OREANDA-NEWS. April 29, 2010. Session of Working group on assistance to involvement of investments in the economy of the Republic of Karelia chaired by the Prime Minister of the Government Pavel Chernov.

Despite of the crisis time, not quite favorable for the investment activity, implementation of some large projects in Karelia proceeds, and the Government is watching closely the state of affairs on them. Specific problems and difficulties which investors face in territory of republic are considered and decisions are found at the sessions of the Working group created specially for this purpose.

This time the Working group considered three large issues. The first concerned the course of implementation of the project of MKK-Holding, Ltd., on construction of a trial site to produce granulated schungite in Kondopoga region. The project is implemented within the scope of the joint program of the Government of Moscow and the Government of the Republic of Karelia. Currently it has the construction documents completely ready, power grid hook-up issues have been solved, the project is to be submitted for the state expert appraisal. Members of the working group have discussed opportunities of gasification of the enterprise where it is planned to re-equip the existing boiler-house to run on natural gas.

The project Kalevala was already represented to the Karelian public. Not far from Petrozavodsk, near the station Tomitsy, it is supposed to build a large plant manufacturing oriented strand boards which is a modern timber-based composite. The main sphere of using oriented strand boards is wooden house building. Currently the project is entering its practical stage.

In case of the project implementation the annual turnover of the plant will make €80 million, about 350 workplaces will be created. Construction can already begin this June, and in May of 2012 it is expected to achieve the estimated capacity.

Pavel Chernov has paid attention on the range of problems concerning provision of the plant to be with wood raw material. Deficiency of wood of coniferous trees for processing is already observed in Karelia. The problem of power supply has not been also solved yet as in the location of the plant there is no free electric capacities currently. The investor was offered to continue the work.

In conclusion the Working group has considered investment activity in the sphere of production and processing of agricultural products. In 2009, despite of the crisis, investments into processing of agricultural products in the republic have made 55 million roubles. This year on reconstruction of the existing enterprises it will be spent 15 million roubles. About 40 million roubles of investments is involved in the trout farming: in the republic there will appear new shops for the fish processing. Routinely went construction of a new factory Yagoda Karelii (Berry of Karelia), the investment object which costs 560 million roubles. Two new enterprises to process berries in Kostomuksha with total amount of investments of about 70 million roubles are planned to be created. Implementation of some small investment projects is conducted as well.