Foreign Trade in Jan 2015

Belarus-World

Belarus-EU

BELARUSIAN P ARLIAMENT A PPROVED P ROGRAM OF BELARUSIAN G OVERNMENT FOR 2015

Belarus Business Newsletter for Belgium & Luxembourg

On February 25 the House of

Representatives of the Na-

tional Assembly of Belarus

voted for the government's

action program for 2015.

Prime-Minister Andrei

Kobyakov presented the Pro-

gram. The document com-

prises seven chapters to cov-

er all the areas of efforts of

the government. Each chap-

ter specifies concrete goals,

tasks, implementation mech-

anisms, and agencies respon-

sible.

In 2015 the key goal for the

Government of Belarus will

be to ensure macroeconomic

and social stability in the

environment of growing ex-

ternal challenges and threats,

and to ensure conditions for

dynamic economic develop-

ment of Belarus in 2016-2020

and later on.

The top goals include pursu-

ance of an effective macroe-

conomic and monetary man-

agement policy, moderniza-

tion of the state system of

economy regulation, promo-

tion of competition, small

and medium entrepreneur-

ship, enhancement and di-

versification of exports, fur-

ther promotion of integration

in the Eurasian Economic

Union.

The Prime Minister has spe-

cifically underlined that the

Government will ensure that

all external obligations of

Belarus in 2015 (at around

US$ 4 billion) are timely met.

"The violation of the debt

obligations is unacceptable,"

said Andrei Kobyakov.

The Government and the

National Bank have come up

with scenarios that outline

the development of the na-

tional economy in 2015 de-

pending on oil prices and the

exchange rate of the Russian

ruble as the most predictable

parameters that influence the

macroeconomic situation in

Belarus. Responses and econ-

omy balancing measures

have been worked out for

each scenario. The basis sce-

nario was calculated on pre-

sumption of the oil price of

US$ 52 per barrel and ex-

change rate of 60 Russian

rubles per US$ 1. Optimistic

and pessimistic scenarios

with different parameters

were elaborated as well.

Issue No. 4 20/03/2015

FEBRUARY 2015 INDICATORS:

GDP -0.6%

Industry -5.8%

Agriculture +5.4%

Wholesale trade -7.8%

Retail trade +1.2%

Consumer prices +4.1%

Real salaries +0.1%*

Labor productivity +2.9%*

Unemployment 0.7%*

* January

E m b a s s y o f B e l a r u s i n B e l g i u m a n d L u x e m b o u r g

IN THIS ISSUE

Minsk and Moscow Lift

Restrictions to Access

Russian Tenders

2

Belarus May Increase

Diary and Meat Exports

to Russia

2

New oil deposit

discovered in Belarus

2

United States lift sanc-

tions against Belorusneft

2

Auction to sell “Brest

Beer” Set on May 5

3

Hi-Tech Park Exports

Grow 31% in 2014

3

Investment projects

from Belarus

4

Search for importers /

distributors

5

Upcoming business

events

6

Belarusian Industrial

Forum to Take Place in

Minsk in May 2015

7

Recent statistics 8

101,6

101,5

101,5

101,5

101,7

101,6

99,6

98,8

98,7

100,7

101,1

101,5

101,2

100,9

101,0

101,2

101,2

101,2

101,5

101,5

101,6103,1104,0

104,8

103,5

96

98

100

102

104

106

108

II-III I-V I-V

III-IX

I-XI I

I-III I-V I-V

III-IX

I-XI I

GDP trends

(%, to the same period of previous year)

US$ bln % to ‘13

Exports 2.1 75.2

Imports 1.8 63.5

US$ bln % to ‘13

Exports 0.9 85.8

Imports 0.3 56.6

2013 2014

M INSK AND MOSCOW A GREE TO L IFT R ESTRICTIONS TO A CCESS RUSSIAN T ENDERS

Belarus Business Newsletter for Belgium & Luxembourg Page 2

Belarus and Russia have

agreed to lift restrictions

that prevent Belarusian

manufacturers from full

participation in Russia’s

government procurement

tenders on the level of mu-

nicipalities, federal districts,

armed forces, police and

other institutions.

