Ban Polish apples, get a new road!

Browsing through Twitter I came across this story which is so very Russian:

Gangs smuggling goods into Russia have secretly repaired a road on the Belarussian border in order to boost business, the TASS news agency reported Monday.

Smugglers have transformed the gravel track in the Smolensk region in order to help their heavy goods vehicles traveling on the route, said Alexander Laznenko from the Smolensk region border agency. The criminal groups have widened and raised the road and added additional turning points, he said.

Vital infrastructure being provided by fruit smugglers.  Who needs government?

As to why this is happening:

A convoy of trucks was recently stopped on the road carrying 175 tons of sanctioned Polish fruit worth 13 million rubles ($200,000). The produce was subsequently destroyed, TASS reported.

Local border guards, customs and police officers have checked over 73,000 vehicles entering Russia from Belarus this year, Laznenko said, claiming that the number of heavy goods vehicles crossing the border from Belarus has increased dramatically in the last year, he said.

To be fair, nobody could have predicted this:

We can also expect “businessmen” in Kazakhstan and Belarussia to do well out of this.  These two countries have not adopted the Russian sanctions yet are in a customs union with Russia.  Therefore, in theory, these countries can import as many EU goods as they like and re-export to Russia without interference.

I expect these two re-routing options to meet the bulk of the demand for goods banned by the sanctions, at a cost to Russian residents of somewhere around 10-30% in price and reduced freshness of the produce itself.  Where the Russian government intervenes with price controls, we can expect those products to disappear from shelves almost entirely and a healthy black market springing up.

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3 thoughts on “Ban Polish apples, get a new road!

  1. Never underestimate the creative power of the profit motive. Compare this with the difficulty of having all residents of a dacha compound pay their dues to keep up the shared driveway.

  2. Compare this with the difficulty of having all residents of a dacha compound pay their dues to keep up the shared driveway.

    Oh boy…I bet that’s like pulling teeth.

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