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Business Councils of Russia and the Czech Republic met at WTC Moscow

22 Oct 2021

A meeting of the business councils of Russia and the Czech Republic was held at WTC Moscow to discuss opportunities and directions for the further development of cooperation between the countries, mutually beneficial economic relations and finding ways to overcome the artificially created political and diplomatic crisis.


From the Russian part the meeting was attended by the Vice-president of the RF Chamber of commerce and industry Vladimir Padalko, Chairman of the Russian Business Council for Cooperation with the Czech Republic, Deputy Director General of «Russian Railways», Managing Director of «High-Speed Rail Lines» Oleg Toni, Deputy Chairman of the Russian Business Council for Cooperation with the Czech Republic, Director General of WTC Moscow Vladimir Strashko, member of the RF CCI Committee on Entrepreneurship in Tourism, Chairman of the CCI Committee of the Yaroslavl Region on Entrepreneurship in Tourism, Resort, Recreational and Hotel Activities, Director General of «Yarobltur Travel Agencies Network» Igor Kazin, consultant to the Russian Business Council for cooperation with the Czech Republic Vladimir Mikoyan,  Adviser to the Governor of the Sverdlovsk Region Vyacheslav Potekhin, Head of Foreign Economic Activity Department of the National Union of Poultry Breeders, Lada Goltsova, Chief Adviser of the «Representation of the Ulyanovsk Region under the RF Government» Alena Kiseleva.

From the Czech part the meeting was attended by the Chairman of the Board of the Czech Business Council for Cooperation with Russia Zdenek Zbytek, First Deputy Chairman of the Board of the Czech Business Council for Cooperation with Russia Tomáš Navratil, the owner of «Chemoprojekt a.s.» company Tomas Plahi and other representatives of the business councils of Russia and the Czech Republic.

While opening the meeting, Vladimir Strashko welcomed the representatives of the Czech Business Council for Cooperation with Russia at World Trade Center Moscow and noted that, despite the problems that exist at the political level and in connection with the coronavirus, colleagues from the Czech Republic still arrived in Russia. The mission of the councils to the business community is very important, primarily in the development of public diplomacy in a broad sense, maintaining business contacts that have been established over the years, and helping trade and economic relations for their further development.

The Director General of WTC Moscow also noted that upon analyzing the statistics for the first half of 2021, it could be concluded that, despite a significant decrease in trade between Russia and the Czech Republic in 2020, we were gradually returning to the level of 2019. It means that business, trade and economic relations between the countries are preserved: «I believe the trade turnover between Russia and the Czech Republic should grow. <...> Times we are now going through [the pandemic, foreign policy relations] will pass. We need to keep the partnership we have today».

Zdenek Zbytek, in his turn, introduced his colleagues, shared information on internal political situation in the country and said that the main purpose of the visit of the delegation from the Czech Republic is to maintain good business relations with representatives of Russian business established over the years: «We represent business, real citizens who are interested in cooperation with Russia One of the tasks of the Business Council now is to bring to Russia the younger generation of businessmen who wants to cooperate with Russia, but do not know Russia. At the moment, our Business Council, as an independent organization, is the only official contact between the business circles of the Czech Republic and Russia. <...> We came, first of all, to hear the point of view of the Russian business community, primarily the head of one of the largest business associations in Russia, President of the Russian Chamber of Commerce and Industry, Chairman of the Board of Directors of WTC Moscow Sergey Katyrin. The results of our meeting are even better than we have expected».

Zdenek Zbytek also added that, due to the sharp rise in gas prices in the Czech Republic, the most pressing issue now is the need to establish a direct dialogue between Czech companies with Gazprom and its European subsidiaries to discuss this issue and find solutions: «Many owners of filling stations and warehouses would also like to establish relationships with Russian companies and buy diesel fuel, gasoline and other fuels and lubricants directly». Besides there are a number of other companies interested in cooperation - mechanical engineering, young entrepreneurs who use modern technologies, engineers who have developed unique technologies, for example, for the installation of bridges, who are ready to share their experience, glass product manufacturers interested in buying factories, especially in connection with the tendency to gradually abandon the use of plastic products:  «We have concrete prospects in our work. Even in such a difficult time, people who are aimed to work and find partners can win».