Ambassador of Belarus to

Russia Igor Petrishenko un-

derlines, that “we under-

stand Russia’s concerns and

the necessity to protect do-

mestic manufacturers. How-

ever since January 1, 2015

we have been living in the

Eurasian Economic Union.

A top-level decision has

been taken to ensure equal

conditions of mutual trade.

The [Belarusian] Embassy

jointly with Belarus’ light

i n d u s t r i e s c o n c e r n

Bellegprom and in associa-

tion with parties concerned

in Russia have made a sig-

nificant progress in over-

coming the situation. Today

we can speak about a solu-

tion – the parties have

reached a principle agree-

ment that Russia should lift

the restrictions concerned”.

The U.S. State Department

has removed sanctions

against Belorusneft, a state-

owned Belarusian oil compa-

ny, imposed in March 2011

for its involvement in the

Iranian petroleum sector.

The Secretary of State has

decided to terminate sanc-

tions imposed on Republican

Unitary Enterprise Produc-

tion Association Belorusneft

(a.k.a. Belorusneft) on the

basis that the company is no

longer engaging in sanction-

able activity, the U.S. govern-

ment said.

The U.S. State Department

imposed sanctions on Belo-

rusneft after it entered into a

$500 million contract with

NaftIran Intertrade company

in 2007 for the development

of Iran’s Jofeir oilfield.

The Iran Sanctions Act re-

quires sanctions be imposed

on firms that make certain

investments over $20 million

in Iran.

UNITED S TATES LIFT SANCTIONS AGAINST BELORUSNEFT

N EW O IL D EPOSIT D ISCOVERED IN B ELARUS

Belarus’ state-owned compa-

ny Belorusneft has found a

new oil deposit in Khoiniki

District (Gomel Oblast).

Found at the depth of 3,998 -

4,048 metres, the oil deposit

meets the criteria of an in-

dustrial oil field. Belorusneft

experts had been using 3D

exploration equipment to

discover the new oilfield via

a 4.215-metre well, which

was started in June 2014.

Belorusneft is now assessing

the capacity of the new oil

deposit.

Belorusneft specializes in

exploration, oil extraction,

gas processing in Belarus

and abroad. Company has a

network of petrol stations,

and exports petroleum prod-

ucts to foreign states.

New oil deposit in

Belarus meets the

criteria of an

industrial oil field

Top-level decision

has been taken to

ensure equal

conditions of mutual

trade

I N 2015 B ELARUS MAY I NCREASE D IARY AND M EAT E XPORTS TO R USSIA

On March 17, 2015 Minis-

tries of Agriculture of Bela-

rus and Russia had a joint

meeting of the Boards were

Belarusian shipments of

foodstuffs to Russia in 2015

were discussed. The Minis-

tries have signed the agree-

ments that allow Belarus to

supply to Russia 3.9 million

tons of milk and dairy prod-

ucts as well as 390.3 thou-

sand tons of meat products.

This represents an increase

of 26.5% and 11.5% accord-

ingly. This information was

presented by the Russian

Deputy Minister of Agricul-

ture Mr. Andrei Volkov af-

ter the joint meeting of the

Boards.

Issue No. 4 Page 3

Resident companies of the

Belarusian High Technologies

Park (HTP) report a 31% in-

crease in exports of software

products and IT services in

2014 to the total of $585.2

million.

Software production accounts

for 88% of 2014 exports. Bela-

rus’ HTP resident companies

produced software for cus-

tomers from 56 countries of

the world, including Western

Europe (43.5%), USA (40.1%),

CIS states (14.4%).

The total value of software

products developed in 2014

stands at Br6.96 trillion

($461.844 million), up 47%

year on year. Exports account

for 88% of HTP output.

