‘The decision to put limits on the import of Byelorussian sugar to Russia was taken because of substantial losses incurred by home producers for the last three years due to oversupply of Byelorussian sugar on the market. Imported sugar was almost thrice as cheap as the home-made one,’ Commercial Director of Rosbakaleya Ltd. Alexander Shevchenko said to UrBC. ‘Byelorussia’s four sugar plants appear to be overproducing, so they import almost everything they make to Russia. This sugar is tested at our customs; some samples are used for lab tests, which means there are certain additional costs

BrokerCreditService looked at the state of events in the consumer sector of Russian market of shares in January-March 2007; the shares of companies dealing in consumer goods appear to be doing much better than the stock market on the whole (the RTS index only went up .7% since the beginning of the year). A lot of such producers came up with very impressive annual reports for 2006 and drew up statements regarding their development strategies for 2007. ‘There were, however, a few sad occasions. The report produced by Kalina (RTS: KLNA), the cosmetics giant, turned out to be the first quarter’s

The average existing trade area prices (per square meter of dwelling) in Yekaterinburg went up 13.59% (from 86,043 RUR on December 28, 2006 to 97,737 RUR on March 27, 2007), reports the Analytical Department of the Ural Chamber of Real Estate. These prices went up 20.12% (from 99,211 RUR in December 2006 to 119,172 RUR in March 2007) in the downtown area (i.e. in Moskovskaya St., Chelyuskintsy St., Vostochnaya St., Dekabristy St., Belinskiy St., and Bolshakov St.). The figure rose by 27.22% (from 81,829 RUR to 104,099 RUR) in Yekaterinburg’s second most expensive residential area (Avtovokzal,

The average pay rose by 32.2% against January 2006 and now amounts to 12,009 RUR a month, First Deputy Minister for Economics and Labor Nikolai Bespamyatnikh announced at Sverdlovsk Region Cabinet meeting. ‘The region’s industrial production index went up 8.4% compared to a year earlier; so did the amount of investments (28%) that now comes to 9.5 billion RUR,’ Mr. Bespamyatnikh added. On the other hand, Ural Federal District’s law-enforcement agencies have reported more than 4,000 violations related to paying salaries since the beginning of the year. However, the disclosure of these abuses

‘Most Russian business is done in Moscow; unlike the U.S. or Europe, this country does not have any geographical evenness; there is the official capital and the so-called cultural capital (Saint Petersburg) that is trying to be like Moscow, and there are provincial markets,’ says Alexei Mogila of Moscow-based Penny Lane Realty. ‘At the moment, regional office sales markets resemble that of Moscow a few years ago: offices are being put up at a slower pace than trade centers and shopping malls, and quite often, these are the old Soviet buildings that used to host bureaucracy that are used for

URSA Bank held AGM on April 12, 2007; the meeting resulted in approval of the annual report and of the annual balance sheet as well as the profit and loss statement. The attendees also looked at the report by the inspecting committee for 2006 and agreed upon Altai Audit Consulting Ltd. as their auditor for 2007. The shareholders elected the new Board of Directors: Andrei Bekarev, Kirill Brel, Yuri Vavilov, Ruben Vardanyan (Troika Dialog’s Chairman of the Board), Gueorgui Vassilev (Clariden Leu SA CEO), Oleg Kirillov (Director of SM. CAPITAL GROUP PTY Ltd.), Alexander Taranov, Arvid Turkner

Governor of Sverdlovsk Region Eduard Rossel appointed Ivan Rabtsevich head of State Construction Surveillance Administration in Sverdlovsk Region, reports the Governor’s press officer. Mr. Rabtsevich used to be involved in military construction in the capacity of the district’s Deputy Commander-in-Chief for construction. The Governor laid special emphasis on the fact that for the first time the issue of technological monitoring was raised to the regional level, which vests the new executive with particular responsibility.

President Vladimir Putin met members of the Russian Government on April 16, 2007 to discuss the report of First Deputy Head of Government Sergey Ivanov on the agenda of the meeting of the Commission on Problems of the Defense-Industrial Complex under the Russian Federation Government to be held in Yekaterinburg on April 19, 2007, reports the spokesperson for the Governor of Sverdlovsk Region. Mr. Ivanov said the meeting would be attended by a number of governors and industrial enterprises executives and was mainly targeted at finding the ways of implementing the achievements of Russian

On Monday, Ural Airlines’ top managers received a cable from head of Rosaviation Evgeniy Bachurin regarding the anxiety the agency feels in terms of lack of understanding between the carrier and Koltsovo airport management. ‘I suggest that Koltsovo should try to host and service Ural Airlines’ flights in the summer of 2007 in compliance with the so-called historic slot schedule. The head of the local division of Rosaviation must see to this being done properly,’ the cable says. Kolstovo airport executive announced at the 4th air travel conference Urals’ Open Sky 2007 on April 13, 2007 that

Moody's Investors Service (the international rating agency) gave SKB-Bank the long-term B2 and the short-term NP ratings in terms of foreign currency accounts and E+ rating in terms of financial stability. At the same time, Moscow-based Moody's Interfax Rating Agency (wholly controlled by Moody’s) assessed the bank on the national long-term Baal.ru scale. SKB-Bank was rated Russia’s 79th largest bank assets-wise in the third quarter of 2006 and Sverdlovsk Region’s third largest bank. SKB-Bank offers its services to both individuals and businesses or organizations and tries to set up

