Events
External Economic Activity / Cooperation between Krasnodar Region and foreign states
Cooperation between Krasnodar Region and the Kingdom of the Netherlands
(reference information)
The Administration of Krasnodar Region pays particular attention to the development of international and external economic links of the region with the countries of the European Community. The Kingdom of the Netherlands is a noted external economic partner of Krasnodar Region. The Netherlands occupies fourth place among the largest partners of the Region, which is the result of active development in various fields and successful experience of bilateral relations.
1 Visits by Krasnodar Region delegations to the Netherlands
On 9 April 2003 the Russian-Dutch Meeting for Agribusiness took place in Krasnodar, aimed at establishing and developing business contacts in the fields of agriculture and agribusiness between businesses in the Kuban and the Kingdom of the Netherlands. The organisers of the event were the Department for Agriculture of the Embassy of the Netherlands in Moscow and the Administration of Krasnodar Region.
The Dutch delegation which travelled to Krasnodar was led by the Extraordinary and Plenipotentiary Ambassador of the Kingdom of the Netherlands in the Russian Federation, Mr Tiddo Hofstee. The delegation included representatives from more than 26 Dutch companies active in the spheres of agriculture and agribusiness.
Questions of developing cooperation between businessmen from the two states in the field of agriculture and in creating new joint businesses with Dutch capital investment were discussed at the meeting.
The Kuban side expressed their interest in developing cooperation in fields where the Netherlands occupies a leading position. This concerns delivery to Krasnodar Region of agricultural machinery, equipment for fruit and vegetable storage, air conditioning systems, pharmaceutical products and equipment for animal husbandry barn systems.
A project to create a holding of 10-15 farms in the Kuban specialising in growing early vegetables was examined.
The visit by the delegation from the Kingdom of the Netherlands continued with an inspection of the agri-complex Teplichnii. The Extraordinary and Plenipotentiary Ambassador of the Kingdom of the Netherlands in the Russian Federation, Mr Tiddo Hofstee, noted the high level of work organisation at the businesses of the agri-business complex of Krasnodar Region.
On 14 and 15 September 2005 Mr Marinus Overheul, Agricultural Attache at the Embassy of the Kingdom of the Netherlands in the Russian Federation, made a visit to Krasnodar. During the visit a seminar was organised in the Krasnodar Regional Institute of Agribusiness with the participation of Dutch agricultural companies to exchange experience and facilitate Russian-Dutch cooperation in the field of agribusiness.
On 23 and 24 January 2007 a delegation from the Kingdom of the Netherlands, led by the Agricultural Attache, Mr Marinus Overheul, travelled to Krasnodar to exchange experience. As part of the visit members of the delegation participated in a seminar meeting, Developing the Dairy Sphere in Krasnodar Region, and met with the Vice Governor of Krasnodar Region Nikolai Dyachenko and the Chairman of the Chamber for Trade and Industry of Krasnodar Region Yuri Tkachenko.
In May 2007 a delegation from the Embassy of the Kingdom of the Netherlands in the Russian Federation led by the Extraordinary and Plenipotentiary Ambassador of the Kingdom of the Netherlands in the Russian Federation, Mr Yan-Paul Dirkse, visited Krasnodar Region. As part of this visit Russian-Dutch agribusiness business meetings were held with the participation of representatives 21 Dutch companies, who travelled here especially to facilitate dialogue with Kuban colleagues. This event attracted much interest from Russian business circles, and the round table discussions organised as part of the business meetings attracted more than 30 leading producers from the agribusiness sector of the Region.
The delegation of the Ambassador of the Kingdom of the Netherlands noted the particular desire of Dutch business communities to participate in realising the national Developing the Agribusiness Sector project on the territory of Krasnodar Region.
From 4 to 7 February a delegation from the Embassy of the Kingdom of the Netherlands in the Russian Federation led by the Economic Attache to the Embassy, Ms Gerdalies van Diggelen, visited Krasnodar Region.