HTP resident companies at-

tracted $34.3 million worth in

investments in 2014. Among

the companies that have

opened their proprietary soft-

ware development centers at

Belarus’ HTP: South Korea’s

H y n i x S e m i c o n d u c t o r

(formerly known as Hyundai

Electronics), Japan’s Rakuten

(through acquisition of

Viber), IAC, USA (through

acquisition of Apalon).

Currently there are 137 soft-

ware companies registered as

residents of the Belarusian

High-Tech Park. In 2014 the

HTP welcomed 12 new resi-

dents, while another 9 lost

their status as a result of mer-

gers or reorganization.

Belarusian investors founded

58 HTP resident companies

(42%), foreign investors are

behind 46 HTP resident com-

panies (34%) and the remain-

ing 33 companies (24%) are

joint ventures.

As of January 1, 2015 the total

number of HTP personnel

reached 21,000. 2,957 new

jobs were created in 2014.

Also in 2014:

Five HTP resident-companies

appeared on the list of top-

100 best global outsourcing

companies - The Global Out-

sourcing 100.

E i g h t H T P r e s i d e n t -

companies strengthened their

positions in the Software 500

ranking published by Soft-

ware Magazine, one of the

world’s most influential soft-

ware and information tech-

nology journals.

Belarus-Korea Information

Access Center was opened in

the HTP to focus on educa-

tional activities in IT.

Decree of the President of

Belarus widened the list of

activities falling under incen-

tives of HTP.

Web-site:

www.park.by

L IST OF C OMPANIES FOR PRIVATIZATION IN 2015 PUBLISHED State share in 61 open joint

stock companies and 3 repub-

lican unitary enterprises will

be sold by means of tenders

and auctions in 2015. The list

has been posted on the web

site of the State Property Com-

mittee. The document defines

property sales terms, the full

state-owned stake and the

state-owned share offered for

sale. The list includes :

25%+1 share in BATE, where

the state owns 96.66% of equi-

ty; 25%+1 share in Horizont,

where the state owns 96.66%

of equity.

All 90.5% state-owned shares

in Mogilevkhimvolokno; a

100% state-owned stake in

SvetlogorskKhimvolokno; the

entire 51% state-owned share

in MTS Belarus; a 100% stake

in Mozyr Distillery.

Interested investors should

send their written requests to

the State Property Committee.

After the review of the re-

quests, received by the Com-

mittee, a decision will be made

whether to proceed with the

sale of the state shares. Final

decision on the sales of state-

owned shares in companies is

taken by the President of the

Republic of Belarus.

According to the Committee,

in 2014, state share in 14 enter-

prises was sold to private in-

vestors for the total amount of

US$ 42 million.

H I-T ECH P ARK E XPORTS G ROW 31% IN 2014

SvetlogorskKhimvolokno

TOP-10 HTP residents by sales

1. EPAM Systems

2. Game Stream

3. IBA IT Park

4. Itransition

5. Sberbank Technology

6. Exadel

7. Apalon Technologies

8. System Technologies

9. ScienceSoft

10. ISsoft Solutions

A UCTION TO SELL “B REST B EER” S ET ON MAY 5 , 2015 Brest Oblast Executive Com-

mittee announced plans to sell

i ts share in brewery

“Brestskoe Pivo” (“Brest

Beer”) at the auction sched-

uled for May 5, 2015 (deadline

for applications is April 17,

2015).

In 2014 the brewery produced

1.8 million deciliters of beer

(with total capacity of 4.3 mil-

lion) and employed 344 per-

sons. 27% of production goes

to export.

Web-site:

http://www.brestbeer.by/

Belarus Business Newsletter for Belgium & Luxembourg Page 4

I NVESTMENT P ROJECTS FROM BELARUS

Dry Demineralized Whey Facility

JSC “Moloko” is looking for partners to create a facility to produce dry demineralized whey

with a capacity of 500 tons per day. The product will meet the European quality standards. Pro-

duction is aimed at the markets of Belarus, Russia, India, China and the EU.

