“Varangians”' way to the rivers

RF Government has approved the procedure for obtaining of permits for sailing along Russia’s internal waterways by vessels flying the foreign flag. Applications are to be filed directly to the Ministry of Transport now, which simplifies the procedure. It is a next step towards opening of inland waters for foreign vessels, which is to be finished by Russia’s joining WTO.

RF Government Order No 85 dated February 16 ratifies the Provision on obtaining of permits for sailing along Russia’s internal waterways by vessels flying the foreign flag.
It should be reminded that Russia vessels alone are allowed to sail along Russia’s internal waterways according to cl. 1 of Article 23 of Inland Water Transport Code of the Russian Federation. However, certain foreign flag vessels are allowed to Russia’s inland waters upon special permit obtained from the RF Government.
According to the Provision an application should be filed by a related foreign authority to the Ministry in at least 60 days before the planned voyage of a foreign flag vessel within the RF internal waterways. The document should contain the following information in Russian or: name of the vessel (if the name cannot be given in Russian it may be given in Latin transcription in compliance with international vessel documents); nationality of vessel; name of ship owner; vessel’s port of registration; vessel’s type; basic dimensions; sailing route; information about cargo and passengers; duration and purpose of the voyage (number of passes) at the RF internal waterways.

Having received the information needed, the Ministry of Transport develops the draft decree of the RF Government with specifications for border, customs and other procedures related to control of a vessel, its crew and passengers.

The draft decree is to be approved by the Ministry of Foreign Affairs, Ministry of Defense, FSB, Ministry of Internal Affairs, Federal Customs Service, Ministry of Health and Social Development, Ministry of Agriculture and State Fishery Committee. The approval procedure should not exceed 10 calendar days.

RF Ministry of Transport then informs the relevant authority of a foreign state on a decision taken by the RF Government within 5 calendar days from the date it is signed.

As the RF Ministry of Transport explained, earlier applications were filed to the RF Government which used to give orders to the Ministry of Transport on coordination of the draft government decree with related federal authorities.
The new Provision simplifies the procedure due to direct application to the Ministry of Transport and precise specification of information needed for obtaining of a permit.

The Conception of Inland Water Transport Development till 2015 (adopted in 2003) envisages stage by stage opening of internal waterways of Russia for foreign flag vessels within the framework of Russia’ joining of WTO and agreements on free navigation. However it contains a remark that Russia’s water transport faces a number of problems like insufficient financing of inland waterways and hydraulic engineering structures, obsolescence of the fleet and deficit of modern vessels as well as modern handling complexes in river ports etc. Thus there is a risk that Russian shipping companies may lose competition with foreign ship owners. Representatives of shipping companies say they are afraid of impossibility to ensure safe navigation in European part of the inland deep water system rather than of the competition. Both Volga-Baltic and Volga-Don waterways have almost exhausted their capacity. However, integration with global trade processes is inevitable hens opening of inland waters for foreign vessels is not far off.