Director of the New Society Institute Vasily Koltashov explained why Russia is an ideal place for business
A photo: Shutterstock
THE OVERALL MOST OF FOREIGN COMPANIES REMAIN IN RUSSIA
It turns out that those who believe that the majority of foreign companies left Russia are deeply mistaken. Actually it is not.
– 75.9% of foreign companies remained in Russia, – the speaker of the State Duma wrote on his page on the social network Viacheslav Volodin. – This decision says a lot: they believe in good prospects for the development of the economy of our country, they are satisfied with the business climate. Those who left suffer billions of dollars. Our domestic enterprises fill the vacated niches and increase their volumes. Clothing production showed a big growth (+42%). The production of medicines increased (+15%). It is important that the business be nationally oriented, the earned funds remain in the country and be used for its development.
The speaker, however, did not indicate the production volumes of those companies that left and those that remained. So, if we count “on the heads”, then it may well be that for one departed conditional “IKEA” there are a couple of Italian pizzerias remaining in Russia with real Italians at the oven.
But seriously, unfortunately, in some industries, the departure of foreign companies is hard to miss. For example, at the December online meeting of the Avtostat analytical agency, it was reported that out of 60 automobile companies that worked in Russia before the sanctions, now only 14 remained: three Russian and 11 Chinese.
WE HAVE A DECK OF trump cards in our economy
– Russia has everything necessary for foreign companies to work and expand their activities, – said kp.ru Vasily Koltashov, director of the New Society Institute. – In addition to the sales market, we have a fairly inexpensive labor force and very inexpensive own resources: almost everything, especially energy resources, and at extremely favorable prices. Russia is now an ideal place for technological investment after Western economies have become victims of the suicidal policies of their governments.
But then, why, one wonders, did many large companies leave or suspend their activities in Russia?
“Because Western business turned out to be not quite business,” Koltashov explained. – He was extremely dependent in decision-making. As soon as the companies received political orders from their governments, they turned and left Russia – essentially telling us and the world that they are a political entity.
WHERE IS SUCCESS AND WHERE IS FAILURE
– Not the most key companies remained, – admitted Koltashov. – But it opens up opportunities for us, so we’re still in the black. We also have motivation to replace. For example, due to increased prices in the automotive market, it is very profitable to engage in the production of automotive components.
According to the expert, the departure of foreigners did not harm the food sector, the agricultural industry, and the construction industry. The timely initiated policy of import substitution has yielded results in shipbuilding, the chemical industry, and the production of refined products.
– But as for the production of machines and parts, software, import substitution has not achieved great success here, – admitted Koltashov. – We don’t see much progress in microelectronics. The processors are designed but manufactured in Taiwan.
HOW TO SOLVE THE FOREIGN QUESTION
What prevents us from developing our own production? It turns out that there are no correct laws.
– We are still bound by humiliating submission to the American rules of the game in matters of intellectual property, – says Koltashov. – But we need to completely get rid of them – then we will get a legal opportunity to produce goods in the reverse engineering mode.
Here’s how it’s done. You take an imported pill, in the laboratory you disassemble it into atoms and find out what is inside it: what substances, in what proportions, how the molecular lattices are built, etc. And then you do the same in the image and likeness. This approach is also applicable to machine parts.
But the question arises – is it legal to do this without the permission of the one who first came up with it? Here’s how to look, the expert believes.
“We have a list of unfriendly states approved by the Russian government, and for their unfriendly attitude towards us, we must no longer consider all intellectual property registered in the United States, EU countries, and Great Britain to be their property on Russian territory,” the expert quickly sketched out a plan of action. – Appropriate laws must be adopted. Then we will be able to legally say to our entrepreneurs, engineers, scientists: you can use all the developments of unfriendly countries, and you do not violate anything. And let’s say to foreigners: if you are on this list, if you please, lose all trading privileges for your corporations in our market. Who gave them to you? American government? Why do they work for us? Because it hasn’t been cancelled. That needs to be cancelled.
It is possible to produce a new product made according to the imported type under a different name and accompany it with a Russian patent, Koltashov develops his idea.
– This will make it possible to supply these products for export, – says the interlocutor. – This principle, by the way, has been used by China in relation to many goods.
However, this technology is already being used by small factories in the production of IKEA-type furniture. Only an expert, perhaps, will distinguish native from Moscow region.
OFFICIAL: MINUS 7 PERCENT
“As part of monitoring the activities of industrial and trade enterprises, which is conducted by the Ministry of Industry and Trade of Russia, today 57% of foreign companies remain on the Russian market, 36% do not leave, but temporarily stop working, 7% of companies leave the market,” kp.ru reported. in the Ministry of Industry and Trade.