OREANDA-NEWS. July 20, 2012. After the ceremonial opening of the CCI Honorable Representative’s Office in Latvia,  President of the CCI of Russia held a roundtable discussion with Latvian business community.

He emphasized the increasing mutual interest to cooperation between Russian and Latvian businesses and the consistent growth of sales between our countries.

Russia continues to be one of the Latvia’s most important trade partners. Businesses in both countries managed to successfully overcome the negative trends of crisis year 2009, increase sales in 2010 and almost approach a pre-crisis record high level in the past year.

According to the Federal Customs Service of Russia, in 2011 two-way sales of the two countries increased by more than 22 percent against 2010 and exceeded USD 8 billion with Russia’s surplus of USD 6.7 billion.

By opinion of Sergey Katyrin, the two countries still have a strong potential to employ in improvement of their relationship. In particular, there is a room for extension of the existing and building of new cooperative links because the growing Russian exports to Latvia need to be supported by qualitative structural changes to increase the portion of machines and equipment, as well as high-processed products. A significant role in our bilateral cooperation is to be played by energy sector including the continuing development of mutually beneficial interaction in gas industry and creation of oil and gas infrastructure. About 70% of shipments passing through seaports of Latvia are of Russian origin, therefore the Russian business community could benefit from implementation of new supply chain projects using the transit potential of Latvia.

Further development of cooperation at regional levels would be of great importance for the bilateral trade and economic relationship in the long run, said President of the CCI of Russia. Its agenda will suppose a wider involvement of small and medium-size companies; provision both of Russian and Latvian entrepreneurs with reliable economic information; continuing efforts aimed at understanding of current challenges for the trade and economic cooperation between two countries and communication of the findings to Russian and Latvian authorities.

The industry of fairs and exhibitions represents another area of strong potential. Historically, Latvian enterprises have been taken active part in Moscow exhibitions including World Food and Prodexpo, but they could be also interested in useful regional exhibitions arranged in particular by our local chambers. These platforms provide significant reserve for further development of mutual trade.

The CCI of Russia supports and assists several forms of cooperation such as business missions of Latvian industrialists in Russian regions (Yaroslavskaya Oblast, Sverdlovskaya Oblast) sponsored by business councils, Latvian Embassy in Russia, and the City Hall of Riga.

President of the CCI of Russia has also highly appreciated the efforts of national business councils. To his mind, they play considerable role in the system of trade and economic relations as their effective part, and intensely cooperate with Russian Latvian Intergovernmental Committee for Economic, Research, Technological, Humanitarian and Cultural Cooperation.

Russian investments are designated mostly for banking, energy, industrial, transportation, and real property sectors. By early 2012, in Latvia 3,130 businesses were registered with Russian capital. Many large companies absorb Russian capital such as Latvijas Gaze, Lukoil-Baltia, Itera-Latvia, LatRosTrans, SeverStalLat, Grindex, Baltia-Crystal, Riga Electric Machine Building Works (JSC RER), Riga Milk Plant, AMO Plant car assembly factory in Elgava, Columbia fish processing plant in Liepaja, Baltiisky Coal Terminal in Ventspils etc.

Real estate, development, transportation and communication services, wholesale and retail markets are what attract Latvian investors most of all, Sergey Katyrin stressed. Due to support by the Russian Latvian Business Council sponsored by the CCI of Russia, two of Moscow sales networks are now hosting three specialized sales areas under the trade name of Rizhsky Dvorik offering a variety of Latvian food.

Finally, the parties interchanged their relevant views on possible ways to further develop the trade and economic relationship between Russia and Latvia.