Eastern Europe's market role

Until the late 1980s, trade in nuclear fuel between market economy countries and those with planned economies was limited. The exception to this was in the enrichment market across Western Europe during the 1970s. Most of the nuclear generating plants in the Soviet Union and Eastern Europe are light water reactors needing enriched uranium. Under the fuel supply agreements with Eastern Europe, the Soviet Union has provided all of the regions' enrichment services, and therefore it has developed the only enrichment facilities. Techsnabexport (TENEX), the USSR foreign trade organization for the nuclear fuel cycle, first appeared in the early 1970s. It was as an alternative supplier to the US government, which had a monopoly in the West regarding enrichment. In 1986 the USSR entered and soon dominated the spot market for enrichment. Political changes in Eastern Europe at the end of 1989 and throughout 1990 opened the nuclear fuel market even wider. In 1990 the USSR began allowing exports of concentrates, as well as enriched product, and a free flow of trade to the Western market is now developing for both enrichment and uranium. (author)