Regional machine-building industry uses equipment worn out 50% to 70%

16 May 2007 (14:32)

Deputy Minister for Industry, Power Engineering, and Science of Sverdlovsk Region Yuri Zibarev announced at a recent regional government meeting that local machine building industry was still having a hard time. Its share in the total volume of the region’s industrial production is slightly over 17%; investments are scarce, the companies’ own finances are limited, and there is acute shortage of skilled workers. What is more, equipment they use is worn out by 50% to 70%, Mr. Zibarev said.

The government decided to respond with a set of measures that could support local machine-building enterprises. The government’s acquiring a stake in the companies’ capitals would help to raise the volume of investments and thus accelerate equipment upgrading rates. Then, there are plans to set up technological research centers, parks, holdings, and introduce special grants.

‘Our enterprises are expected to invest 51.6 billion RUR (coming from their own and attracted resources) in production development and hiring more workers and launch over 90 new types of goods; more than 1 billion RUR will be allocated from the regional budget; besides, over 60 companies should come up with 160 business programs,’ Mr. Zibarev reported.

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