RUSSIA TO TAKE RETALIATORY MEASURES AGAINST LITHUANIA

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KALININGRAD, February 18 (RIA Novosti) - Russia is ready to take retaliatory measures if Lithuania raises tariffs on Russian cargo transportation to Kaliningrad, Russian Transportation Minister Igor Levitin told journalists on Friday.

In his words, in 2005 Russia raised transportation tariffs in seaports, however, tariffs on border crossing remained unchanged.

\"We took this step hoping that tariffs will not be increased on the other side of the border," Mr. Levitin said.

If Lithuania raises tariffs, Russia will reduce the speed of tariffs equalization implied as part of Russia's preparations for the accession to the World Trade Organization.

On his part, Lithuanian Transport Minister Zigmantas Balcytis said that the tariff problem would be solved within 3-5 years in connection with the redistribution of cargo turnover.

The Kaliningrad region is hosting four-sided talks of transportation ministers of Russia, Lithuania, Poland and Germany.

On February 16 the Lithuanian Railways joint stock company informed the management of the Kaliningrad railway on the introduction of increased tariffs on transit to/from Kaliningrad region via Lithuanian territory since March 15, 2005. Tariffs on the transportation of oil, oil products, iron and perishables will be increased by 15%.

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