MIL OSI Translation. Region: Russian Federation –
Photo by E. Samarin. Mos.ru
In 2020, industrial exports of the capital grew by 31 percent, and non-resource non-energy exports are also growing at a faster pace.
Moscow ranked fourth in terms of exports in the ranking of world capitals after London, New York and Paris. This conclusion was reached by experts from the Russian Economic University (PRUE) named after G.V. Plekhanov in the report “Industrial Export of Moscow”. The products of Moscow industrial producers are exported to 178 countries, including China, Great Britain, the United States of America, Belarus and Kazakhstan.
In 2020, industrial exports of the capital increased by 31 percent – almost a third of them are industrial high-tech goods. Non-resource non-energy exports are also growing at a faster pace. Over the past five years, its volume has doubled – from 19 to almost 40 billion dollars.
“The city provides enterprises with various kinds of support, which allows industrialists not only to invest additional funds in production, but also to enter new markets. For example, we introduced an investment tax deduction last year, which can be used by actively investing industrial companies. There are also measures aimed directly at supporting exports. In 2020, the city for the first time issued concessional loans from the Moscow Fund for the Support of Industry and Entrepreneurship under the Export program, a separate product Export APK was also introduced, “said the Deputy Mayor of Moscow in the Moscow Government for Economic Policy and Property and Land Relations
In addition, based on the specific needs of the capital’s industrialists, the Mosprom Center specialists analyze target markets, search for counterparties, and negotiate with potential foreign buyers. “The pandemic has made adjustments to this work, but we quickly found our bearings and transferred the main activity online. As a result, in 2020, 20 business missions were conducted to the countries of the near abroad, the Middle East, North Africa, Europe and Latin America, ”added Vladimir Efimov.
Today, Moscow provides 40 percent of Russian exports and is considered a pioneer among the regions in creating the necessary infrastructure to enable enterprises to produce new high-quality products for export. One of the important qualities of enterprises in the capital is the ability to quickly restructure their work taking into account new realities.
The measures taken by the Moscow Government to support business and develop industrial and trade infrastructure made it possible to increase the resilience of the capital’s economy to external sanctions compared to 2016, when Moscow’s export performance was significantly lower.
“It was an amazing result for us that in the conditions of a pandemic and difficult for the economy in 2020, industrial exports of Moscow showed a positive trend. We associate this with the active participation of the Moscow Government in solving internal problems of exporters, ”said Galina Gagarina, head of the Department of National and Regional Economics of the PRUE named after G.V. Plekhanov.
According to university experts, the capital’s enterprises can successfully create and export products even in the face of further sanctions pressure. According to forecasts, in 2025 the volume of non-resource non-energy exports of Moscow will amount to 47.9 billion rubles, which is 21 percent higher than the level of 2020.
Capital exporters can also receive support from the Moscow Export Center (MEC), subordinate to the city Department of Entrepreneurship and Innovative Development… Entrepreneurs are provided with financial and other assistance to promote their products in foreign markets. One of the key tasks of the GEC is to increase the number of Moscow exporters and implement projects for the effective development of their foreign economic activity.
EDITOR’S NOTE: This article is a translation. Apologies should the grammar and or sentence structure not be perfect.