Successful entry into the Russian market depends on your ability to establish strong partners. Our new Russia Office has been developing strategies for international companies that have resulted in access to otherwise impenetrable markets and lucrative revenue streams. Through its years of experience, strong knowledge base and established network of influential contacts across a number of industries, the team in St. Petersburg is uniquely positioned to potentially assist you in entering one of the fastest growing economies in the world.
Why Russia?
The size of the Russian economy is impressive: in 2008, Russian imports topped $292 billion, representing 30% growth over the previous year. The most sought after products on the market vary across different industries including:
• Mining related products
• Agricultural machinery and technologies
• Production equipment
• Processed foods
• Health products and medications
Russia’s Mining Industry
Russia holds around 15-17% of the world’s mineral reserves including 33% of the natural gas, 11% of the coal and 26% of all metals reserves. The monetary value of these resources is estimated at a staggering $340-380 trillion.
The Russian mining sector has not been greatly affected by the recession and continues to post strong profits. At present there are 20,000 deposits of mineral resources in Russia of which only a third has been exploited. Exploration and development of new mines has reached record levels in recent years and show no signs of slowing: international experts predict mineral resource extraction in Russia will grow by five times in the next 50 years. As Russian mining companies look to become more efficient in resource extraction and expand their operations, massive investment in new technologies and equipment will be required. Canadian mining companies are positioned to capitalize on the great opportunities in Russia in the following areas:
• Engineering and construction services
• Mining equipment and power units
• Mining project management
• Software products and information technologies
• Spare parts
In addition to the above, the Russian government is beginning to crack down on environmental offenders – as adherence to tough legislature passed recently takes effect, a whole new market for companies active in this area will be created.
Our office in Russia is well connected among the leaders in the major Russian Mining Companies. Among our staff are professional miners and geologists. We are equipped to help you develop and execute an effective strategy for entry into the mining sector in Russia.
What’s next?
In order to determine if our services are a fit for your organization in developing a strategy for Russia, please feel free to contact JP Mercieca at jpmercieca@canadaexportcentre.com, Head of the Export Development Group.
