integration is one of the main manifestations of globalization of the economy and developed within this general universal process, the relationship of the Eurasian Economic Unionwith the international community was considered. Authors summarize that the formation of Eurasian Economic Union will require a lot of work to address the legal, institutional, technical, organizational and procedural issues in a number of interrelated areas. In this regard, the key is the correct sequence of steps, especially given the compressed timeframe.
World experience shows that real economic integration is possible and can be effective only between countries with well-developed economic potential. In the CIS, to such far can be attributed only to Russia, Ukraine, Belarus and Kazakhstan. This explains why it is three Commonwealth countries — Russia, Belarus and Kazakhstan — have initiated the formation of the Customs Union (CU), and in the future — the Common Economic Space (CES).
In this case, the term « economic integration» is meant not just cooperation, and the process of rapprochement and mutual adaptation of national economies, are accompanied by a coherent economic policy, the creation of institutions, which, instead of national states in part undertakes to perform certain functions in the field of economics and law, resulting in an overall, and then a single economic and legal space, the development of which is no longer exclusively the task of nation-states.
World experience economic convergence between developed and developing countries, as well as analysis of the economic relations between the CIS and the Eurasian Economic Community (EurAsEC) indicate the inevitability of the passage of a number of objectively necessary integration steps from its initial form — a free trade area and customs union — to more advanced — single customs territory and a common market of goods [1].
In particular, the evolution of trade and economic cooperation of EurAsEC member states covers the fundamental parameters sequential formation of a common market for goods:
- Trade and tariff policies between states, forming a common market for goods;
- Trade regime with third countries;
- Non-tariff regulation of foreign trade, the use of administrative levers;
- Indirect taxes (VAT and excise duties);
- Settlements of foreign trade;
- Currency regulation and currency control in foreign trade;
- The organization of customs;
- Educational and social organizations [1].
It is believed that each new stage of integration has to mature. Any haste inevitably lead to failure of the economic mechanism at a later coil. Thus, the prospect of positive changes in the development of mutual trade of the EurAsEC countries and TC depends on the one hand, from the output of these countries from the economic crisis and the rise of their national economies in the course of market reforms, restructuring of the economy and to improve its efficiency, and on the other — from development of integration cooperation, practical implementation issues related to the gradual formation of a common market of goods.
These processes are complex, and in some states of the EurAsEC and CU develop ambiguous. Taking into account the actual situation prevailing at the present stage should focus on the «settling» of the Customs Union on addressing such priorities formation of a common market for goods, as the normal functioning of the Customs Union of the common customs tariff and non-tariff regulation uniform foreign trade single currency control order, harmonization of tax policy in the implementation of foreign trade, the creation of favorable conditions for the occurrence of states — members of the Customs Union to the World trade Organization, the improvement of external borders of the Customs Union and the proper organization of customs control at these boundaries, creating a mechanism for implementing agreements and harmonization decisions [1].
Some positive developments emerging in the development of the national economies of the vehicle, suggest that the process of reducing the mutual trade in the context of the global economic crisis and a reduction in their interest to multilateral cooperation is temporary and in the medium term can be overcome. That post-crisis state of the national economies of the vehicle, the real prospect of the crisis on the margins of world politics and economics are pushing our countries to cooperate more closely [1].
Today, the creation of the Eurasian Economic Union (EEU) is becoming more real. Customs Union (CU) between Belarus, Kazakhstan and Russia is functioning for more than three years. Since the beginning of 2012, the Common Economic Space (CES) of the three countries have been formed. The same year at the 1st of February new supranational body of CES — Board of Eurasian Economic Commission (EEC) is begun its job.
At each new stage this process becomes deeper and broader, despite the very tight deadlines of ongoing integration.
So, if trade relations between the two countries has been simplified by the CU, the CES has not only facilitated the movement of goods, but also capital and labor in our countries. And the first «union ministry» Board of EEC appeared two years ago having the right to make decisions binding upon the authorities of the participating
Thereby, despite the criticism of Eurasian integration opponents and simply bystanders, integration processes in Eurasia amplified. Certainly, it took a little more time to make the first assessment of the effectiveness of the already established institutions and institutions of a new regional association creating now. Therefore, this article provides a general and preliminary assessment of the advantages and disadvantages of the created Eurasian Economic Union for the tourism economy, as well as proposing some methodological approaches to its formation.
The nascent Eurasian Economic Union is a special region of the world due to several factors.
