KALININGRAD - THE FREE ECONOMIC ZONE I N RUSSIAN FEDERATION
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German engagement in the Kaliningrad Region's economy

The German Economy Representation in the Russian Federation, Kaliningrad Department knows about 50 companies only with German capital, joint-ventures or companies with the German involvement. In the Regional Administration over 275 such companies are registered. Germany ranks 3th after Switzerland and Lithuania in the foreign trade and investment volumes.

The German presence in the Region is represented by small and medium businesses and covers a wide range of sectors. Most active are the commercial relations in the export of food stuffs and import of raw materials. The most significant Kaliningrad companies with the German participation are “Baltkran”, a manufacturer of portal cranes and oil-producing equipment, which is one of the biggest exporters, “Baltik GmbH”, a construction company, “Prigge Trans”, road hauls, “Grammer AG”, sewing factory, “Palve”, an engineering company and “Schnieder Reisen Kaliningrad”, travel agency. Shipyard “Fassmerwerft” deals with order distribution for production of vessels at the shipyard “Yantar”. On 22 Oktober 1999 “BMW AG” opened a car produktion line at “Avtotor” plant. Production of cars and car parts, therefore, may become a priority area of the Kaliningrad Region’s industry.

In December 1997 the Dresdner Bank signed a credit contract worth US$ 30 million with the Regional Administration. The capital is to be invested in the development of the regional infrastructure.

Since 1994 the Chamber of Commerce of Hamburg has had its representation in Kaliningrad Region, which has been the German Economy Representation in the Russian Federation, Kaliningrad Department since 1998 as well. Thus, it was included in the system of external chambers of commerce of the German Chambers of Commerce’ Association. Under the agreement with the Ministry of Foreign Affairs, the Representation is responsible for receiving visa documents from Russian citizens with a permanent address in the Kaliningrad Region. The Representation is in close contact with the Chamber of Commerce and Industry of Kaliningrad. Mr Igor Vyacheslavovich Tsar’kov is its President.

In Kaliningrad Region, the Federal Land of Schleswig-Holstein is represented by the Hanseatic Bureau. In addition, there is the German-Russian House, social and educational establishment as well as representative offices of different associations and religious organisations. Under various European and national programmes for assistance, companies including those from Germany elaborate concepts for the Regional Administration, particularly in infrastructure and environment protection.

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