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In this page: Customs Procedures | Industrial and Manufacturing Profile | Identifying a Supplier | Controlling the Quality of the Products | Organizing Goods Transport To and From Russia

 

Customs Procedures

Export Clearance
To obtain a refund of VAT, the exporter must provide the Federal Tax Service with supporting documents (dossier, invoices, proof of passage at the border and of payment of taxes). Examining the dossier and refunding the VAT takes 3 months. Because the system was often abused in the past, the fiscal authorities are very strict.
At Customs, they ask for the export agreement, the invoice, the passport of the transaction as well as Customs fees (0.15% minimum).
Necessary Declaration
You have to give the Seller's name, the Buyer's name, the tariff line concerned (in the Harmonized System) as well as the Customs value. Note that the seller must obligatorily be a Russian legal entity, so subsidiaries or representative offices must go through Russian intermediaries.
Restrictions
Exporting mineral ores and semi-precious stones, perishable goods, liqueur, caviar and arms is prohibited.
Exporting precious stones and metals, as well as cultural and artistic goods must have a special authorization.
Export Taxes
Russia has recently increased export taxes and the area they cover.
Now they cover 154 lines of the Harmonized System, with rates which may reach 50%. They mainly concern energy products, ferrous and non-ferrous mineral ores, skins and wood.

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Industrial and Manufacturing Profile

Type of Production
Industry represents about a quarter of the GDP and a sixth of all employment. The trend is towards a drop.
Traditionally the most developed sectors are heavy industry (metallurgy and chemicals) as well as the automobile industry and aeronautics.
Manufacturers Associations of the Main Industries
34 professional associations listed for Russia.

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Type of Manufacturers

Original Equipment Manufacturers
They are especially developed in the sectors of the automobile industry, IT and industrial plant (in particular machines for extracting raw materials) in the form of joint-ventures.
These are generally capital-intensive sectors with a non-negligible technological component, for which domestic demand is strong.
Original Design Manufacturers
ODMs are less widespread.
They are concentrated in the electronics and microelectronics sectors, where salaries are relatively low in relation to the level of qualification.
They are mostly Russian companies.
Subcontractors
This activity is often linked to the country's natural resources: metal parts, plastics and resins but also electronic components. It is particularly concentrated in the technological fields of excellence which are aeronautics, aerospace and nuclear energy.
For further information, consult a website listing sub-contractors.
Useful Resources
A.T. Kearney - Global Management Consultants

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Identifying a Supplier

Business Directories

Multi-sector Directories
Cosmetics in Russia - List of cosmetic shops and stores in Russia.
All.biz - Russia - Directory of companies in Russia.
Ambercity.ru - Directory of businesses in Kaliningrad.
Grand Encyclopedia of Russian Goods and Services Producers - An encyclopedia of Russian goods and service providers in the Internet.
InfoDriveIndia Business Directory - Find actual buyers and suppliers from three countries. Export-import customs data.
Openrussia - Partners search system.
Rusadres - Find businesses in Russia.
Rusmarket - Russian businesses directory.
Russian Yellow Pages - Russia's business directory.
The Yellow Pages - Find a business in Russia.
 

To search directories by industry in Russia, check out our service Business directories .

 

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Controlling the Quality of the Products

Quality Control Organizations
Rostest (in Russian)
GOST

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Organizing Goods Transport To and From Russia

Main Useful Means of Transport
Even if the rolling stock needs modernizing, the rail network is the most used means of goods transport.
It represents 7% of global traffic.
There are no motorways and the infrastructure is inadequate for goods transport (19% of all goods traffic). Nevertheless, projects are underway to open up the country towards the West.
Russia has 41 large ports of which only 11 are equipped with infrastructures for import-export; the biggest one is St Petersburg (42 million tons). The country is open to the sea on 3 sides: the Baltic sea, the Black sea and the Pacific Ocean. The government has an ambitious modernization project and wants to increase the capacities of port terminals.
Domestic air freight is not widespread.
 
 

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By Road

Transport Professionals
International road transporters association
Government Transport Organizations
Federal road transport agency (RosAvtoDor)

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By Rail

Transport Professionals
Russian Railways
Rail Service
Government Transport Organizations
Federal rail transport agency (RosZhelDor)

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Last Updates: May 2013

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