Estimated Investments: US$ 28 million | Belarusian partner: “Moloko” | Location: Vitebsk city

Meat and Fat Processing Plant

Joint-Stock Company "Lida Meat Processing Plant” invites foreign investors to participate in

construction of a modern meat and fat processing line which includes pre-slaughter house,

slaughter section, fat processing, by-product section, refrigerator chamber, laboratory.

Estimated Investments: US$ 8.3 million | Belarusian partner: Lida Meat Processing Plant | Location: Grodno region

Reconstruction of Grains and Groats Processing Facility

“Smorgon Bread Products Plant” is looking for partners to modernize grains and groats pro-

cessing facility to produce wide range of products, including oatmeal and oat flour, oat, pearl,

buckwheat, wheat, rye, pea, rice and millet flakes and instant cereals.

Estimated Investments: US$ 7.7 million | Belarusian partner: Smorgon Bread Products Plant | Location: Grodno region

Manufacturing of Meat Dumplings and Sausages

JSC "Gomel Meat Processing Plant" is looking for partners to create manufacturing facilities to produce

cooked, dried, smoked, cooked-smoked sausages, semi-prepared foods and meat dumplings.

Estimated Investments: US$ 21.3 million | Belarusian partner: Gomel Meat Processing Plant | Location: Gomel city

For additional information on these and other available investment projects please contact the commercial section of

the Embassy of Belarus in Belgium and Luxembourg e-mail: be.trade@mfa.gov.by, Tel. +32 2 340 02 76, -88

Pedigree Reproducing Plant of First Order for 1 000 Sows

The Glubokoye Compound Animal Foodstuff Plant invites foreign partners to participate in

creation of a pedigree reproducing plant of first order for 1 000 sows. The plant is expected to

become the first Belarusian supplier of F1 pedigree replacement gilts to the reproducing farms.

Estimated Investments: US$ 7.5 million | Belarusian partner: Glubokoye Animal Foodstuff Plant | Location: Vitebsk region

Issue No. 4 Page 5

SEARCH FOR BUYERS / I MPORTERS / D ISTRIBUTORS

Belarus has a range of manufacturers of prefabricated houses and other wooden constructions, benefiting from availability of

wood, skilled and inexpensive labor, and proximity of large markets—the European Union, Russia, Ukraine, Kazakhstan.

Belarusian companies offer a wide range of prefabricated wood constructions, including factory-made frame-panel houses,

houses made from solid glued bars, log cabins, saunas, garden houses and other wooden structures.

These products are currently exported to a many European countries, including Germany, Belgium, France, Sweden, Slovakia,

Latvia, Lithuania, Estonia, Romania, the Czech Republic, etc.

B ELARUSIAN P RODUCERS OF W OODEN H OUSES L OOKING FOR P ARTNERS IN B ELGIUM AND L UXEMBOURG

“Borisovski DOK”

Solid glued bar houses

Address: ul. Zavodskaya, 45,

222120, Borisov, Minsk region, Belarus

E-mail: borisovdok@mail.ru

www.borisovdok.by

“Zabudova”

Solid glued bar houses

Address: ul. Zavodskaya, 1, 222321,

Chist, Molodechno district,

Minsk region, Belarus

E-mail: export@zabudova.by

www.zabudova.by

“Wooden House”

Solid glued bar houses

Address: Nezavisimosti av., 169,

Minsk, Belarus

E-mail: whminsk@gmail.com

www.woodenhause.by

“Domostroenie” branch

of “Newsprint Paper Plant”

Frame and solid glued bar houses

Address: ul. 1st Zavodskaya, 4, 213010,

Shklov, Mogilev region, Belarus

E-mail: sales@domostroenie.by

www.domostroenie.by

“Irion Wood” Ltd

Solid glued bar houses

Address: ul. 17 Sentyabrya, 17,

Rakov, Republic of Belarus

E-mail: info@irionwood.com

http://irionwood.by

“Bellesexport”

Log houses, saunas, garden houses

Address: ul. Skryganova, 6 – 403,

220073 Minsk, Belarus

E-mail: lesexport@solo.by

www.bellesexport.com

“Liakhovichidrev”

Frame houses

Address: ul. Trudovaya, 5, 225372,

Liakhovichi, Belarus

E-mail: liahdrev@mail.ru

www.karkasdom.by

ArchiLine Ltd.

