Kosovo removes tariffs on Serbian goods but adds new restrictions

By Fatos Bytyci

PRISTINA, April 1 (Reuters) - Kosovo on Wednesday removed 100 percent import tariffs on goods produced in Serbia but introduced new measures making it harder for Serbian citizens to enter the country, a move likely to draw criticism from the United States, its biggest supporter.

Kosovo introduced the tariffs in November 2018 after Serbia blocked its former province’s membership of international organizations including Interpol and UNESCO, in turn prompting Belgrade to walk out of EU-mediated talks with Pristina aimed at normalising relations.

Under pressure from the European Union and the United States, which last month halted $50 million in economic aid to Kosovo, prime minister Albin Kurti said the tariffs would be removed from April 1, with an evaluation of the situation on June 15.

However, trucks and cars with Serbian license plates will now need temporary plates to enter Kosovo, and Serbian citizens will need a special permit as their documents will not be recognised.

The measures reciprocate those applied in Serbia to travellers from Kosovo, a country Belgrade still considers part of its territory having refused to recognise its independence.

The European Union welcomed the removal of import tariffs with High Representative Josep Borrell Fontelles saying "regional cooperation is key, as is maintaining flow of goods, in particular in times of crisis".

The new measures introduced by Kurti have, however, angered his coalition partner, leading to the government losing a confidence motion in parliament last week.

Marko Djuric, head of the Serbian government office on Kosovo, said the new measures were unacceptable.

"(The measures) are distancing us from the normalisation process and creating obstacles for the people and the economy to function properly on a day-to-day basis," Djuric told Reuters.

Kosovo also said it would lift tariffs on goods from Bosnia and Herzegovina. (Reporting by Fatos Bytyci; additional reporting by Fedja Grulovic in Belgrade; Editing by Kirsten Donovan)