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Tuesday, October 25, 2016

Complex development

Rostov region made a bid for cluster development path, which allowed her a period of General industrial decline and to increase production volumes, and the amount of attracted investments. By the end of 2015, its GRP grew by 4.1% against a nationwide drop of 3.8%, reaching 1,135 trillion roubles, the industrial production index rose by 54.6 per cent while reducing the country to 2.3%.

Transfer locomotives

The economy of the Rostov region among the regions of the South of Russia has the greatest balance and diversity. This is the only one among all 13 subjects of Federation of southern Federal district and North Caucasus Federal district, which not only fully is agrarian-industrial, and energy surplus. Although a rare “non-oil” region in the South, received only 6 years ago, own refining.

“Just to attract investors, the regional authorities have taken a number of protectionist against business measures

If in the Soviet years “locomotives” of the economy of the region was during the long run-decades and proved its viability and competitiveness in the reform era (harvester construction giant Rostselmash” boiler “Red boilermaker” metallurgical “Tagmet” and Belokalitvensky steel, electric NEVZ, defense Rosvertol, etc.), the new century, the vector of diversification brought in the “engines” now the giants don APK. Freeing the economy from the old patterns of “dead village”.

Just after the collapse of the Soviet collective and state farm system and a long ordeal and remain in its infancy of the movement of farmers to the fore in the agricultural industry went to large commercial farms, which has a powerful component of crop production and processing base. In the “zero” years, and especially during the present decade in the Rostov region has formed a number of large agricultural holdings, defining the region as one of the “pillars” of the domestic agriculture industry: “Yug Rusi”, “Aston”, “Evrodon”, “Agrokom”, “Russian pork”, “Amylco”, etc. the latter years were key in the development of agriculture, because new century has brought to the industry what it was in Soviet times, the agricultural processing and manufacturing of agricultural products with high added value.

Appeared Europe’s largest poultry farms, meat processing plants, canneries resuscitated successfully died with the USSR. Recent years provide the regional economy with innovative manufacturing, agriculture – plants for deep processing of grain and production of amino acids, enzymes, complex starch, molasses, etc. That is the proverbial “raw materials appendage” is gradually becoming a country of export of internationally competitive products, the WTO condemned to “death” of agriculture.

As a result, in the Rostov region for several years observed record grain harvest this year was marked by an overall figure of 10.5 million tons, of which more than half is export potential.

Grain the region provides and their livestock, 100% closed to the needs of residents, poultry, pork, egg.

In many respects it became possible thanks to the growing state agricultural support – more than 7.6 billion rubles in 2015 (about 6 billion rubles in 2014, including 2.2 billion – from the regional budget.

Government support allowed after years of falling to indicate a positive trend in the production of dairy products and the growth of the cattle population.

The “locomotives” of the economy and enterprises of the don defense, which in the 90s was also quick to bury. As a lifeline for the defence industry was the inclusion of a stagnating defense plants in state holdings (“Tactical missiles”, “Constellation”, “Oboronprom”, “Information satellite systems”, oak, etc.).

“Lifeline has provided the don of the defense industry state orders and secured funding, allowing the organization to retain personnel, equipment and technologies.

As a result of “Rostvertol” became the basic enterprise for re-fighting the shock and heavy transport helicopters for domestic videoconferencing, received export contracts from the EU, Latin America, Africa, Asia-Pacific countries. On its premises today a powerful helicopter cluster.

TANTK named after Beriev and TAVIA produce the world’s largest amphibious aircraft.

The Taganrog Priboy” and “Krasny Gidropress” supply sonar equipment and missiles for the Navy. The products of the Rostov factory “Kvant” worked on the space station “Mir”, ISS, the program GLONASS, etc.

The spirit of sport

Other “locomotives” of growth of the don economy has become the iconic “football” infrastructure projects, drawing a more than 30 industries. First and foremost is the construction of a new international airport South of the stadium on the left Bank of the don, which should be completed by early 2018 FIFA world Cup.

