A Regional Profile of The Voronezh Region
Voronezh oblast, one of the most important industrial and agricultural centres of Russia is actively participating in the market reforms in the Russian Federation. The oblast is well linked to all major centres within Russia and abroad by a powerful transport network of rail, road, air, and waterways. Goods produced in the region are well known and respected both in this country and far beyond its borders while enterprises of the Voronezh region have already successfully established strong cooperation both with Russian and foreign partners. These partners are highly valued in the local economy. The Voronezh oblast, located in the Central Black Soil Region about 600km south of Moscow, is one of the most dynamic and progressive regions within the Russian Federation. While the oblast has traditionally contributed a large part of Russia's total agricultural output, the local economy nevertheless exhibits great diversity with more than a quarter of the working population engaged in manufacturing (ranging from traditional textiles production to world-class aerospace industries). The services sector, too, is currently blossoming in the region. With a population of almost 2.5 million, including 1 million in Voronezh city, and a location which could hardly be more central in terms of serving the Russian, CIS and Eastern European markets, the Voronezh oblast offers an ideal base a whole range of business activities. Perhaps the most striking feature of the economy of the Voronezh oblast is the diversity of the economic activities which occur here. While the rich black soil of the oblast has given rise to a strong tradition of agricultural production (which has consequently led to a vibrant food processing sector), it also hosts some of the most technologically advanced industries in the world. Voronezh-based companies have contributed significantly to the revolution in aerospace and air transport of the past thirty years with the design and production of the rocket technology for spacecraft and with the production of IL-86 and IL-96 airbuses. This emphasis on high quality production manifests itself in some of the other leading industries of the oblast such as the synthetic rubber industry, mechanical engineering, chemical and electronics industries.
Today, the privatization process in the oblast has been practically completed
and local companies are already taking an active part in the international
marketplace. With exports to over 30 countries including the USA, Germany,
Japan, Great Britain, France and Finland, locally produced products are
becoming more well-known worldwide. Among the most important exports are
synthetic rubber, heavy power presses, machine tools and equipment, food
(sugar, grain products, sunflower oil, meat and dairy products), and other
consumer goods. There is also a considerable export of raw and semi-processed
materials from the region. Russian Federation laws on land, foreign investments and investment activities have been developed faster than the legal base in any other area. The effect of all laws has been to dramatically improve the environment in which foreign investments to Russia can be made. These federal regulations are complemented by local legislation which seeks to confirm Voronezh as the most attractive location for foreign investment within the Russian Federation. The Voronezh oblast has already gained significant experience in working in partnership with foreign enterprises and organizations. Already more than 100 enterprises with foreign partnership are registered in the Voronezh oblast including almost 60 with partners from outside the CIS including American, German, Czech, French, Chinese and Swiss companies. These joint ventures have engaged in such activities as food processing, public nutrition, wholesale and retail trade and international trading services. The authorities of the Voronezh oblast would especially welcome further foreign participation in the oblasts's manufacturing sector (including military conversion enterprises) in which enormous potential remains untapped. For more information contact:
The Voronezh Region Administration
office phone: 55-17-00 The Russian-American Chamber of Commerce® is a nonprofit, nonpartisan organization acting to promote American business interests in the Russian marketplace. The Russian-American Chamber of Commerce®
Last Updated:14th July 1999. |
