Russia Spent 250 Billion Roubles on Industrial Import Substitution

PHOTO by Igor Zarembo / RIA Novosti

Some 250 billion roubles ($4.04 billion) have been invested into the development of import-substitution production facilities over the past two years, Russian Prime Minister Dmitry Medvedev said in an interview with journalists from leading television channels that was broadcast by Russia 24.

Medvedev noted that the government and businesses had invested “approximately equal volumes” into Russia’s industries. As a result, Russia has managed to increase production in the chemical, woodworking and pulp and paper industries by about 10 to 15% in 2016.

The Prime Minister also said that external pressure on the Russian economy had prompted Russian authorities to actively change its structure.

In Nov. 2016, Deputy Minister of Industry Viktor Evtukhov showed that there had been an increase in production volumes in Russian light industry. According to him, investment in fixed assets in the textile and clothing industry in the first half of the year had amounted to 2.4 billion roubles ($38.8 million).

Russia began actively developing an industrial import substation after the introduction of sanctions in 2014. The sanctions limited both the transfer of technology and supply of certain equipment, including oil-processing equipment for offshore operations.