Belarus, Russia and Kazakhstan Should Overcome Crisis Together
OREANDA-NEWS. January 05, 2009. The economies of Belarus, Russia and Kazakhstan should deal with the global crisis using joint efforts, said Prime Minister of Belarus Sergei Sidorsky during a visit to Belarusian Autoworks in Zhodino, reported the Official website www.government.by.
At present, the complementarity of the Belarusian and Russian economies is 60%-90% in certain kinds of cooperation. “Russia’s GAZ Group, KAMAZ and Grodno-based Belkard that supplies parts to Russia have stopped their production,” the Premier said.
At the same time, Kazakhstan adopted a national programme of agricultural machinery development which investment is estimated at US2 billion. “We can offer them our technologies in this area,” Sergei Sidorsky said.
In the conditions of the global financial crisis, new areas of joint cooperation are opened. Belarus should use the new opportunities. “Our economies should compliment each other and technologies can be shared between the countries,” the Belarusian head of Government stated. Such an approach will only strengthen the economies of Belarus, Russia and Kazakhstan, he thinks.
A comprehensive programme of import substitution development will be adopted in Belarus in the nearest two or three months, said Prime Minister of Belarus Sergei Sidorsky during a visit to Belarusian Autoworks in Zhodino.
According to the Premier this task was set by the Belarusian Head of State and it will be fulfilled. “Whether someone likes it or not, we will step up our efforts to enhance import substitution,” the Premier underlined. He noted that at some enterprises the imported parts account for 40%-70% of all the parts. Earlier, it might not make sense to produce reduction gears at the amount of 100-200 units, but now the enterprises should adjust their production to present-day conditions and work in this direction, Sergei Sidorsky said. We can set up the production of imported parts in Belarus and by doing this we will use the capacities of the domestic enterprises to the full extent. Import substituting enterprises should sell what they manufacture, but not put it in stock.
Sergei Sidorsky said that the strategy of providing the maintenance service of the exported products might need to be adjusted.
It is necessary to intensify the negotiations with the international Caterpillar Concern, said Prime Minister of Belarus Sergei Sidorsky during a visit to Belarusian Autoworks in Zhodino on January 5.
Sergei Sidorsky stressed that this automobile concern affected by the global financial crisis is ready to locate its facilities in Belarus or cooperate in the joint projects with the Belarusian companies. The preliminary agreement was reached at Belarus Investment Forum in London. “We should continue these negotiations. We cannot miss this opportunity,” Sergei Sidorsky said. The Caterpillar Concern has been considering an opportunity of joint work with BelAZ and MAZ.
The Prime Minister also pointed out the importance of developing new markets in China, India and Venezuela.
A structure for supporting flagship enterprises has been created in Belarus, Prime Minister of Belarus Sergei Sidorsky said. He remarked, a structure for supporting major enterprises had been introduced in Belarus, including support not only for flagships but town core enterprises, which employ 300-400 people at most. Their steady operation is vital for the development of small Belarusian towns.
The head of state underscored that the support efforts are aimed at the development of the enterprises, not their survival. “The survival is not the issue,” specified the head of government. He added the government should not impose new tasks on enterprises but should help promptly handle existing ones.
A system of measures has been introduced to support enterprises. Every week all actions taken as part of the system will be tracked and verified. The foreign market situation is constantly changing at the moment, which is why enterprises should act fast to stay profitable and increase export, said Sergei Sidorsky.
Expansion and enhancement of the commodity distribution network is another avenue in the development of the industry. The commodity distribution network of Belarusian enterprises should be supported with financial resources. It is the system that is responsible for bringing the foreign currency to Belarus today. “The commodity distribution network overseas should be ours and should be headed by our people, who should pursue technical and technological policies of Belarusian enterprises instead of doing what they want,” underscored the Premier. Issues relating to the commodity distribution network will be constantly monitored.
The Belarusian industry should secure the growing market of consumer goods, said Prime Minister of Belarus Sergei Sidorsky.
He remarked, Belarus-made consumer goods should be available on the home market. “We should restore the production of the maximum line-up of industrial goods ranging from simple to complicated ones for the consumer market,” said the Prime Minister. In his words, during the global financial crisis while dozens of thousands of enterprises are shut down across the globe, it is necessary to use the opportunity and fill the market with Belarus-made goods.
The head of Government also remarked, at present hypermarkets of Lithuania and Russia are ready to sell Belarusian consumer industrial goods. “Shop shelves should not be empty. We should grab the opportunity and act as fast as possible,” stressed Sergei Sidorsky.
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