As part of the visit the delegation visited the towns of Krasnodar, Novorossiisk and Sochi. In Krasnodar delegates met with Heads of relevant Departments of the Administration of Krasnodar Region to discuss questions of participation by representatives of Dutch business in developing such fields in the Region as the fuel and energy sector, industry, transport and communications, the ecology and bioresources.
As part of meetings in the Department of External Economic Activity of Krasnodar Region, questions were discussed on carrying out the forthcoming presentation of the Region in the Netherlands. Members of the delegation noted the activity of the Region in preparing for the event, and defined the main priorities for future joint cooperation. Questions of participation by Dutch representatives in the International Investment Forum Sochi in 2008 were also discussed. Both sides agreed on constant exchange of information on trade and economic development and the congress exhibition activities of both countries.
The representatives of the Embassy of the Kingdom of the Netherlands in the Russian Federation also visited the Chamber of Trade and Industry of Krasnodar Region, where a meeting was organised with the management of the Chamber and representatives of local business, who talked about promising projects for joint cooperation with Dutch business circles.
In Novorossiisk delegates visited the Novorossiisk Sea Port and noted the particular urgency of cooperation taking into account that the Netherlands has one of the largest ports in the world.
In Sochi the representatives of the Netherlands met with management of the Administration and discussed the prospects for cooperation with Dutch businessmen in preparing Sochi to host the Winter Olympics in 2014.
Members of the delegation expressed their hopes for continuation of the dialogue begun and noted the urgency of developing partnership in such fields as the fuel and energy sector, transport, construction, bioresources, ecology and industry.
On 22 May 2008 in Amsterdam a presentation was made of the economy of Krasnodar Region to representatives of political and business circles of the Kingdom of the Netherlands.
80 representatives of Dutch businesses took part in the work of the basic event of the programme, a conference called Krasnodar Region: condition and prospects for trade economic and investment cooperation with the Kingdom of the Netherlands.
At the conference managers from Philips, Matrix Agritech and Van Oord companies told their Dutch colleagues about the experience they have already gained of working in the Kuban.
The trade representatives of the Russian Federation in the Netherlands, Vladimir Vorobev, noted the particular topicality of developing cooperation for the Kingdom with Krasnodar Region.
At the round table discussions held for specialised areas questions were discussed of development of the financial and stock markets, industry and innovation, architecture and town planning, and the fuel and energy sector of Krasnodar Region.
Within the framework of the business framework of the visit a meeting was held with the Deputy Head of the Administration (Governor) of Krasnodar Region, Evgenii Muravev, with the representative of the Ministry for the Economy of the Kingdom of the Netherlands on questions of activating of bilateral economic and trade cooperation in various fields.
Within the framework of the event at management level meetings and negotiations took place with representatives of leading European companies, at which a range of serious agreements were reached. Thus, at a meeting with the ING company Krasnodar Region was defined as strategic for development of the bank and for entering the financial services market, and at a meeting with management from the Philips company the question of situating an assembly line for domestic appliances in the Region was discussed.
The event showed the high level of interest of business circles in the Netherlands in establishing bilateral partnership relations with Krasnodar Region and taking part in various long term projects, including within the framework of realisation of investment projects in preparing for the 2014 Winter Olympic Games.
From 2 to 4 December 2008 Krasnodar Region was visited by a delegation of representatives from the Philips company led by the director for development, Philips Russia, Belarus, Ukraine and Central Asia, Bernhard Bauer.
The aim of the visit was to learn about the potential of the region and to discuss prospects for cooperation in various fields.
On 3 December the representatives from the Philips company met with heads of the Administration of Sochi to discuss prospects for development of bilateral cooperation and visited the Krasnaya Polyana ski resort.
Within the framework of the programme, on 4 December the delegation met with the First Deputy Head of the Administration of the city of Krasnodar, AN Dombrovskii and managers of specialised departments of the city Adminsitration. At the meeting questions were discussed of developing and improving city infrastructure using Philips company technology.
