The Free Trade Agreement between Russia and Serbia has been in effect since August 2000. Now the European Commission is demanding the country cancel, or seriously reconsider, its existing agreement with Moscow.
“We have a deal for a free trade zone, which was concluded by the governments of Russia and Yugoslavia. […] Now that Serbia is preparing to join the EU, the European Commission requires the termination of this agreement. Therefore our fears are fully justified,” Medvedev said.
Serbian authorities have not defined their position on the issue, only that Serbia is one of the few countries that has not aligned with the anti-Russian sanctions.
About 99 percent of Serbia's various products traded with Russia are exempt from customs duties.
In 2013, the monetary value of bilateral trade exceeded US $3 billion, an 11 percent increase compared to the results of the previous year. Serbia's main exported items, shipped to the Russian market, are fruit and vegetable products.
FruitNews article (Russian): http://www.fruitnews.ru/home-page/fruits/44881-es-nastaivaet-na-rastorzhenii-soglasheniya-po-zst-mezhdu-rossiej-i-serbiej.html