16 June 2004 05:05
Minister Urban wants to raise Czech imports to Russia, cut gap
ST PETERSBURG, June 16 (CTK) - A steep increase in Czech exports to the Russian Federation and a quick reduction in
the Czech Republic's large trade deficit is the Industry and Trade Ministry's priority, Industry and Trade
Minister Milan Urban told CTK at 8th Economic Forum in St Petersburg today.
Last year the Czech Republic exported EUR516m worth of goods to Russia and but imported goods worth EUR2bn.
"Imports from the Russian Federation are considerably higher because we import oil and gas. Therefore, we must
find the projects within which we can export those commodities that we can make well. That is especially engineering
equipment," said Urban.
Czech products still have a good reputation in Russia and there is interest in them. "We will add ... funding
via the Czech Export Bank. And we are ready to fund these projects also via some regional banks," he added.
The funding of projects via regional banks is the ministry's novelty. It is more risky but according to Urban it
is necessary moderately to risk. In a situation where 80 pct of Czech exports target the EU, it is necessary to seek new
markets in non- European territories, Urban said.
Stepan Jilek, director of the St Petersburg branch of government agency CzechTrade, said that in the post-Soviet
republics Czech firms will succeed by investing rather than exporting goods.
"Direct exports of individual components are not economical. Many firms find it out and then start own
production directly in Russia," Jilek said at the forum.
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[Czech News Agency] |
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