In addition, members of the delegation met with the First Deputy Head of the Administration (Governor) of Krasnodar Region, Evgenii Muravev, and representatives of organs of executive power of Krasnodar Region. At the meeting questions were discussed on questions of development of bilateral cooperation in the field of health care (introduction of high technology equipment, setting up medical centres), energy saving and construction (innovative approaches to lighting technology).
During the meetings and negotiations the parties expressed their hope for further expansion of contacts and establishment of mutually beneficial cooperation.
2 Foreign trade turnover
According to Customs statistics for 2007, foreign trade turnover of Krasnodar Region with the Kingdom of the Netherlands totalled $88.5 million. The balance of trade was positive ($42.1 million).
Export operations were carried out to a value of $65.3 million, and main types of export were:
oil and petroleum products ($63.1 million); and
waste and scrap non-ferrous metals ($25.9 million).
Import operations were carried out to a value of $23.2 million, and the main types of imports were:
food products and raw materials for their production ($1.3 million); and
machine engineering products ($4.6 million).
In 2008 the foreign trade turnover of Krasnodar Region with the Kingdom of the Netherlands totalled $124.4 million. The balance of trade was positive ($11.9 million).
Export operations were carried out to a value of $68.2 million, and the main types of export were:
oil and petroleum products ($57.1 million); and
food products and raw materials for their production ($5.7 million).
Import operations were carried out to a value of $56.2 million, and the main types of import were:
mechanical engineering products ($17.9 million).
3 Cooperation between specialisms
In the agricultural sector during official visits by delegations from the Kingdom of the Netherlands to Krasnodar Region traditionally problems of development of the agricultural sphere of both parties are discussed, and there is a constant exchange of information on a two way basis.
In 2007 the relations between Krasnodar Region and the Netherlands moved to a new more constructive direction. At the current time a project has been prepared for a four way Protocol of Intention on cooperation between the Administration of Korenovskii District, the abc Marketing company (the Netherlands) and the Progress company for construction on Progress territory of an livestock raising facility to breed pigs. The total cost of the project is €40 million.
In the field of health care specialists of medical establishments of the Region within the framework of international specialised symposiums and conferences are establishing contacts with representatives of the field of health care in the Kingdom of the Netherlands.
The Philips company (the Kingdom of the Netherlands) is a world leader in production of medical equipment for ultrasound and x-ray diagnostics. The management of the Department of Health of Krasnodar Region in 2007 signed an outline agreement with Medinvest GmbH (the official distributor of Philips Medical Systems in the Russian Federation) on the intention of the company to realise in Krasnodar Region an investment project costing €10 million to deliver in 2007 and 2008 the latest modern ultrasound systems.
4 Humanitarian cooperation
Over several year fertile cooperation has been carried out between Krasnodar Region and the Kingdom of the Netherlands in the sphere of education. A joint projects to study the role of social teachers in educational communities has been in progress for several years in Sochi with the assistance of the Ministry for Education of the Kingdom of the Netherlands. During this joint work with Dutch teachers special materials for social teachers working with immigrant children has been developed and published, and has been used successfully in practice.
5 Dutch businesses in Krasnodar Region
The active external economic activity of the region has been a catalyst for the process of flow of foreign capital into the Kuban. In Krasnodar Region there are four businesses registered which have received Dutch investment:
Azalea Maritime Novorossiisk The business is situated in the town of Novorossiisk, and its main area of activity is organisation of transport of cargoes and supporting the work of marine transport;
Airus The business is situated in Dinskii District in Krasnodar Region, and its main area of activity is providing services in the sphere of livestock farming, except veterinary services, and wholesale supply of agricultural products;
Chernomorneftegaz The business is situation in the town of Gelendshik, and its main area of activity of geological prospecting work in the field of studying mineral resources;
Tamanneftegaz The business is situated in Temryukskii District in Krasnodar Region, and is carrying out a project for construction of the Taman transshipping facility for transshipping of oil, petroleum products and liquefied natural gas.