45-thousand stadium “Rostov-arena (the cost of 20.2 billion rubles) raises the project’s General contractor – holding Aras Agalarov’s Crocus Group, which has already declared intention in the “sanctions war” to use domestic analogues of imported components. This gave a chance to participate in the construction of not only the local contractors but also the regional enterprises of the construction sector.

“A football” in Rostov urgently began to build hotels with many stars, which in the don capital was not. According to the requirements of FIFA, the room Fund of the hotels of the city shall be 5.5 thousand. By the beginning of 2016 in the don capital have already launched the four-star Mercure hotel (95 rooms). In the near future is also expected to be launched Sheraton (307 rooms), Hayatt Regency Rostov Don Plaza (224 rooms), Don Golf Resort (150 rooms).

For the region, which had not conducted major sporting and business forums, including due to the lack of decent hotels- this is definitely a step forward. As a reaction to this – held in August in Rostov the first international film festival “Bridge of Arts” with participation of Hollywood stars that now becomes traditional.

The “locomotives” of the economy and enterprises of the don defense, which in the 90s was also quick to bury”

The implementation of another football project construction for the world Cup South airport is on public-private partnership investor Renova group. Its value exceeds 43,2 billion rubles, and around the airport, capable of accommodating around 8 million passengers a year in the future must become the new centre of economic activity. FGUP “Mail of Russia” has decided to create on the territory of the new airport, a major logistics hub value 1,826 billion. The neighborhood began to be built only in the macro-region plant of dry food iconic investor – the American company Mars, in September launched another “American” only in the South plant for production of industrial gases, Air Products.

For the area, whose industrial and agricultural potential is based on the presence of leading international players, this is good news because it is received in 2015 the volume of investments in 287,4 billion 262 billion in 2014) covers almost twice the revenues of the regional budget (130.6 signatures billion in 2014, 131,5 billion in 2015 and 142.1 billion (forecast) in 2016).

The cluster principle of development

Just to attract investors, the regional authorities have taken a number of protectionist in relation to business measures. First, the terms had been reduced and the number of licensing procedures in the implementation of investment projects based on approvals now required not 340, but only 100 days). Second, was 10 times reduced costs investors land lease for the construction phase, have some of the lowest nationwide rates on the property tax and the regional tax on profits. Thirdly, the key investment projects included in assigned regional authorities “Hundred gubernatorial projects”. Fourth, to implement them was created industrial parks, which introduced the total exemption from tax on property of organizations, and investors subsidize 50% of expenses on creation of engineering and transport infrastructure (in some cases up to 95%).

In addition, in the industrial region went on to create industrial clusters around a leader, cooperating activities of enterprises horizontally. It was formed six clusters of agricultural machinery based around the “Rostselmash”), machine tools (around Azov “MTE KOVOSVIT MAS”), light industry (around Shakhty BTK), biotechnology, helicopter cluster around the “Rostvertol”), the cluster of technology “southern constellation”.

“The industrial Park is a territory, and the cluster Association of enterprises located in the region and working in the same field of activity, – said the Governor of Rostov region Vasily Golubev. For example, the cluster of agricultural machinery is not only “Rostselmash”. And the government of the region creates the conditions for the production and marketing of products or accompanied by administration. Cluster – an attempt to solve the issues of provision of a particular sphere. This means that the government will create additional tools to support and encourage the development of this industry.”

It is expected that the cluster approach will allow to solve the main task in the economy of the region is to unite scientific, educational, innovative and production potential of the Rostov region into a single system.

While this helped to attract to the don such iconic players in the world market, like Mars, Guardian, Coca-Cola, PepsiCo, Air Products, Louis Dreyfus, Glenkor, Ball Corporation, etc. And in the course of the economic crisis and the “sanctions war” none of the players its operations in the region did not turn.

“We note with satisfaction the strong support of the regional government and our partners, processors of glass, – said General Director of “guardian Glass servisis” Janos Ehud. – Steklo Rostov plant is primarily intended for southern Russia and Eastern Ukraine. We can say that the market is ready for new volumes, clients waiting, when the plant will start producing energy-efficient architectural glass.”

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