Business Opportunity in the Lower Volga Southern R

BISNIS office in Lower Volga and Southern Russia: 

BISNIS office in Lower Volga and Southern Russia Samara region Saratov Region Ulyanovsk Region Volgograd region Penza region Krasnodar Region Rostov region Kalmykia Stavropol region Astrakhan Region www.bisnis.doc.gov  www.bisnis-eurasia.org

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www.bisnis.doc.gov  www.bisnis-eurasia.org

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Industrial Production Structure of the Volga Region www.bisnis.doc.gov  www.bisnis-eurasia.org

Southern Russia- Key Facts: 

Southern Russia- Key Facts Total Area- 589,000 sq.km- 8.2 % of Russia Population- 20,8 mln- 15,4 % of Russia GRP- $16,1 bln -8,5% of Russia Industrial Output- $ 8 bln- 8,7% of Russia Volume of Agriculture-$ 5 bln- 31.4% of Russia www.bisnis.doc.gov  www.bisnis-eurasia.org

Why Southern Russia: 

Why Southern Russia Favorable economic conditions – creation of Special Economic Zone (Development of Tourism and Connected Services) in Krasnodar Region and Federal Program for Economic Development; Direct access to international sea routes via 10 ports; 4 international airports; Developed road and railroad networks; Fertile agricultural lands; Abundance of raw materials for processing industries; Favorable natural and climatic conditions; Qualified labor force. www.bisnis.doc.gov  www.bisnis-eurasia.org

Shares in Gross Regional Product ( on the example of Krasnodar Region): 

Shares in Gross Regional Product ( on the example of Krasnodar Region) agriculture - 17.3% (1/5 of the total of Russia ) transport and communications - 17.0% construction - 17.4% industry - 15.6% trade and catering - 11.4% other - 21.3%. www.bisnis.doc.gov  www.bisnis-eurasia.org

Some facts on foreign activities in Southern Russian regions: 

Some facts on foreign activities in Southern Russian regions Over 400 companies with foreign capital Major importers: USA, Italy, Germany, Turkey, Canada, Great Britain, and Ukraine Major imports: machinery/production equipment, food products/raw materials, ferrous/ non ferrous metals etc. Major investors: Klass harvesters production plant (Germany), Phillip Morris (USA), Chevron Texaco (USA); Bonduel (France), Nestle (Switzerland) and others. www.bisnis.doc.gov  www.bisnis-eurasia.org

Best prospects for US firms in Lower Volga and Southern Russia: 

Best prospects for US firms in Lower Volga and Southern Russia Construction Tourism and Recreation Agricultural and food processing equipment Automotive (car parts, after market products and services) Franchising Oil and Gas equipment Machine building equipment (esp. metallurgy) Medical equipment www.bisnis.doc.gov  www.bisnis-eurasia.org

Investment Projects: 

Investment Projects Construction of a deepwater berth to transfer oil and oil products Address: Port of Tuapse, Krasnodarskyi Krai, Russia Freight turnover: 9 million tons Proprietor of the land plot: Federal property Land user: Public institution “Maritime Administration of the Port of Tuapse” Document of title: Official Act,granting unlimited right of user Civil engineering and transport infrastructure: buildings,water supply,sewerage,power supply,heat supply, gas supply, phone line,access drives

STABILISING THE BUSINESS: 

STABILISING THE BUSINESS Improvement of Russian Government policies in foreign investments attraction Re-enforcement of tax & legal controls Increasing the flexibility of logistics Improving business relations and customer orientated policies (quality, flexibility, vision) Gradual growth rather than upward-trend volatility.

Processes that require “Special” Attention: 

Processes that require “Special” Attention Greater emphasis on relationships JV Partners Government Agencies Form over Substance Local laws and regulations Provided by: Pamela Smith

Legislation Conflicts: 

Legislation Conflicts Civil Code Customs Code Tax Legislation Russian Accounting Standards (RAS)

Olga KutuzovaBISNIS Representative forLower Volga and Southern RussiaTel/fax: +7 8462 788203cellular: +7 960 8087247E-mail: Olga.Kutuzova1@gmail.com: 

Olga Kutuzova BISNIS Representative for Lower Volga and Southern Russia Tel/fax: +7 8462 788203 cellular: +7 960 8087247 E-mail: Olga.Kutuzova1@gmail.com www.bisnis.doc.gov  www.bisnis-eurasia.org