Firstly, because it is formed within a particular historical pattern, namely the alternation of two successive forms of organization of the Eurasian geopolitical space changing each other — a single statehood and the system of states. Eurasian space is integrated under the rule of the Scythians, Huns, Khazars, Mongols, Slavs, Soviet Communists, then disintegrated [2]. The influence of recent regional geopolitical transformations on the world economic system as a whole has always been significant.
Secondly, a special combination of natural and geographic, demographic and economic conditions makes the region unique. Rich resources and economic potential of the Eurasian space is an important factor in the development of not only the region, but also the entire global economy.
Thirdly, a unique Eurasian culture had and has a great influence on the development of world civilization, absorbed the rich cultural heritage of Slavic, Turkic, and numerous other European and Asian ethnic groups living in the Eurasian space.
Considering Eurasia as a separate region, we recognize that there is sufficiently high potential of natural solidarity of the peoples living in the region, due to their living together for centuries, as well as ethnocultural, economic and migratory interaction.
Certainly to assess the future role of created Eurasian Economic Union in the global economy, resource and economic characteristics of the region, as well as those strategic policy, which aims to establish regional association are determinant.
Territory and resource potential of the Eurasian space* are enormous. Countries in the region have an area of 22.3 million km2 (16.4 % of the Earth's land), where 281 million people (4.4 % of world population) is living. The region concentrated 25 % of the known basic worldminerals, estimated in the range from 30 to 40 trillion dollars. The region accounts for about 40 % of world reserves of natural gas, 25 % coal, 20 % oil, 25 % forest, 13 % of arable land and 11 % of fresh water. Agricultural land is valued at 524 million hectares, while the share of the space’s countries in the global grain production has reached 63 % [3].
States of the region have considerable industrial potential (about 10 % of world industrial production). Considering that all three countries — participants of the EES are currently engaged in active diversification of their economies, with emphasis on the implementation of high industrial technology and innovation we can expect an increase in industrial capacity and the region's share in world industrial production. Anyway according to the CIS experts, the four most developed countries in the region –Russia, Ukraine, Belarus and Kazakhstan — subject to coordination of their actions and synergies in the foreseeable future can offer the world market 10–15 macro technologies (including aviation, space, nuclear, engineering, shipbuilding, bio and nanotechnologies, etc.) from 55 known in the world [4].
Eurasian region also has a unique transit potential. Transcontinental geographical position between Europe and the Asia-Pacific region enhances its global competitiveness. Development of land transport and implementation of several large international projects in the transport and communication sector will strengthen the role and importance of the region to ensure world economic relations [1].
Particularly noteworthy is the tourist potential of the territories of the participating EEU countries. Endless river, clear lakes, dense forests, steppes spacious, a huge amount of pristine natural places, shrines, museums, monuments of history and culture — all this potential for rational and proper use will provide not only the total revenue growth of the participating countries, but also become the basis sustainable development of their economies.
Thus, the comprehensive implementation of the resource, demographic and tourist potential of the Eurasian space could become the basis for economic growth, ensuring the stability of social development and improve the living standards of people in the region in terms of economic integration.
President of the Republic of Kazakhstan Nursultan Nazarbayev in his article «Eurasian Union: from the idea to the history of the future», which was published in the newspaper «Izvestia» last fall, praised the formation of the EESand Eurasian Economic Union in the future as integration breakthrough that creates real opportunities to get our country to a new stage of development.
In this regard, the creation of EEU we consider to be the right step towards the development of our states as a major regional association with a strong scientific and technological production and resource potential, able to compete with the U.S., EU and China. Certainly, the process of regional integration can not be spontaneous, come only from the immediate benefit, and should be a conscious and controlled process aimed at achieving long-term socio-economic goals and the realization of geopolitical interests, which are common to the Member States of the regional associations [1].
*In this article Eurasian space is geographically treated within the borders of the Commonwealth of Independent States, i.e., in the borders of the former Soviet Union without the Baltic countries.
For EEU as sequential stages of development of the integration process, the following features:
- integration on a new political and economic basis;
- model supranational union;
- efficient link between Europe and Asia-Pacific;
- coordination of economic and monetary policy;
- association of natural, human and financial resources;
- improving industrial and technological competitiveness [5].
To determine the role of EEU in the sustainable development of post-Soviet economic space should be noted EEU priorities that focus on:
- macroeconomic policy coordination of the participating countries;
- creation of institutional and legal frameworks;
- consultation with community and business organizations;
- creation of analytical centers and institutes;
- matching social policy, environmental protection, security;
- harmonization process of WTO accession [5].
