4 September 2024
Russia’s economy is on the brink of significant
transformation in a number of areas. A process of redirecting trade policy
towards friendly countries is under way, requiring not only strategic decisions,
but also practical steps. Priorities include the development of logistics
infrastructure, tapping into new economic niches, creating alternative payment
systems, and addressing certification issues. Particular attention is being
paid to scaling existing markets and creating new ones, with the view to
supporting exports. Those were the conclusions reached at a session entitled
Global Trade: A Tool for Development, Not Pressure, which took place as part of
the Eastern Economic Forum.
KEY CONCLUSIONS
Russia has tapped into new niches in the global market
and scaled up support for exporters
“Russia has learned to diversify its range
of non-commodity and non-energy exports. As well as metals, pipes, and
chemicals, we are capable of exporting much else. Niches include food and
machinery (where in many sectors we are leaders), advanced chemical production,
and finished goods. So, the number of niches has significantly increased. We
now have many more companies that have identified themselves as exporters in
new sectors,” Veronika Nikishina, General Director, Russian Export Center.
“As we see it, the first thing we have
managed to do is to preserve the infrastructure of development institutions and
export support institutions. This includes, first and foremost, the Russian
Export Center group, VEB, and various other institutions that support exporters
at different stages of the lifecycle. Not only have we preserved them, we have
also scaled them up,” Roman Chekushov, State Secretary – Deputy Minister of
Industry and Trade of the Russian Federation.
New transport infrastructure is required to boost
international trade
“In order to support and develop international trade,
we need skills and expertise that take decades to build. <…> A transport
system is needed. We need a system for creating and developing new transport
and freight corridors to connect the entire Indian market with other countries
in the Asian region. This will encompass a network of transport corridors and
ports, as well as the development of high-speed highways,” Vinay Kumar,
Ambassador Extraordinary and Plenipotentiary of the Republic of India to the
Russian Federation.
“We see great potential to sell our products
in India. However, we unfortunately do not yet see a stable supply chain for us
to ship goods there. However, we are seeing that our partners are making
efforts in this regard, and we are participating in this,” Alexander
Kreshchenko, President, Segezha Group.
PROBLEMS
Sanctions on Russia
“The number of restrictions, barriers, and
constraints is increasing as structural imbalances in the global economy grow. Russia,
however, is affected more than any other country, because an unprecedented
number of sanctions have been imposed on us and our food products, bizarre as
that may seem. <…> Protective tariffs have been introduced for other
products, meaning that markets like the European Union or the United States are
effectively closed to our food products. Naturally, this is prompting us to
increase our efforts to adjust and reconfigure our operations,” Sergey Levin,
Deputy Minister of Agriculture of the Russian Federation.
The lack of unified payment and certification systems
for international trade
“In order to foster international
cooperation, at least in our field, we need clear payment systems. <…>
Beyond that, an important aspect is the recognition and harmonization of
various industry regulations, and the certification system for production
chains. In my view, it would be prudent to develop a unified certification
system for natural resource management to replace the outgoing FSC and European
systems. This would be based on unmet demand on, for example, BRICS platforms,”
Alexander Kreshchenko, President, Segezha Group.
“Areas of focus include mechanisms to
replace SWIFT. As has already been mentioned, work on this is under way within
BRICS, including on the development of alternative payment systems. In
particular, efforts are concentrated on maximizing the use of instruments tied
to goods that can serve as measures of value, mediums of exchange, and stores
of value. These so-called dual-use goods include metals, rare earth elements,
grain, and energy resources,” Alexander Shokhin, President, Russian Union of
Industrialists and Entrepreneurs.
SOLUTIONS
Transitioning to national currencies, creating an
alternative payment system, and focusing on digital technologies
“We need to put our full weight behind the
transition to national currencies, and make use of agency infrastructure.
Meanwhile, businesses should integrate digital solutions as much as possible.
The sooner we start doing this, the sooner the stability of these settlements
[via alternative SWIFT payment systems – ed.] will be ensured,” Roman
Chekushov, State Secretary – Deputy Minister of Industry and Trade of the
Russian Federation.
“When drafting the Exports of Agricultural
Products federal project and the export strategy for the agricultural sector,
we proceeded from the outset on the assumption that we were not particularly
welcome in Western markets. Therefore, we focused primarily on the countries of
Southeast Asia, South Asia, and Africa – markets which belong to friendly
countries today,” Sergey Levin, Deputy Minister of Agriculture of the Russian
Federation.
Developing logistics in the Far East
“Near the port of Korsakov, there is a super-airport
where, next year, an all-weather super-runway for all types of aircraft will be
completed. We propose creating a hub with a deep-water port and a large airport
capable of handling five million passengers a year. Our partners in China are
already coming forward with cooperation proposals to help launch cargo
transportation through this airport. Talks with them are also under way
regarding maritime logistics operations in cooperation with the company Delo,”
Valery Limarenko, Governor of Sakhalin Region.
“As for the Northern Sea Route, we will
definitely require hubs along the coast of the Arctic Ocean. <…> We need
to build a transport and logistics chain based on the competitive advantages of
each of the regions of the Far East,” Alexander Shokhin, President, Russian
Union of Industrialists and Entrepreneurs.
*This is a translation of material that was originally
generated in Russian using artificial intelligence.
For more information, visit the Roscongress
Foundation’s Information and Analytical System at roscongress.org/en
