Russia pumps billions into subsidising export logistics

The Russian government has announced that it will provide grants of 5 billion roubles ($62.6m) to support the export of cars from assembly plants in the country.

Denis Manturov, Russia’s minister of industry and trade, said last week that the money would cover the costs incurred by OEMs when transporting vehicles within internal borders for subsequent deliveries abroad,

The distribution of funds and the implementation of the programme is likely to be managed by the Russian Export Centre (REC). A spokesperson for the REC confirmed that it will conduct analyses of OEMs’ logistics plans.

The state budget might not cover excessively expensive schemes, and the amount of money available may vary slightly over the coming weeks.

“Five billion roubles is the proposal of the industry and trade ministry with respect to compensation costs for the transportation of vehicles destined for export in 2016,” said Manturov. “But we have instructed [government agencies] to finalise the amount so we can decide on the allocation of these funds. In principle we say yes to the idea, but with regard to the amount, it will be close to five billion.”

Read more (russiasupplychain.com)
 

 

Related Article