Log and solid glued bar houses

Adress: 114 - 49 Nekrasov str.,

220049, Minsk, Belarus

E-mail: mail@ownwoodenhouse.com

www.ownwoodenhouse.com

“Krupsky Military Forestry Enterprise”

Log houses, pavilions,

saunas, garden houses

Address: ul. Pobedy, 2, 222932,

Krupski, Minsk region, Belarus

E-mail: kr_milfor@tut.by

Karkasplus

Frame houses

E-mail: karkasplus@tut.by

http://karkasplus.by

UPCOMING BUSINESS EVENTS

BelarusTelecom / tibo 2015 22st International Forum on Telecom-

munications, Information and Bank-

ing Technologies

Robotics 2015

Gaming Technology 2015

Venue: pr.Pobeditelei, 20/2, Minsk

Web-site: www.tc.by

Brest Commonwealth 2015

17th International Fair

Venue: ul.Moskovskaya, 151, Brest

Web-site: www.belexpo.by

Furniture Forum 2015

Design. Furniture. Innovation

Venue: pr.Pobeditelei, 20/2, Minsk

Web-site: www.expoforum.by

Lesdrevtekh

16th International Specialized Exhibi-

tion – Technics and technologies for

conducting a forestry, timber cutting

and wood-processing Venue: pr.Pobeditelei, 20/2, Minsk

Web-site: www.expoforum.by

Events in Belarus

XII Gomel Economic Forum

XVI International Exhibition

“Spring in Gomel”

One day forum and exhibition to

showcase the opportunities and con-

ditions to start and develop business

in Gomel Oblast of Belarus, and to

find local partners.

Organizers: Gomel Oblast Executive

Comittee

Venue: Gomel, Belarus

Website: http://gomel-forum.by/en/

Seminar on Opportunities in

Agricultural and Food Processing

Sectors in Belarus

One day seminar to present current

trends and possibilities for developing

agriculture and food processing busi-

nesses in Belarus.

Organizers: Belarus-EU Business

Council,

Venue: Minsk, Belarus

Exhibitions in Belarus

Metalworking - 2015

Powder Metallurgy-2015

Corrosion protection. Coatings-2015

Welding and Cutting-2015

Venue: pr.Pobeditelei, 20/2, Minsk

Web-site: www.minskexpo.com

Leisure—2015

18th International Fair for Tourism

Venue: ul.Ya.Kupaly 27, Minsk

Web-site: www.belexpo.by

Belarusian Construction Week

Belcommuntech-2015 (Road and mu-

nicipal equipment and services)

Flowers. Seed. Garden-2015 (Flowers,

garden equipment, landscape design,

interior decoration)

Venue: pr.Pobeditelei, 20/2, Minsk

Web-site: http://minskexpo.com

May 22

June

April 7-10

April 8-11

May 5-8

Belarus Business Newsletter for Belgium & Luxembourg Page 6

April 14-17

April 22-25

April 23-25

May 20-22

Issue No. 4 Page 7

Belarusian Industrial Forum is one of the

largest annual events in Belarus to find new

partners, clients and suppliers in various

sectors of industry.

