Galas Taimaskhanov: “Chechen industry is at a starting point”

Speaking about recovery of Chechen economy, experts mention necessity of industrial potential development and establishing of working places in this sphere. In prewar years two thirds of domestic product of the republic referred to industry. The minister of industry and energy of Chechnya Galas Taimashanov told VK about the ministry’s activity.

-    Galas Sultanovich, what are the republic’s chances to recover industrial potential?

-    In general Chechen industry is at a starting point at the moment. Four enterprises will be launched this year. We have 16 enterprises in whole. Last year the government of the republic adopted the mid-term program on industrial development for next three years. We plan to increase number of working places significantly. We expect tenfold growth of production volumes in all branches – engineering, instrument engineering, electric branch, woodworking branch, consumer industry, and so on. In 2014 we expect increasing of domestic product up to 5149.9 million rubles and speeding up production pace in 45 times in comparison with 2010. By 2025 we plan modernization of facilities.

We have a definite task – use money allocated to us. We intend to modernize abandon enterprises. We work on rebranding of products and falling costs of them. I think in first four months of the year we will achieve positive results, and later the Ministry of Energy will produce good demanded in Chechnya. We are working together with Rosselkhozbank, VEB and the Moscow Industrial Bank.

Local industry also relies on its own natural resources. For example, we have an investment project on a cement factory and development of minor energy. We plan to cooperate with foreign companies in the sphere of water turbine production.

-    What industrial enterprises function in Chechnya?

-    Two main plants are Chechen-Auto and Electropult-Grozny. These are developing enterprises, and we plan to export their products. By export I mean other regions of Russia. Today Electropult exports equipment to facilities under construction of the federal net company, interregional distributing net company of the North Caucasus, plus the enterprise has got an order from atomic power stations under construction in Russia.

As for car industry, we plant to allocate production, i.e. the republic will produce 10-12 car components. The international experience shows that one working place in the car industry creates 7-10 working places in other branches. Components for assembly line will be supplied by our own enterprises. Our program is supported by the Ministry of Industry and Trade of Russia, the Ministry of Region Development and the Ministry of Economic Development of Russia. We want to focus on production of unitary-construction cars and ring-bridge structure cars. We are holding negotiations on it – minivans and light commercial vehicles. We successfully promote cars produced by joint plants, for example, VAZ 21074. We have trained about 500 specialists beyond the republic. People with higher technical education studied in St.-Petersburg, Moscow, Tolyatti and other cities. Production of “Priora” cars was decided to shift to the Chechen Republic. I think it is a great achievement for us, as our competitors were Izhevsk, Ukraine and Kazakhstan.

The republic’s potential is high. We have a lot of industrial facilities that should be used. By the end of 2012 we plan to open Alkhan-Kalin woodworking plant. Products of the plant will be exported to Austria, Germany, Turkey. Other plants are oriented at the local market.

-    Do you have radical measures for industrial recovery?

-    The Ministry of Industry and Energy developed initial key measures for 2011-2012. The implementation of them will contribute to growth of competitive production and establishing of new working places at eight industrial facilities. The government of the republic allocated 150 million rubles. These measures will enable us to increase production of goods up to 650 million rubles. Moreover, more than 700 new working places will be established.

Today our enterprises produce more than 340 products and services. Products of Electropult-Grozny and Grozny Electromechanical Plant correlate with international standards.

-    Have you managed to attract investments to industry?

-    Regarding investment activity, almost all branches are involved in the list of investment projects. Projects of high priority are construction of hydroelectric station on the Argun River, development and construction of the second phase of the car production plant in Argun, construction of the vehicle components production plant.

Interview by Timur Utsoyev, Grozny. Exclusively to VK