Caucasian press review (September 21-27)
The newspaper Kabardino-Balkarian Pravda reports that the Ministry of Industry and Trade of Kabardino-Balkaria has signed a state contract with the company Rostec- Global Resources (a subsidiary company of Rostec) to develop a new feasibility study into the conditions and revaluation of the reserves of tungsten-molybdenum ores at the Tyrnyauz field. The issue of resumption of its development is controlled by the Russian government. Corresponding instructions have been issued at the meeting of Government Commission on the socio-economic development of the North Caucasus Federal District, held on July 29, by the federal ministries concerned: the Ministry of Industry and Trade of Russia, the Ministry of the Caucasus of Russia and the Russian Ministry of Natural Resources.
This project became the basis of the created cluster for production of carbide tools, independent from imports. The cluster requires deep processing of raw materials, containing tungsten, to the final stage – the production of complete tools from sintered carbides, whose share of imports on the Russian market amounts to 90% today. According to a project prepared by the Ministry of Industry and Trade of Russia and Rostec, the cluster, which consists of four phases of the processing of raw materials – mining and milling, the production of tungsten anhydride, producing of carbide powders and plates, production of carbide tools – will include three enterprises of the republic: created on the basis of the Tyrnyauz tungsten-molybdenum field mining and processing enterprise, new hydrometallurgical production on the basis of Gidrometallurg and Terekalmaz.
In accordance with the technological task, work based on the signed agreement will be implemented in two phases and finalized on March 31, 2016. As a result, an inventory of the stocks of the Tyrnyauz field will be conducted, which will allow a reduction in the financial barriers for entry of investors in the investment project and to start its development. The resumption of production at the Tyrnyauz field will enable to provide the Russian industry, including enterprises of the defense sphere, with the necessary raw materials. In general, the creation of the cluster will allow the country to develop its own production base of carbide tools that could satisfy the need of enterprises of engineering and metalworking in qualitative domestic production, the article stressed.
Georgia is increasing imports of Azerbaijani gas. The Business-Georgia information agency provides data of the National Statistical Service, according to which during the first eight months of this year the country imported 967.67 thousand tons of natural gas in oil equivalent amounting to 201.76 million dollars from Azerbaijan, whereas in the same period of last year, this figure was 858.52 thousand tonnes of gas in oil equivalent amounting to 176.77 million dollars. Over the year, the volume of Georgian imports of natural gas from Azerbaijan in value terms grew 14.1 percent. Azerbaijan is the main supplier of this type of fuel to Georgia, covering 77.1% of the total gas demand of the country. Gas is transported through a pipeline linking the two countries, with a capacity of gas pumping of more than 2.5 billion cubic meters per year.
In the first eight months of this year Georgia imported natural gas amounting to 261.75 million dollars. The country is implementing a program of expansion of the gas network. According to the program, agreed upon with the Georgian Ministry of Energy, the company SOCAR Georgia Gas has been working on expanding the gas network in settlements of Georgia since 2008, it is a subsidiary of SOCAR Energy Georgia, established in Georgia by the State Oil Company of Azerbaijan.
The Sputnik-Georgia information agency informs that SOCAR Georgia Gas, in the first stage of the program from 2008 to 2013, expanded the gas network of 230 Georgian cities and villages, and built pipelines with a total length of 3.5 thousand kilometers. The work carried out has enabled 175,000 new subscribers to connect to the distribution network during this period. During the second phase of works, which covers the period from 2013 to 2017, gas pipelines with total length of 1100 km have already been built throughout the country and 34,000 new subscribers were supplied with gas. The number of subscribers in the first 8 months of 2015 increased by 10.27% and currently stands at more than 475 thousand.
The Dagestani Pravda newspaper reports that the construction of production facilities is beginning in the Kumtorkalinsky District of the republic at the investment platform of the 'Yugagroholding' company, it will include plants for the production of hothouse metal structures and for the production of sandwich panels used in the construction of vegetable and fruit storages. Production will allow the creation of over 100 jobs.
Marketing studies have shown the feasibility of this production, because it does not exist in nearby regions, and the volume of agricultural production and farmers' interest in the construction of greenhouses of various sizes is increasing. The company plans to produce steel structures for the construction of greenhouses already in March next year. According to the manager of 'Yugagroholding', Abdullah Umarov, the production cost of the structural part of the greenhouse, produced in Dagestan, will be three times cheaper than foreign analogues. According to the manager, by the end of November they will launch an automated line for the production of sandwich panels. The company already has orders for 30 thousand square meters of variously shaped constructions.
Sukhumi held the founding congress of the party 'People's Front of Abkhazia for Justice and Development', the Abkhazia-Inform agency reports. To date, the party has 1057 members, there are branches in all the regions of the republic except Gali. The party is mainly composed of young people aged between 24 and 30 years. During the congress it was noted that the situation in the republic is very difficult in all spheres. Fair competition is not supported in the country, the shadow market dominates to a large extent. Issues of economic cooperation with Russia are hard to resolve, both with small business and with attracting large investments. Therefore, the party plans to create a middle class, which will become the main taxpayer in the country.
According to the initiators of the creation of the new party, there is an urgent need to change the minds of people, to involve youth in political life more actively. Representatives of the middle class are not interested in revolutions, they need stability. This is the class of property owners, the state relies on it, they are the main taxpayers. The state cannot be stable if there is no middle class.
The resolution of the congress says that the party stands for a fair and progressive development of society and the state. Among the tasks proclaimed by the party are the creation of a healthy and efficient economy of Abkhazia based on the optimal ratio of state, public and private interests; separation of power from property, legalization of the shadow sector, formation of the identity of Abkhazian citizens who are responsible property owners and taxpayers as the main subject of the economy.
Currently, five parties are registered with the Ministry of Justice of Abkhazia: the Forum of National Unity of Abkhazia, the People's Party of Abkhazia, United Abkhazia, the Party of Economic Development of Abkhazia, the Communist Party of Abkhazia and the Amtsakhara Party. The Political Party Ainar, created in early September, transformed from the fund of expert assistance with the same name, has not been registered yet.