During the Forum a number of specialized

exhibitions take place:

PROMEXPO – MODERN WORKS –

international specialized exhibition of

equipment, instruments, and materials

for production accessories of enterpris-

es in main industry branches

PROMENERGO – international spe-

cialized exhibition of power and electro

-technical equipment for industry

ENERGY AND RESOURCE SAVING

& ECOLOGY – international special-

ized exhibition of energy and resource

saving technologies, equipment, mate-

rials, and technologies of environmen-

tal protection in industry, energy, con-

struction, city and housing-and-

communal services

SCIENCE AND INNOVATIONS –

international specialized exhibition of

scientific-research and design develop-

ments, innovative projects for industry

Business program of the Belarusian Indus-

trial Forum includes following events:

I n t e r n a t i o n a l s y m p o s i u m

«Technologies. Equipment. Quality»

Foresight «Strategy of sustainable de-

velopment: Energy efficiency and re-

source-saving»

Conference-exhibition «PromIT'2015»

on information technologies in the in-

dustry

Workshops and presentations of partic-

ipants

Special projects:

International contest of energy-efficient

and resource-saving technologies and

equipment

Competition of welders of Belarus with

international participation

Subcontractors Industrial Exchange

Subcontracts Industrial Exchange is the

event targeted on the promotion of cooper-

ation between large, medium and small

businesses. SMEs will have the opportunity

to present their expertise and capacity to

the clients form the large enterprises. While

the large factories will be able to find sub-

contractors among the SMEs.

Participation in the Subcontractors Industri-

al Exchange is free. Additional information

is available on the website of the Ministry

of Economy of the Republic of Belarus

www.economy.gov.by in "Subcontract Ex-

change" or by phone. + 375 17 200 26 21;

+375 17 200 24 06; +375 17 222 47 03.

Organizer:

Unitary enterprise «EXPOFORUM»,

91 Pritytsky str., off. 432,

220140 Minsk, Belarus

Website: http://www.expoforum.by.

Contacts:

tel./fax: (+375 17) 3143430, 3143435.

Sharko Serguei Kazimirovich, Project manager,

e-mail: sharko@expoforum.by

List of exhibitors available here:

http://www.expoforum.by/en/year_15/may/

bpf_en_15/spis_e.html

BELARUSIAN I NDUSTRIAL F ORUM TO T AKE P LACE IN M INSK FROM 20 TO 23 M AY 2015

Annually more than 200

Belarusian and Foreign

Companies take part in

exhibition (in 2013 there

were 201 Exhibitors from

Austria, Belarus, Belgium,

China, Finland, Germany,

Latvia, Lithuania, Poland,

Russia, Sweden, and

Ukraine).

Embassy of the Republic of Belarus in the Kingdom of Belgium and the Grand Duchy of Luxembourg

Av. Molière 192, 1050 Ixelles, Brussels, Belgium

Tel. +32 2 340 02 70 Fax. +32 2 340 02 87

Web-site: http://belgium.mfa.gov.by e-mail: belgium@mfa.gov.by

Commercial section:

E-mail: be.trade@mfa.gov.by, Tel. +32 2 340 02 76, -88

The publication is prepared by the Embassy of Belarus in the Kingdom of Belgium and the Grand Duchy of Luxembourg based on the infor-

mation of the Ministry of Foreign Affairs of the Republic of Belarus, National Agency of Investment and Privatization, BelTA and Prime-Tass

news agencies, Gomel Oblast Executive Committee, BelStat and the National Bank of the Republic of Belarus.

Belarus Business Newsletter for Belgium & Luxembourg Page 8

LATEST STATISITCS

Inflation (%)

Foreign Public Debt (by IMF Standards, US$ billions)

Internal Public Debt (by IMF Standards, BYR trillions)

Official

Exchange Rate

Change from

31.12.2014, %

Currency basket 2,931.90 -16.18

US$ 14,790.00 -24.81

Euro 15,780.00 -9.74

Russian ruble 246.5 -14.92

Exchange rates (as of 21.03.2015)

Gold and FX Reserves (IMF Standards, US$ billions)

Code Currency Rate

KZT 1 Tenge 79.57

GBP 1 Pound Sterling 21,906.05

CHF 1 Swiss Franc 14,886.54

UAH 1 Hryvnia 632.12

XDR 1 SDR 20,231.53

CNY 1 Yuan Renminbi 2,382.22

PLN 1 Zloty 3,824.92

JPY 10 Yen 1,223.73

0

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12

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