BAKU, Azerbaijan, Dec. 22
By Nargiz Sadikhova - Trend:
Whilst Kazakhstan’s oil exports to the EU from January through September 2020 remained on a year-to-year basis almost steady compared to 2019, the trade value of those exports decreased substantially, EU official told Trend.
The official said that Kazakhstan is the third largest non-OPEC oil exporter to the EU and also an important uranium exporter. As such, Kazakhstan is particularly relevant for the EU’s energy diversification and security of energy supply.
"The energy relations between the EU and Kazakhstan are positive. We agreed already back in 2006 on a joint Energy Memorandum of Understanding (MoU). Regular technical exchanges on all energy matters are taking place in the context of this MoU or under the Enhanced Partnership and Cooperation Agreement (EPCA) structure. The EPCA entered fully into force in March this year and also includes a comprehensive energy chapter," the official said.
The official also noted that COVID-19 crisis had a significant impact on the economy, both in the EU and in Kazakhstan.
"COVID-19 led, inter alia, to a decline in oil demand and had a negative impact on global oil prices. Whilst Kazakhstan’s oil exports to the EU from January through September 2020 remained on a year-to-year basis almost steady compared to 2019 (decrease by 3 percent), the trade value of those exports decreased substantially (decrease by 33 percent)," the official said.
The EU official emphasized that this oil price volatility is a reminder to nations in Central Asia, which often depend heavily on the export of fossil fuels, to diversify their economies further.
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