TRADE BETWEEN BELARUS AND LENINGRAD OBLAST TO EXCEED $400MLN IN 2008

Belarus needs to balance trade with the Leningrad region to reach a surplus, Deputy Prime Minister of Belarus Andrei Kobyakov said after a session of the joint commission for cooperation between the Republic of Belarus and the Leningrad region in St. Petersburg. The Leningrad region is one of the major trading partners of Belarus among Russian regions. Mutual trade has been steadily growing. In 2007, it amounted to $272.3 million (the 15th place among the regions of Russia), up 45.5% from 2006.

Exports increased 1.5 times to $87.9 million and imports 1.4 times to $184.4 million. Belarus’ deficit in trade with the Leningrad region made up $96.4 million.

In January-March 2008, trade between Belarus and the Leningrad region amounted to $103.9 million, up 1.9 times over the same period in 2007, exports totaled $24.1 million (up 1.3 times), imports $79.8 million (up 2.1 times). The deficit amounted to $55.6 million.

Andrei Kobyakov said, Belarus needs to boost exports to the Leningrad region. At the same time he said that Belarus will not be reducing import from that Russian region. “I am sure that by joint efforts we will find the ways to increase trade this year”, he noted.

According to the Deputy Prime Minister, the government of Belarus and the government of the Leningrad region are developing a cooperation programme for 2009-2011. The similar cooperation programme for 2006-2008 is in progress and has yielded some positive results. Belarus’ exports of agricultural and municipal machines to the Leningrad region have been on the rise. The Russian region is also interested in cooperation in the construction sector. It means construction of housing and supply of Belarusian construction materials. The sides are also discussing the involvement of Belarusian design and construction companies in development and implementation of general outlays, projects in the Leningrad region.

At the session of the joint commission Governor of the Leningrad region Valery Serdiukov said that for the past ten years the cooperation between Belarus and the Russian region has been rapidly developing almost in all areas. He also noted that the two sides reached considerable results in regional cooperation. “Most effectively the Leningrad region cooperates with Belarus,” he said. Strengthening the interaction at the level of companies will help improve living standards of people of the two countries, Valery Serdiukov is sure.

The session also considered the cooperation in agriculture, supplies of Belarusian tractors and farm machines, mutual supplies of farm produce and foodstuffs. The sides placed a special emphasis on the implementation of MAZ projects in the Leningrad region. The sides also discussed the deliveries of Belarusian peat production equipment.

The session also focused on the projects on developing trade and logistic and trade-business centres in the Vsevolozhsky district of the Leningrad region and the construction of a residential area “Belarusian Quarter” in the Lomonosovo district and also the project on setting up a network of Belwest chain stores.

Apart from economic issues the agenda also included the interaction in the information, mass media and culture areas.

In 2008, the trade between Belarus and the Leningrad oblast of the Russian Federation will exceed $400 million, Deputy Prime Minister of Belarus Andrei Kobyakov told reporters when summing up the results of a session of the joint commission on cooperation between the Leningrad oblast and the Belarusian Government on June 6.

“I am sure that this year we will preserve the growth of the bilateral trade at the level of 150% as against last year,” the official said. “Thus, in 2008 the bilateral trade will exceed $400 million, but we will try to reach $500 million,” Andrei Kobyakov highlighted.

In 2007, the trade between the Leningrad oblast and Belarus made up more than $270 million.

According to Andrei Kobyakov, the trade between Belarus and the Leningrad oblast will be boosted due to the increase in supplies of Belarusian goods, for instance, agricultural machinery. He noted that the agricultural production in the Russian region achieved high level, so it needs the same level of the farm machinery. In the near future, samples of the Belarusian agricultural machinery will be supplied to the Leningrad oblast to demonstrate its possibilities and to rouse interest of potential buyers.

Moreover, the sides have agreed to expand the commodity distribution networks of Belarusian companies in the Russian region and also to develop the cooperation in the construction branch. In late 2008, houses from the building structures produced by the Vitebsk House-Building Factory will start to be constructed in the town of Vsevolzhsk of the Leningrad oblast.

The sides also discussed other issues of the trade and economic cooperation which should bring the cooperation between Belarus and the Leningrad oblast to a higher level.

In recognition of a great contribution to the development of trade and economic cooperation between Belarus and Leningrad region Andrei Kobyakov presented Valery Serdiukov with the state award of Belarus – Order of Honour.

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