“The Russian government has already taken more than 270 anti-sanctions measures. Separate programs have been developed for projects implemented in the Far East. Because the majority of proposals from investors were regarding subsidizing interest rates to reduce the cost of a loan, 25 billion rubles were reallocated for this as part of the state program for the socio-economic development of the Far East. There is a program for subsidizing working capital for backbone enterprises. There are eight such enterprises in the Magadan Region: in aviation, mining, and energy,” Yury Trutnev said while opening the meeting. 

According to the Deputy Prime Minister, it is necessary to pay attention to the needs of each investor and provide entrepreneurs with the required support.

The meeting was attended by the heads of Kolymanefteprodukt, the Magadan Commercial Sea Port, Modern Machinery Far East, the Magadan Airport, and Energosbytholding. Entrepreneurs spoke about the progress being made in the implementation of investment projects and work on the development of production.

The only plant in the Far East of Russia to restore components of Komatsu equipment to like new is in Magadan. Yet, in the current situation, difficulties have arisen in organizing the supply of components. Yury Trutnev instructed the Ministry of Industry and Trade of Russia, the Ministry of Economic Development of Russia, the Ministry for the Development of the Russian Far East and Arctic, the government of the Magadan Region, together with the management of the enterprise, to work out the issue of localizing the production of equipment and components for the mining industry, including the use of special investment contracts to receive state support.

The reconstruction of the berths of the Magadan Commercial Sea Port was also discussed. Design work is underway to upgrade berth No. 5. The modernization of four more berths is also required. Yury Trutnev instructed the Ministry of Transport of Russia, the Ministry for the Development of the Russian Far East and Arctic, the government of the Magadan Region, together with Magadan Sea Port PJSC, to consider the possibility of including the reconstruction of these berths in a comprehensive plan to modernize and expand the main infrastructure.

The management of Kolymanefteprodukt raised questions about the transshipment of petroleum products and the increase in the cost of marine fuel. “Transportation costs, vessel charter, and the price of motor fuel lead to an increase in the cost of goods and products imported through the Northern Delivery. This affects the quality of life in the Far East,” Yury Trutnev noted. He instructed the Ministry of Transport of Russia, the Ministry of Energy of Russia, the Ministry of Economic Development of Russia, the Federal Antimonopoly Service of Russia, and the Ministry for the Development of the Russian Far East and Arctic to develop a set of measures to stabilize fuel prices for the Northern Delivery.

A project to construct a new terminal complex for domestic flights at the international airport is currently being examined. The possibility of providing an investor with a soft loan was discussed. Yury Trutnev instructed VEB.RF, together with Magadan Airport JSC, to work out concessional financing options to implement the project.

A project by Energosbytholding LLC for the construction of a data processing center is at the investment evaluation stage. The investor wants to conclude a long-term power supply contract with Kolymaenergo PJSC and an investment agreement with the regional government.

Yury Trutnev paid special attention to the importance of supporting investment projects by the heads of the Far Eastern regions. “Much depends on the position of the governor. They should not be just an important official, but become a partner in every investment project in their region. So that entrepreneurs understand that the governor is on their side, that they help to resolve issues, and if necessary, bring the discussion to the level of the government of Russia. If entrepreneurs believe that everything will work out with, they’ll not only invest in the main production, but also create conditions to improve the quality of people’s lives. This is being done in the Magadan region,” he said. 

At the end of the meeting, the Deputy Prime Minister noted the need for regular gatherings with entrepreneurs. “We’re going to constantly hold meetings with investors and heads of enterprises. Each project has its own vision of development, its own type of product. And we need to hear every investor and help them,” he summed up.