Spartak Zhidkov, Abkhazia. Exclusively to Vestnik Kavkaza
On November 15-16, the Fourth Business Forum “Russia and Abkhazia: achievements of inter-regional cooperation 2012” was held in Sukhumi. It is the most important and biggest event conducted by the Abkhaz office of the development fund of the Eurasian Studies Institute which is headed by Sokrat Dzhingzholia. Every year the forum gathers several hundred representatives of Russian business circles, officials – from Moscow and regions. This April first humanitarian forum was held where cultural, art, educational, scientific, and other issues were discussed. One may hope it will be annual as well. But the business forum is much greater, of course.
At the opening ceremony the greeting of Russian President Vladimir Putin was voiced: “The agenda of the meeting includes issues which are connected with development of Abkhazia in all spheres and improvement of its investment attractiveness. Of course, we have to define the most prospective directions for development of mutual projects and building firm inter-regional contacts. I am sure that the forum will have a creative and constructive atmosphere and its recommendations will be fulfilled in practice,” the document said. It was read aloud by the head of the Russian President’s office on inter-regional and cultural ties with foreign countries, Vladimir Chernov.
The business forum is the central event of Russian-Abkhazian relations today. After Moscow recognized Abkhazia’s independence in August 2008 and the states signed and ratified the agreement of military-political and economic cooperation, the economic sphere becomes high priority. It might seem that cooperation between Russian and Abkhaz officials and businessmen is a routine process and no comments are demanded. However participants of the forum and many experts noted that economic cooperation is developing with a slow pace. For example, the ambassador of Russia in Abkhazia, Semen Grigoryev, stated about this at the forum. “We have to admit that Russian business doesn’t come to Abkhazia as willingly as we wish. Only Rosneft is a major company, while medium businessmen are less than few.” What is the reason?
Abkhazia is still discussing what economic segments should get more attention and what investments will bring more benefits. On the one hand, it is well-known that Abkhazia has various resources. Almost all kinds of tourism, subtropical agriculture, water power engineering, fishery, coal mining, murmur mining, and oil prospecting seem to provide the republic with huge opportunities. However, it should be noted that some development plans do not correlate with others. There is a long discussion: can oil prospecting and wood export be provided if it may damage resorts and tourism? Should the republic count on citrus and vinery only, if other fruits and vegetables are imported? Abkhazia has fertile lands which can give harvest two-three times in a year, but there is lack of plain fields which could be cultivated by big agricultural machines. It leads us to a conclusion: in this sphere small business should be developed. But how can the problem of purchasing of fruits and vegetables from farmers who are not satisfied with proposals of dealers be solved? Such questions arise all the time.
Abkhazia has adopted and is implementing the Complex Plan of support of socio-economic development, but it cannot predict all new opportunities which appear every year.
Cooperation with the regions of the Russian Federation is a very promising sphere. However, many businessmen do not know Abkhazia, others have been there in Soviet times when the economy was absolutely different. They need time to understand all peculiarities of the Abkhazian reality. Business forums enable Russian businessmen to share experience and estimate prospects at local conditions. The annual event is conducted in right time: in middle November it becomes cold in Abkhazia and the resort season is ended, nothing interferes businessmen from serious talks.
The forum gave an opportunity to state the governmental position on reconstruction of the republic’s economy once again. “We are often criticized for inappropriate approaches to implementation of opportunities which are provided by the Russian support,” President of Abkhazia Alexander Ankvab said at the forum. “Critics believe that these resources should be spent for building enterprises, plants, and factories, but not for social development and infrastructure. I cannot agree with them. The state cannot allocate main resources only to development of industry when schools and roads are destroyed, when hospitals are in poor conditions and many people cannot get professional help in their own country, when household conditions of many citizens are inappropriate. We remember quite well that ahead of the war a series of industrial enterprises was working in Abkhazia – furniture, textile, confectionary and other factories, poultry plants, a canning factory, and many others. And nobody has a doubt that they should be reconstructed.” However, Ankvab emphasized that “no facilities can work now without stable energy supply and relevant infrastructure. Reviving of economy is impossible without sound population. We plan to reconstruct city and village hospitals, provide them with modern equipment. I draw attention of the forum’s participants to the fact that a huge-scaled work is waiting for us.”
The Sukhumi business forum becomes a traditional annual event and not only a coordinating body for cooperation between Russia and Abkhazia on economy, bus also a round table for exchange of views between Russian businessmen and scientists. Abkhazian capital is perfect for this role.
