In his speech, the AEB CEO stressed that the potential of the Russian market in relation to the implemented projects had not changed and its attractiveness for European investors remained. Many European companies have chosen the local production model. In that regard, the adoption in 2020 of the Federal law "On the Protection and Promotion of Investment in the Russian Federation" was considered as a positive factor.  Among the main concerns of foreign companies operating in Russia, Mr. Schilling highlighted the regulatory instability and a high level of administrative barriers, negatively affecting the country’s investment attractiveness and the interest of potential market players.

 

The AEB CEO emphasized that, when discussing the topic of SPIC 2.0, it is necessary to approach it comprehensively, in the context of the general conditions of localization and the shortcomings of the Decree No. 719, which require revision in a number of aspects related, in particular, to the lack of transparency in the methodology for determining and assigning points, selective approach to forming the list of components, gaps in defined criteria for a number of industries, etc.

 

Mr. Schilling noted that the experience gained by European companies from the participation in SPIC 1.0 was generally positive, including in the regions. Among the advantages of the updated SPIC 2.0 mechanism, European companies see the provision of tax benefits and limitation of obligations, elimination of the entry threshold for the minimum amount of investment, as well as the transition to the digital GISP platform. Nevertheless, among the issues requiring revision, the following are noted: lack of a methodology and procedure for updating the list of technologies, uncertainty of the tender procedure for the same technology from two different suppliers, lack of international experts as part of the expert councils, need to finalize the digital platform GISP, cost of the application procedure for the SME sector.

 

In conclusion, the AEB CEO expressed gratitude to the Ministry of Industry and Trade of the RF for constructive cooperation and the opportunity for an open dialogue on the SPIC related topic, and expressed hope for its continuation and further development.

 

The following speakers took part in the conference (in the speaking order): 

 

Vasiliy Osmakov, Deputy Minister of Industry and Trade of the RF;

Natalia Eremina, Chairman of the Board, United Metallurgical Company (OMK Joint Stock Company);

Andrey Shul, Head of the Department of Strategic Projects and Regulatory Support of Activities, EuroChem Group AG;

Maxim Grigoryev, Partner, Head of Special Projects, VEGAS LEX;

Olga Filippova, Deputy Director of the Department for Strategic Development and Project Management, Ministry of Industry and Trade of the RF;

Anna Brineva, Deputy Director, Industrial Development Fund (IDF)

 

 

The event was co-moderated by: 

Igor Vdovin, Chairman of the RSPP Committee on investment policy, development institutions and export support 

Alexander Sitnikov, Managing Partner, VEGAS LEX   

LINK to the record