Russia agrees with Serbia's arms sale to Armenia, Serb president says

31/12/2006
Caucaz europenews
By The Associated Press ©

Belgrade, 31 December 2006 - Serbia has secured Russia's consent to proceed with a planned arms deal with Armenia, defusing earlier objections from Moscow that caused upheaval at a Serbian weapons manufacturer, the president said Friday.

President Boris Tadic said "the issue has been successfully resolved" in his meeting with Russia's ambassador to Belgrade, Aleksander Alexeyev, who has given "a positive response" to Serbia's appeal that the Zastava arms company is allowed to sell guns and rifles worth US$2.55 million (€1.94 million) to Armenia.

Earlier this month Zastava criticised the Serbian government for withholding permission for its previously arranged sale to Armenia, allegedly because Russia — Serbia's traditional ally — objected to the Serbian supplier venturing into a market usually supplied by Moscow.

Zastava, based in the industrial city of Kragujevac, 90 kilometers (55 miles) southeast of Belgrade, is majority state-owned but its management enjoys some autonomy in negotiating arms deals. Actual exports, however, can be completed only with a government clearance.

Zastava's unionized workforce of 2,600 has been on strike, demanding financial compensation from the government because of the blocked sale to Armenia. Defense officials have flatly rejected the demand.

The dispute deepened this week when 80 Zastava workers seized control of Kragujevac city hall, saying they would keep up their protest until the authorities either approve the export or cover any loss caused by the ban.

There was no immediate comment to Tadic's announcement from Zastava managers or protesting workers.

The issue has become an embarrassment for Prime Minister Vojislav Kostunica ahead of Jan. 21 parliamentary elections. Tadic is his political rival, heading the opposition Democratic Party that currently leads in opinion polls.


Note: Above are excerpts from the article. The full article appears here. Clarifications and comments by me are contained in {}. Deletions are marked by [...]. The bold emphasis is mine.

Weapons producers give deadline

27 December 2006
B92

KRAGUJEVAC -- Zastava weapons factory workers spent their second night inside the Kragujevac municipal parliament.

They have been protesting all week, asking the state to pay reparations for prohibiting the export of weapons to Armenia.

President of the factory’s union Jugoslav Ristić said that they are demanding discussions with someone who is familiar with the problems and procedure and known how these things work.

“The Defense Minister did not demonstrate this knowledge yesterday. It is important to say that Armenia is not under sanctions by the United Nations for weapons imports, nor is it under unilateral sanction by the US. These are the two lists respected by all weapons producers, here and abroad. This year and last year we exports to Armenia without problems.” Ristić said.

He said that if the government does not make a decision by Thursday, the gates of the company will be closed on Friday and all workers will be called to the parliamentary building, adding that no one will be able to enter the factory.

Note: Above are excerpts from the article. The full article appears here. Clarifications and comments by me are contained in {}. Deletions are marked by [...]. The bold emphasis is mine.