Acting Head of Sverdlovsk Region Government Galina Kovaleva coordinated a cabinet meeting devoted to implementation of the President’s address to the Federal Assembly in the first quarter of 2007. One of the reports was presented by First Deputy Minister for Economics and Labor Nikolai Bespamyatnikh, who said Sverdlovsk Region was doing quite well in terms of economic development. The region’s industrial production index went up 8.4% compared to a year earlier; so did the amount of investments (28%) that now comes to 9.5 billion RUR. The average pay rose by 32.2% against January 2006 and now

All the divisions of Nizhniy Tagil customs processed 2,600 freight declarations in March 2007, which exceeds the figures for the previous March by 21.3%, reports the spokesperson for Ural Customs Administration. Foreign trade turnover within the area of Nizhniy Tagil customs amounted to $255.7 million, which is 20.2% better than a year earlier, with 82.7% of goods transferred to and from the far abroad and 17.3% shipped to and from the countries of the CIS. The import/export ratio was estimated at 12.5% to 87.5%. The freight turnover amounted to more than 407,000 tons, with 238,500 tons of

Online Bank24.ru registered its 4,500th client on April 16, 2007. This was Uniland Yekaterinburg, one of Sverdlovsk Region’s largest wholesale supermarkets. The winning customer was awarded with six months of free service. ‘I chose Bank24.ru because of a user-friendly interface and excellent operative qualities. The system allows you to create new documents easily since it supports quite a few specialized reference books. Besides, I was pleased to find out that the bank now accepts all the non-cash payments until 6 PM. It’s a great perk for Uniland, as wholesale trading involves suppliers and

SKB-Bank offered its clients 229 mortgages in January-March 2007 compared with 207 a year earlier and only 159 in the first quarter of 2005. 32 mortgages were actually given to borrowers wishing to invest in apartments currently under construction. SKB-Bank’s mortgages are now available not only to people living in Yekaterinburg but also to dwellers of other cities who can visit the bank’s subsidiaries located all over Sverdlovsk Region, Chelyabinsk Region, Volgograd Region, and Rostov Region; one third of mortgages provided in the first quarter of 2007 was issued outside Yekaterinburg. ‘This

Governor of Sverdlovsk Region Eduard Rossel met head of the regional division of Highway Administration Vladimir Plishkin to discuss the highway extension proposal for Yekaterinburg-Koltsovo airport route. This is planned to become a four- to six-lane highway; 11.2 kilometers of road will undergo reconstruction using 3,000 tons of cement and more than 100,000 tons of asphalt concrete. The project is expected to be completed in May 2009.

Ural Airlines has recently reported that the carrier is fully prepared for the summer season. The company is still the regional leader in terms of Egypt- and Turkey-bound flights, and the number of passengers is expected to grow even further this summer. Chartered flights to Saloniki, Cyprus, and Bulgaria are going to be introduced in the very near future. Some new destinations will also become available in Chelyabinsk and some other cities, says the company’s press officer. Speaking of Chelyabinsk, there are three chartered flights to Antalya consolidated by Coral and More Travel this year;

Federal Antimonopoly Service has been trying to reveal any cases of collective domination on the regional retail oil markets. The law says that any three bodies possessing an over 50% share of the market, or any five bodies possessing more than 70% of the market (provided each player has at least 8%), can be classed as an instance of collective domination; such cases have been found in 38 Russian Regions, namely: Bashkortostan, Altai, Karachaevo-Cherkessia, Karelia, Tatarstan, Udmurtia, Chuvashia, Krasnodar Region, Perm Region, Stavropol Region, Amur Region, Arkhangelsk Region, Astrakhan

‘The state of Sverdlovsk Region Railways is deplorable and, as a matter of fact, this is the most poorly functioning section in Russia. The losses amounted to 13 million RUR last year; to make matters worse, the company failed to achieve the target performance figures for the first quarter of 2007,’ President of Russian Railways Vladimir Yakunin announced at a meeting with the company representatives today. ‘The safety level was obviously shameful last year; there were cases of setoffs, five instances of derailing, and damaging of goods. Anyone has a right to err, but if this person’s mistake

Governor of Sverdlovsk Region Eduard Rossel held a meeting with Koltsovo airport management on April 13, 2007 to discuss the summer aviation season, reports the spokesperson for the Governor. The meeting was attended by Head of the Governor’s Administration Alexander Levin, acting Head of Sverdlovsk Region Government Galina Kovaleva, Ural Airlines CEO Sergey Skuratov, and General Director of Koltsovo airport Mikhail Maximov. The meeting participants had to discuss changes in the schedule of summer south-bound flights. Koltsovo suggested changing Ural Airlines’ traditional flight departure

The planning project of the first section of Academic district of Yekaterinburg was approved by the Mayor. This project is the key document to be used in the further construction process that determines the boundaries of the district, general characteristics, and engineering particularities. The builders can now start getting things ready in terms of engineering and power-supplying facilities. ‘The overarching idea behind the project is creating a residential area with good quality, comfortable living space that could include the River Patrushikha and some forests; it is going to be a city