The Development Corporation of Sverdlovsk Region has signed over 10 agreements on investment project support for the Innoprom days. All of them are aimed at developing new business projects in the Sverdlovsk Region, attracting investments to the region, and cooperating with foreign partners.
In 2018, the Sverdlovsk Region was ranked number 20 in the National Investment Climate Rating among Russian constituent entities kept by the Strategic Initiative Agency. Improving the investment attractiveness of the region, ensuring proper support of projects are some of the key challenges set by Governor Evgeny Kuyvashev to the specialized ministries and authorities. The Innoprom exhibition demonstrated the high interest of foreign companies in the Middle Urals and the regional business activity.
On the first day of the Innoprom, the Development Corporation of Sverdlovsk Region signed memorandums of cooperation with the KITA Korean International Trade Association and the Ansteel Chinese metallurgy holding.
The first one will be a reference point for new projects and Russian-Korean joint ventures. The second one is to involve one of the world’s largest metallurgy corporations in the Ural companies’ project funding.
“This means that a major investor enters the regional market to invest in projects of the Sverdlovsk metallurgists. The Development Corporation of Sverdlovsk Region has selected 6 potential process partners for Ansteel. The projects include the production of aluminum pipes, special steel smelting, copper ore field development in the Sverdlovsk Region, production of aluminum powder, as well as a project for welded pipe production modernization and corrosion insulation. Each project is being studied today,” said CEO of the Development Corporation of Sverdlovsk Region Sergey Kiselev.
On the second day of the Innoprom, the Development Corporation of Sverdlovsk Region signed two important agreements in the field of agro-industry.
At the Innoprom an agreement was reached to establish the Baltym Agro-Industrial Cluster by 2028. The Development Corporation of Sverdlovsk Region signed the cluster establishment agreement with the agricultural company – TD Region TS LLC. This large-scale project consists of 8 major projects in the agro-industrial sector: establishment of milk production, fodder production, and several other lines.
Virtually, a major agricultural complex will be established, capable of food procurement for the entire Sverdlovsk Region. Over RUB 10 billion is planned to be invested. 1,300 jobs will be created.
“Our motto: we grow, we process, we sell without intermediaries. This makes agro business profitable. The profit margin is 70 to 80 %” pointed out Chairman of the Board of Directors of TD Region TS LLC Evgeny Kremko.
The Corporation plans to support the project in terms of infrastructure and help to raise funds under privileged conditions.
Another agreement with UralInvestAgro is aimed at developing a greenhouse facility for growing vegetables and herbs. The vegetables will be of better quality than imported ones, as well as more affordable for consumers.
Besides, on the second day of the Innoprom, the Development Corporation of Sverdlovsk Region signed an investment agreement with Rudnik Imeni Tretiego Internatsionala LLC to recover the Severo-Olkhovskoe field in the Sverdlovsk Region and extract copper concentrate. The Development Corporation of Sverdlovsk Region will help the project to find a co-investor, as well as to source state support measures.
“The mine recovery and the copper ore field development is an important project for the mining and metals sector of the Sverdlovsk Region. It is especially important because of the reducing easily accessible resource base of copper ores. The global demand for copper is growing – it is widely used in electronics and the intensively developing electric machine industry,” said Deputy General Director of the Development Corporation of Sverdlovsk Region Nikita Koskevich.
Furthermore, the Development Corporation of Sverdlovsk Region, Transibbural Group and Brozex Group announced the establishment of a new brownfield industrial park in Ekaterinburg at the Innoprom exhibition. The new Ural Logistics park will be established near the Novosverdlovskaya Heat and Power Plant. The site area will be 31 Hectares. Production facilities has been already built on one-third of the site. 15 thousand square meters more of B class warehouses and industrial premises for small and medium businesses will be launched shortly.