Russian-Belarusian relations are defined as existing in a state of allied cooperation. On December 8, 1999, a treaty was signed on the creation of the Union State together with an action plan for its implementation. The plan defines the main areas and stages of integration, including the creation of a common customs and economic space; the intensification of cooperation in the humanitarian sphere; and coordinated action in the spheres of foreign policy, defence, and security.
The 'Treaty on the Creation of the Union State' established the following supreme bodies: the Supreme State Council, comprised of presidents, heads of parliament, and prime ministers (chaired by Alexander Lukashenko), and the Council of Ministers, comprised of prime ministers, foreign ministers, and economic and financial ministers (chaired by Vladimir Putin). The working body of the Union State is the Permanent Committee, led by State Secretary Pavel Borodin. The Parliamentary Assembly of the Union of Russia and Belarus (chaired by Boris Gryzlov) will remain operational until the parliament of the Union State is formed. A joint commission headed by speakers of the parliaments' lower houses are currently drafting the Constitutional Act of the Union State, which will reflect the political structure of the emerging supranational entity.
Strategic approaches to the development of Russian-Belarusian integration and concrete issues pertaining to practical cooperation are discussed as part of a regular political dialogue. In 2009, the presidents of Russia and Belarus held eight bilateral and multilateral talks, in addition to two meetings of the Supreme State Council and three meetings of the Council of Ministers.
A solid legal basis has been established in Russia-Belarus relations, which facilitates dynamic cooperation in different spheres. At present, 150 interstate and intergovernmental agreements are in force.
The integration process also resulted in the creation of a common migration space, which would enable visa-free travel without customs or passport control. Citizens of both states are allowed to stay in the other country for thirty days without migration registration. Moreover, corresponding legislation in economic, tax, budget, and monetary policy is in progress. The two states closely cooperate in foreign policy, military-technical cooperation, and in providing collective security.
The establishment of the Customs Union and the Common Economic Space of Russia, Belarus, and Kazakhstan is the next step in the development of integration. An important measure in this regard was the adoption of the legal framework for the Common Economic Space during a meeting of the Customs Union's supreme body on December 9, 2010.
The Common Migration Space of Russia and Belarus is now in force, enabling visa-free travel without customs or passport control. Citizens of both states are allowed to stay in the other country for thirty days without migration registration. Moreover, corresponding legislation in economic, tax, budget, and monetary policy is in progress. The two states closely cooperate in foreign policy, military-technical cooperation, and in providing collective security.
Russian-Belarusian trade and economic ties are under development. In 2010, bilateral trade turnover increased by 18.9% to reach $27.9 billion (the figure for 2009 was $23.4 billion, $34.2 billion in 2008, and $26 billion in 2007). Belarus's negative trade balance with Russia was reduced from $10 billion in 2009 to $8.2 billion in 2010.
Belarus's overall trade volume as a percentage of Russia's foreign trade is 5%, whereas Russia accounts for 46% of Belarusian trade turnover. Russia accounts for 99.9% of Belarusian meat exports, 86% of its dairy exports, 91% of its metalworking exports, 76% ofshoe exports, 70% of furniture exports, 85% of road and construction machinery exports, 45% of tractor exports, 75% of refrigerator exports, and 98% of TV set exports.
Russian-Belarusian trade and economic cooperation hasconverted to universal market principles. In December 2006, the two states signed a contract for 2007-2011 defining new terms for Russian natural gas supplies to Belarus, which receives a discount on the market price set for Europe. In May 2007, a contract was signed on Russian energy giant Gazprom's purchase of 50% of Beltransgaz, the Belarusian state-controlled gas pipeline network, for which Russia was to pay a total of $2.5 billion in equal installments over 2007-2010. In 2010, Russia supplied Belarus with 6.3 million metric tons of oil for domestic consumption duty-free, applying an export duty only to any extra volumes. The establishment of the Common Economic Space led to the introduction of new energy distribution terms. As of January 2011, Russia will supply oil to Belarus duty free, while oil products export revenues will be transferred to the Russian budget. The revenues from domestic oil exports (about 1.7 million tons) will go to Minsk.
Russia extended state loans of $1.5 billion in December 2007, $1 billion in November 2008, and $500 million in March 2009 to Belarus to sustain its economy and stabilise its socio-economic situation amid a gradual transition to market principles of bilateral trade.
One of the key areas of integration was the implementation of around forty joint economic, defence, and social programmes and projects. These were to be partially financed from the Union State's budget, which is set at 4.87 billion roubles in 2011, with 65% allocated by Russia and 35% by Belarus. About 40% of these funds are directed at fundamental research and contributions to scientific and technological progress, the development of industry, the energy sector, agriculture, transport, communications, and information technology. Another 26% goes into military and technical cooperation, law enforcement, and security. Finally, 17% is allocated towards social policy, healthcare, and physical education, along with ecology, education, culture, and mass media.
The development of interregional cooperation plays an important role in Russian-Belarusian relations. All six Belarusian regions as well as Minsk have signed agreements of cooperation with 80 Russian regions, the most active of which are Moscow, the Moscow Region, St Petersburg, Tyumen, Smolensk, Nizhny Novgorod, and Tatarstan. Representative offices of four Russian entities – the Krasnodar Territory, the Nizhny Novgorod Region, Moscow, and the Republic of Dagestan– have received accreditation in Minsk. The Belarusian Embassy has opened its offices in nine regions (Smolensk, Kaliningrad, St Petersburg, Ufa, Yekaterinburg, Novosibirsk, Khabarovsk, Nizhny Novgorod, and Kazan). Sixteen Belarusian trade houses have been registered in large Russian cities, as well as a chain of national Belarusian stores and dealer agencies.
An important aspect of Russian-Belarusian integration is the establishment of a common information space in the Union State. Key goals are to develop a legal framework for bilateral cooperation in information technology and to improve the work of the TV and Radio Broadcasting Organisation of the Union State.
Work in social services is based on the Agreement on Citizens' Equal Rights of December 25, 1998. An important step in its implementation was the creation of equal opportunities for free education and job placement, as well as the establishment of equal property rights for citizens of both states. In January 2006 a package of agreements was signed to ensure equal rights for Russian citizens in Belarus and vice versa in healthcare, social security, and taxation, as well as other spheres.
Russia and Belarus have intense cultural ties. A major cultural event is the annual 'Slavonic Bazaar in Vitebsk', which is partially financed from the Union State's Budget. 2009 was declared the Year of Russian Culture in Belarus and 2010 the Year of Belarusian Culture in Russia.