Geo-economic position of countries — participants of the EEU involves the creation and implementation of the preconditions for integration and cooperation on the principles of the unity of the economic sovereignty of the countries interested in the stability of the common economic space. Priority countries EEU economic development becomes a common space and strengthening of the position -oriented macroeconomic policy coordination, which in turn implies:
- structural modernization;
- increasing investment attractiveness;
- development of small and medium-sized businesses;
- formation of innovative space [5].
Considered, Eurasian platform features as the basis of economic integration, it is advisable to go to the study of issues concerning the development of the tourism economy of the EEU Member States.
It is worth noting that for all EEUMember States without exception tourism is low-income area of the economy. This is due to the fact that countries in the region having a significant resource and industrial potential. They focused on the development of oil, steel, engineering and manufacturing as well as agroindustry, not paying due attention to the development of the service sector, especially tourism.
Tourism today — is the sphere of social and economic complex, which in many countries has become a thriving industry. Currently, each 6th workplace worldwide is fall in tourist business. According to UNWTO forecasts, the number of international tourist arrivals will reach 1.6 billion by 2020, i.e. 3 times higher than in 2000. Daily consumption of tourists excluding air transportation will rise to $5 billion per day.
In Kazakhstan, as in other developed countries, tourism is one of the basic branches of the economy, the most important part of the production infrastructure. Tourism along with other infrastructure sectors provides the basic conditions of social life, as an important instrument for achieving social, economic and foreign policy goals. The tourist industry offers a variety of opportunities to improve the quality of life. Among them: the organization of improving rest and spa treatment, providing cultural and leisure sports, creating new travel itineraries, excursions and study tours, the development of business tourism: conferences, symposia, corporate events and international cultural exchange. Sustainable tourism development is a guarantee of labor productivity, strengthen related industries, improving conditions and living standards.
In this regard, objective and systematic assessment of the advantages and disadvantages of regional integration becomes an important point. As well as the rejection of a purely pragmatic approach: what benefits each country will receive as a result of this integration, and what it will lose.
Advantages and disadvantages of regional integration
T a b l e 1
Obviously, the formation of EEU will require a lot of work to address the legal, institutional, technical, organizational and procedural issues in a number of interrelated areas. In this regard, the key is the correct sequence of steps, especially given the compressed timeframe.
In our view, the process of formation of the EEU concept applies two stages. At the first stage member countries could focus on NAFTA agreement model, where there is no centralized supranational institutions or independent regulators, and then, in the second stage can proceed to the integration project on the EU model. Accordingly, this approach involves the integration of two levels: the first — a single market without a single currency without a common economic policy, the second — full coordination of economic policies actually federal structures.
In this regard, at the level of the Customs Union Commission and other governing structures EEU must decide such fundamental issues related to integration, such as:
- Coordination of macroeconomic policies of member countries. This is certainly a necessary precondition of market integration;
- Institutional scheme that goes beyond the EEU in terms of structures, powers, funding, and other jurisdictions, particular importance will be the structure constituting a legal mechanism for resolving disputes that have not yet been reflected;
- Consultation procedure. For example, the EU and NAFTA model created with the active participation and partnership with business organizations, legal institutions and public organizations;
- Financing institutions EEU and related program costs;
- Creation of independent regulatory authorities to define technical standards and control over natural monopolies;
- Policies to develop markets and promote competition. Thus be determined by the nature and direction of mergers and acquisitions, as well as the position of the EEU in respect of small and medium-sized businesses;
- The terms and conditions of entry into the This will have serious consequences for economic activity in the participating countries;
- A common approach in other areas, particularly in the areas of employment, the environment and seHowever, each country — participant of the EEU should define its national action program, containing answers to the following questions:
- Creation of an internal consultation mechanism involving the parliamentary and political entities, the business community, trade unions and other public associations;
- Addressing internal organization of the market in each country, which is a condition of regional market integration and should take into account the rules, regulations and standards of the WTO;
- Definition of national interest in the formation of regulatory approaches;
- Definition of economic sectors to be excluded from the program of market integration;
- Assessment of the impact of the integration of the financial markets;
- Assessment of the social and regional aspects of the single market;
- Prediction of migration due to formation of the EEU;
- Addressing issues of public procurement [1].