In his speech, Vladimir Padalko noted that at the moment the Business Council remains the only bridge through which interaction can now be carried out. In this situation, sectoral unions of entrepreneurs can play a more serious role. For example, the National Union of Glass Manufacturers-Entrepreneurs, which counts 180 enterprises.

Glass in the Russian non-energy exports now occupies the 5th place after all products of the first line: «Thanks to the import substitution program, the industry where we have never been engaged in export has now turned into one of the most serious export-oriented industries. Therefore, we are able to bring the relationship in this area to a very high level». He added that it is also important to interact through industry unions, using the practice of exchanging delegations through territorial chambers of commerce and industry, through exhibition and fair activities.

Vladimir Strashko, in his turn, noted that in the current situation it is important to determine the work directions, what the business councils of Russia and the Czech Republic should do, look for the partners, specify which of the unions and associations, hotel entrepreneurs is ready to meet and discuss details of cooperation, specific proposals and business projects.

Owner of the «Chemoprojekt a.s.» company specialized in design, manufacture and turnkey construction of chemical and oil refineries, Tomas Plahi told the participants about the new activity of his company - the establishment of processes for high-tech water purification using nanomaterials. As a result, the water becomes cleaner than drinking water, so pure that can be used in medical institutions as well. In this direction, the company has already started cooperation with hospitals, and is going to use these technologies to purify used water in industrial production for its reuse in order to reduce water consumption. He also shared other projects that are currently in development and are undergoing testing. Another area of ​​activity is the production of low-capacity breweries: «Our Group of Companies also includes pharmaceutical companies for the production of subcomponents for the production of drugs for cancer, antibiotics. <...> We are interested in cooperation with Russian companies, in establishing contacts and finding partners, for example , for the purchase of 5 thousand tons of methanol, which is not produced in the Czech Republic».

Zdenek Zbytek added that tourism is another problematic sector. In 2019 it was the peak in the number of tourists visiting the Czech Republic from Russia and vice versa. Now many hotels are closed due to the lack of tourists, in connection with this there is also a high percentage of unemployment in the Czech Republic among waiters and service personnel. In this industry, cultural exhibitions (exhibition of mammoths, exhibition of pharaohs) can become an interesting area for cooperation. Another direction is digitalization: «Now there is a revolution in this area. The coronavirus has accelerated the digitalization process at times, improving services and facilities».

Responding to this, Igor Kazin said that the biggest problem in the tourism industry right now is Covid restrictions. An important project that has not yet been fully launched is the possibility of obtaining electronic visas, which will be an excellent solution.

Lada Goltsova spoke about the activities of the National Union of Poultry Breeders, about the results of cooperation with Czech partners, which they managed to achieve, as well as about emerging problems, the necessity to find joint solutions and future development plans.

Alena Kiseleva thanked for the opportunity to take part in the event, supported the initiatives announced during the meeting, and expressed her readiness to demonstrate all the possibilities for active cooperation that can be implemented within the region.

In his speech Vyacheslav Potekhin noted that the Sverdlovsk Region has been cooperating with the Czech Business Council for more than 20 years: «The strongest friendship arises between people who specifically know what they want from each other. Projects can be implemented only through common interests and joint desire».

During the discussion, Vladimir Mikoyan said that the Czech Business Council, in fact, is the only channel of communication with Czech business we have: «I believe that it is better not to chase after some grandiose projects, but to reach out to local unions and groups of entrepreneurs, to invite people professionally oriented on the same topic».

Oleg Toni, in his turn, noted that, of course, from a political point of view and because of the pandemic, now is not a very favorable time for cooperation, but «if there is a desire, you can overcome everything». It is important to discuss specific proposals, issues requiring solution: «The main thing is that an interested entrepreneur or company  appears. If there is interest, desire, opportunities will be found». He also added that the economies of the countries are recovering, the passenger traffic in Russia has fully recovered to the pre-pandemic level, and even exceeds the level of cargo transportation.

In conclusion Vladimir Strashko thanked everyone who took part in the meeting and wished everything to work out for the good of the Czech people, business prosperity and the development of good-neighborly relations between Russia and the Czech Republic.