SEOUL, Aug. 20 (Yonhap) -- South Korea should accelerate its move to forge a free trade pact with the Eurasian Economic Union (EAEU), considering the economic bloc's abundance of natural resources and potential for growth, a report said Thursday.

First launched in January, the EAEU is an economic body consisting of five Commonwealth of Independent States -- Russia, Kazakhstan, Belarus, Armenia and Kyrgyzstan -- with an economic size of US$2.1 trillion.

"In order to expand trade and economic cooperation with these Eurasian nations and to realize South Korea's Eurasia Initiative, it is necessary to push for a free trade pact with the union," said the report by the Korea International Trade Association (KITA).

The Eurasia Initiative, proposed by South Korean President Park Geun-hye, works to promote regional cooperation with economies in the region and connect energy and logistics infrastructure across Asia and Europe.

The KITA report said a free trade pact with the region would be mutually beneficial as the union's member states are rich in mineral resources, whereas South Korea has a competitive edge in exports of industrial goods, such as autos and synthetic resins.

Furthermore, in a poll, Russia ranked second on a list of countries that South Korean companies want to have a free trade agreement with, according to the report.

As of June, South Korea has concluded FTAs with a total of 52 countries, including the United States and Canada.

Source: Yonhap

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