Orenburg region is one of the largest regions in Russia. It is situated in the distance of 1500 km to the south-west from Moscow. It has an easy access from Europe, Central Russia and Central Asia. The region boarders upon Samara region, Chelyabinsk region, Tatarstan, Bashkortostan and Kazakhstan Republics. The region is located on the territory of the basins of the two large rivers – Ural and Volga, Orenburg-city is the administrative center.
In Orenburg region there are more than 2500 deposits of 75 mineral resources.
The region ranks among the leading in Russia in the total amount of minerals and the level of their extraction. The geologists assest the total value of deposits at over five hundred billion dollars. These deposits have given life to more than three thousand enterprises, among them three hundred large-scale and medium-scale enterprises.
The basic branches of Orenburg region’s economics are oil and gas industry, ferrous and non-ferrous metal manufacture, power industry, engineering industry. The region’s light industry is famous for the production of unique down-knitting shawls.
Today the words "Orenburg region” stand for:
1) An annual output of industrial products for more than two hundred sixteen billions roubles and agricultural products for thirty billions roubles
2) Gas, oil, ferrous metals, copper, nickel, gold, silver, rock salt
3) Wheat, rye, sunflower, melons and gourds.
More than 3 percents of all-Russian natural gas are produced in Orenburg region. The annual output of the Orenburg gas-chemical enterprise is equal to 20 billion cubic meters of natural gas, 1 billion tons of sulfur, and it is the world largest producer of gaseous helium.
17 million tons of crude oil, produced in the region, constitutes 3.7 percents of all Russian oil. The annual output of the region oil processing industry is 4 million tons of high-quality oil products that satisfy all modern requirements.
The region’s enterprises of non-ferrous metal manufacture form a single closed cycle which includes anything from mining of complex ores to manufacturing of final products (that is radiators of tractors). We supply internal market as well as markets of foreign countries with copper and Zink concentrates, nickel, cobalt, blister copper, rolled non-ferrous metals. 15 percents of Russian copper, 17 percents of zinc and 6 percents of gold are produced in Orenburg region.
Ferrous metals, rolled metals and high-quality grades of cast iron and steel produced by "Uralskaya stall” company constitutes 6 percent of total country’s output.
Engineering industry of Orenburg region includes 70 enterprises of electrical industry, tractor and agricultural engineering, transport and heavy engineering. The range of products is rather wide. It includes blast-furnace and steel-smelting machinery makes up 50% of the total Russian production; ac motors make up 33% of the total Russian production, 50% of the asbestos production, metal-cutting equipment, tractor and car trailers, refrigerating plants, helicopters for civil aviation, UPS, low-voltage start-up instrumentation, refrigerators, etc.
As the transport infrastructure is perfectly developed in our region, there is no problem with freight transportation and passenger traffic. The length of hard-surface roads is above 13 thousand kilometers, the railway roads length makes up 1650 kilometers, oil-pipe line and gas pipeline extension is 1800 kilometers. There are two active airports: in Orenburg and in Orsk. Everything is possible for air communication with European countries, Asia and Africa. Nowadays we are striving to enter the international transport corridors of Russia.
Our region has got a leading position on communication development.
The agro industrial complex is the object of pride in our region. It is the second largest field in the Russian Federation (above 6 million hectares).
The volume of the agricultural production has a stable tendency to increase. Our region is considered to be one of the main granaries in Russia. Over 3 million tons of best grain specimens including the unique sorts of hard wheat are cropped here annually.
According to the integrated assessment of the socio-economic development Orenburg Region places 17 in Russian Federation.
According to predictive estimates of socio-economic development of the subjects of Russian Federation on the period of 2005-2007, published by the Ministry of economic development of Russian Federation in August of 2006, Orenburg Region is transferred into the group of regions with above average level of development, among which Moscow, St.Petersburg, Samara, Lipetzk regions and Tatarstan.
The Government of Russian Federation have arrived at such a decision for good reason.
Nowadays Orenburg region is one of the most rapidly developing subjects of Russian Federation.
Economics of Orenburg region is part of world economic relationship. 20% of national produce is due to foreign economic lincs.
More than 30% of the entire industrial output is produced for export.
There is a strong growth in the foreign trade turnover. Estimating the results of 2005 foreign trade turnover amounted 2865,0 million dollars, export making up 2072,4 million dollars to be included. The latter number is 2,2 times larger compared with the results of 2000. Import amounted 792, 6 million dollars and has topped by 65, 4%.
The commodity composition of export consists mainly of oil and gas output, ferrous and non-ferrous metal produce,chemical industry output.
74 countries were represented as export and import partners of our region in 2005.
Foreign trade turnover volume places Orenburg region 20 th among 88 subjects of Russian Federation.
Estimating the results of 2005 the market shares of Orenburg region in the foreign trade turnover of Volga Federal district formed 9,9%.
There has been achieved a strong growth of fixed capital investments, which made up 36,8 milliard roubles in 2005.
We are holding more interest in foreign capital formation for obvious reasons: there are many problems that should be solved. Besides, we are inclined to solve them and have already used foreign capital formation for such aims.
Over the last years foreign capital formation in Orenburg region amounted more than 1 milliard US dollars.
About 170 enterprises and organizations with foreign investments are actively working in our region. The amount of foreign capital in the statutory funds of organizations with foreign investment makes more than 84 million US dollars.
World greatest international companies have joined the regional market: "Schneider Electric” (France), "British Petroleum” ( UK), "John Deere” ( USA), "Heineken” ( Holland).
According to the research made by the most authoritative Russian rating agency "Expert RA” investment risk rating has increased by 44 items (from 75 to 29), as well as legislative risk rating has topped by 64 items (from 83 to 19).
Proirity is given to the development of machine-building industry of Orenburg region.
Serial output of light civil helicopters K-226, produce of motor-compressors for domestic refrigerating engineering and gas stoves are among the most important projects.
Housing problem has reached its crisis point.
The Government of Orenburg region does everything possible to solve the problem: budget capital investment have been appropriated for house-building industry. But this is not sufficient and we will draw foreign investors to help solve the problem.
Development of tourist and recreation resorts may present interest for potential partners.
We have at our disposal such natural resourses as Buzulukskiy Pine Woods, the manmade sea in the steppe Iriklinskaya reservoir, Kuvandyk ski-resort and the unique salt lake in Sol- Iletsk, medical quality of which exceeds those of the famous "Dead Sea”. This may be a good basis for creation of the resorts of universal importance. Besides we have favorable opportunities for kumiss therapy.
To develop the most important projects the Government of Orenburg region will provide insurance arrangements to the foreign capital formations already existing.
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