Regional trade and industrial companies participating countries also need to prepare for the unification of the market. Obviously, the formation of the EEU leads to serious changes in the business environment. Moreover, if this process will coincide with the entry into the WTO, companies will have to simultaneously respond to the new regional operating conditions and adapt to outside pressure. This causes them to carefully evaluate their objectives in the following areas:
- Creation of business models taking into account the planned parameters EEU, especially in relation to the industry to be excluded from the single market;
- Creation of business models based on new macroeconomic, regulatory and commercial realities;
- Assessment of the necessary financing for mergers and acquisitions and possible restructuring;
- Assessment of the necessary funding for the technological renovation of production processes;
- Assessment of regional markets;
- Identify sources of raw materials;
- Assessment of the supply channels and needs in infrastructure provision [1].
It is also clear: to talk about long-term prospects of the EEU and its influence on the formation of global economic trends, require a qualitative transformation and modernization of the economies of the EEU. Therefore, the main problems of the current stage of development of the EEU is to overcome the problems caused by peculiarities of post-Soviet economic policies and trends on the world market, and the creation of a single modernizing and innovative space.
For possession of the EEU countries rich in natural resources and with it the existence of a backward base for processing identified formation of an appropriate structural policy aimed at the priority development of the mineral sector to the detriment of other sectors of the economy. In the current situation within the EEU member states having the same problem, have the most realistic prospects to take advantage of existing specialization, especially in developing the market near abroad (i.e. CIS). In addition, EEU countries, particularly Kazakhstan and Russia, it is realistic to develop new technologies for quality participation in the global energy and food markets [4].
That is, our country must make full use of all its competitive advantages, and it is not only rich in natural resources, the value of which the world community has been steadily increasing, but the transit transport and communications capacity; growth in domestic demand EEU; availability of internationally competitive industries; preserved complementary manufacturing of communication (such as the power system); as well as the overall strategic program development and management of the EEU.
So today 's agenda should be considered EEU regulations spheres of competition, investment, intellectual property, services, environmental protection, space exploration, labor standards, etc. In other words, the EEU should solve many issues that do not relate solely with a simple tariff reduction.
It is clear that the formation of a common policy EEU negative impact of the global market is manifested in the preservation of the danger level of socioeconomic development of member countries in view of the same structure of the economy, the raw material orientation of foreign trade policy. On the other hand, in the framework of the Customs Union and the EEU and Russia, and Kazakhstan, in the export basket dominated exclusively raw competitive products, it is easier to develop a common scenario of competitiveness based on the accelerated development of the latest global knowledge and technology, the development of their own R&D and innovation of production, reform academic science and the creation of a single innovation system linking major strategic program positions modernization of the economies of the participating countries [4].
In other words, the main goal of economic policy at the present stage EEU regional integration should be the development scenario of competitiveness on the one hand, the main unifying strategic program positions modernization of the economies of Belarus, Kazakhstan and Russia, and on the other — which is the basis for overall economic strategy, a common goal development of TS, the EEU and the global market.
Despite the undeniable need and modernization and innovative development for the EEA economic modernization at the present stage of development is the most sold as a short-term and medium-term strategy, and innovative economy — as a long term strategy for the development of post-industrial countries in the context of the EEU.
In the current economic conditions, the only possibility for the transition to an innovative economy gets boost at the state level of modernization processes (or adoption of a strategy of accelerated modernization), which is exactly what happens in Kazakhstan, Russia and Belarus.
However, despite the common economic problems of the countries of the Customs Union, the presence of national strategies and the need for modernization in the shortest time EurAsEC program documents EEU not indicated the need to move to an innovative economy as the goal of modernization programs overall integration space. Therefore, the concept should be developed to create innovative space that unites the scientific sphere, education and innovation EEU, which would be designated periods (or stages) of modernization, economic structure and the expected sources of innovation investment.
Obviously, in the case of the successful implementation of both internal modernization processes of the participating countries, and modernization programs overall integration space EEU role as a regional integration grouping in addressing economic issues of international cooperation will increase.
References
- Muzaparova L. The «Analyst» magazine, 2012, 1/(65), р. 64–68.
- Glinkina S.P., Zevin L.Z. Eurasia in search of an identity, Moscow, St. Petersburg, 2011, p. 3 Ibid, р. 94.
- Pokrovsky V.A. Society and Economy, 2004, 5, 6, p.
- Esyekina L. EES mechanisms to modernize the national economy // Formation of EES: status, problems and prospects. Proceedings ofthe science and practical conference (Almaty, 15th of November, 2011) / Under B.K.Sultanov, Almaty: KISR under the President of RK, 2012, р. 40–49.