Developing Economic Cooperation with Russia is “Vital for National Interest”

Expansion of the Paks nuclear power plant, an important area of Hungarian-Russian cooperation.

It is in the national economic, security and strategic interest to develop economic cooperation between Hungary and Russia in areas not affected by international sanctions, Minister of Foreign Affairs and Trade Péter Szijjártó stressed in Budapest.

The Foreign Minister said that times are extremely difficult in Europe today, with the migration crisis since 2015 and the war in Ukraine posing serious challenges to the continent, to which the right answers have not been found. He pointed to

the growing uncertainty rather than economic performance and the collapse of the previous model based on a combination of Western technologies and Eastern energy sources.

The minister underlined that sanctions against Russia were not working, and that a significant number of European companies and countries were maintaining their economic cooperation, albeit in a roundabout way.

“We do not agree with sanctions, but as they are enshrined in European law, we respect them of course,” he noted, adding that the government usually vetoes when a particular EU proposal would seriously harm national interests.

At the same time, in areas not covered by sanctions, our goal is to develop economic cooperation between Hungary and Russia.

This is our national economic interest, our national security interest and our national strategic interest,” he stressed. “The whole of Europe is doing business with the Russians, but a lot of people deny it, we do not need to do it,” he continued.

At a joint press conference with Russian Health Minister Mikhail Murashko, Mr Szijjártó also touched on energy issues. He welcomed the fact that Moscow remains committed to respecting the contracts guaranteeing Hungary’s gas and oil supplies.

According to the politician,

5.3 billion cubic meters of natural gas have already arrived through the TurkStream pipeline this year, almost equal to the full year’s volume last year.

He noted that the government intends to further strengthen the importance of this transport route, as it will also ensure that Hungary will not be affected by the loss of transit through Ukraine.

He announced that an agreement had been reached to further expand cooperation between MVM and Gazprom, so that the Hungarian company could play a greater role in regional gas trade.

He also pointed out that 3.2 million tons of oil had arrived via the Friendship pipeline this year, and that the flexibility of Hungarian and Russian companies had allowed security of supply to be maintained despite recent measures that threatened it.

On the Paks expansion, the minister emphasized that the process had reached another milestone, with over a thousand people already working on the site, including employees of US, German and French subcontractors.

Péter Szijjártó reported major corporate successes in the agricultural sector, with a Hungarian company now among Russia’s top five feed producers, meaning that Hungarian companies now account for 10 percent of the local feed market. In addition, Hungarian livestock shipments to Russia have increased dramatically with the decline in Western European shipments, and last week new licenses were approved to expand poultry exports, and Hungarian machinery and technology were purchased to upgrade a meat plant in Saint Petersburg.

Furthermore, he pointed out that Hungarian giant Gedeon Richter plays a strategic role in the supply of pharmaceuticals in Russia, serving over 10 million patients in the country, generating revenues of HUF 117 billion (EUR 297 million). He added that

an agreement had also been reached on the development of cooperation in oncology and radiotherapy, and talks had begun on the production of viral vector vaccines in Hungary.

Finally, the politician underlined that an agreement had also been signed on cooperation in higher education, so that the first Hungarian-Russian rectors’ conference could take place next year, a Hungarian-Russian university association would be set up and 200 Russian students would continue to receive scholarships to study at Hungarian institutions.

Via MTI; Featured image via Facebook/Paks II. Atomerőmű Zrt.