Airports opportunities

An Expert's View about Building Products and Construction in Russia

Posted on: 23 Oct 2011

RUR 470 billion (£9.8 billion) of federal budget will be allocated for modernizing of civil aviation airports and upgrading the unified air traffic management system, including facilities in Moscow, Sochi, Vladikavkaz, Kazan, etc.

Sector briefing Airports opportunities in Russia Why Russia? The post-downturn Russian economy shows good prospects for growth and according to official data. Passenger traffic increased by an average 10 percent a year over 2000-2010 in Russia while freight traffic doubled over the same period. It is estimated that this trend will continue in the coming years. RUR 470 billion (£9.8 billion) of federal budget will be allocated for modernizing of civil aviation airports and upgrading the unified air traffic management system, including facilities in Moscow, Sochi, Vladikavkaz, Kazan, etc. Enormous investments are required in Russian Find general information on Russian market infrastructure to modernise the existing and conditions on UKTI?s website. The Doing create new assets. Transportation and, in Business Guide for Russia gives an overview of particular, airports are key priorities in the Russia?s economy, business culture, potential Russian infrastructure sector. The strategic opportunities and an introduction to other need to upgrade airports is emphasized by relevant issues. such large-scale events as the Football World Cup 2018. ?A number of airports are already undertaking huge re- Governmental plans to consolidate and / or construction and development privatise large airports expected to come into life soon. Successful international projects in which offers business the airport sector are needed in order to put opportunities for the British Russia on the right track in its pursuit of Airport sector? building highly efficient economy. UK Trade & Investment Sector briefing: Airports opportunities in Russia ? Tolmachevo Airport has increased its 2011 Opportunities investment program to RUR 300 million (£6.25 million) from the previously planned RUR 170 Russia is and has been experiencing growth in million (£3.54 million). The airport plans to air traffic numbers. Many airports need serious direct the additional funds to various reconstruction to cope with the demand. construction projects, including a boiler house, electric substations, covered walkways, as well ? Moscow?s Sheremetyevo International Airport as the repair and acquisition of equipment. plans to invest RUR 1.3 billion (£27 million) by Meanwhile, the previously planned funds 2015 to carry out innovative projects. amounting to RUR 170 million are to be invested Specifically, the projects are aimed at into developing the baggage handling and introducing new technologies, the development security systems, as well as other projects. and application of new services for the airport?s Tolmachevo Airport is located on the main customers, increasing the energy efficiency and route between Europe and Asia, near the environmental friendliness of the airport?s Siberian city of Novosibirsk. It is the largest operations, and the implementation of cutting- transport hub beyond the Ural Mountains. edge management techniques. Sheremetyevo International Airport is one of ? Investments into the development of Russia?s three airports to serve the Russian capital Koltsovo International Airport are expected to and its surrounding region. The airport is amount to RUR 15 billion (£312 million) in owned by the Russian government. 2011?2015. The program comprises about 30 projects envisaging the development of the ? Moscow Domodedovo Airport plan to invest a airport?s infrastructure. total of RUR 60 billion (1.25 billion) in its Koltsovo International Airport and state- development in the next 10 years. owned Russian Post plan to construct an on- Specifically, the airport plans to invest U.S. site luggage sorting centre. Investments $250 million in development in 2011. into the project are estimated at RUR 6 Moscow Domodedovo Airport is one of three billion. airports in the vicinity of Moscow. In 2010, Koltsovo International Airport, the passenger traffic through the airport Sverdlovsk Region?s largest airport, operates amounted to 22.253 million people. in the city of Yekaterinburg and offers flights to destinations in Europe, Asia, and North ? Investment in Moscow?s Vnukovo Airport may Africa. reach RUR 12.5bn ($446.25mn, or ?311.25mn) by 2015. Technologies and solutions in the following areas are The airport?s upgrade programme stipulates or particular interest in Russian Airport sector: launching the second stage of Terminal A 1. Design/Master Planning of Airports with a footprint area of 90,000 sq m by 2. IT inside airports November 2012. 3. Commercial activities in passenger terminals Investment in the project will total RUR 2.3 4. Passenger/Luggage handling billion (£47.9 million). RUR 6 billion (£125 5. Aviation security: million) will be channelled into the ? in-house security ? liquids on board construction of technical zones and airfield ? detection of liquid chemicals services, and RUR 3 billion ? RUR 4 billion 6. Airlines relations (£62.5 million ? £83.3 million) is to be 7. Training and simulation at airport wrecking and allocated for the construction of a new fire grounds parking lot for 3,500 cars. 8. Economic Security The construction of the technical facilities 9. Consulting will be financed by private investors, while 10. Electronic ticketing and check-in the Vnukovo shareholders will supply funds Business opportunities aimed specifically at UK for the building the airfield facilities and companies are added daily to UKTI?s website. completing the terminal. These leads are sourced by our staff overseas Vnukovo Airport is one of Moscow and in British Embassies, High Commissions and Moscow Region?s five main airports and Consulates, across all sectors and in over 100 Russia?s third largest in terms of passenger markets. traffic (after Domodedovo and Sheremetyevo). You can be alerted to business opportunities on a regular basis by registering on the UKTI UK Trade & Investment Sector briefing: Airports opportunities in Russia website. Find out more on UKTI?s business opportunities service on the UKTI website. UK Trade & Investment Sector briefing: Airports opportunities in Russia Major events and activities UKTI contacts Inward visit of Russian airport representatives OLGA MAKARCHUK 29 October ? 2 November 2011 Team Leader London British Consulate General, St-Petersburg: Tel: 007 (812) 320 3200/23 th 40 Moscow International Airport Conference Email: & Exhibition ? Ground Handling 22 ? 24 October 2011 Sheremetievo Novotel, Russia ANASTASIA BADINA Trade & Investment Adviser (Airports, Rail) British Embassy, Moscow New export events are added daily to the site Tel: 007 (495) 956 7389 and you can register to be alerted to them on a Email: daily, weekly or monthly basis UKTI?s Tradeshow Access Programme (TAP) SVETLANA BONDARKO provides grant support for eligible Small & Senior Trade & Investment Adviser (Automotive) Medium Sized Enterprises (SME's) to attend British Embassy, Moscow trade shows overseas. Find out more about Tel: 007 (495) 956 7452 UKTI support for attendance at overseas Email: events ELENA PASHINA Trade & Investment Adviser (Aerospace) British Embassy, Moscow Tel: 007 (495) 956 7229 Email: GALINA MOVCHAN Senior Trade & Investment Adviser (Engineering) British Consulate General, Ekaterinburg Tel: 007 (343) 379 4931; 253 5622 Email: ALEXANDER PETROV Senior Trade and Investment Adviser (Ports) British Consulate General, St-Petersburg Tel: 007 (812) 320 3228 Email: UK Trade & Investment Sector briefing: Airports opportunities in Russia Next steps - ? Arranging appointments How UKTI can help ? Organise seminars or other events for you to meet contacts and promote your British companies wishing to develop their company in the Russian market business in the Russian market are advised to undertake as much market research and This work is available via our Overseas Market planning as possible in the UK. UKTI?s team in Introduction Service (OMIS) a chargeable Russia, with its wide local knowledge and service which assists British-based companies experience, can provide a range of services to wishing to enter or expand their business in British-based companies wishing to grow their overseas markets. business in global markets. To find out more about commissioning this This can include: work, or accessing other UKTI services and ? Provision of market information specialist advice, please visit the UKTI website ? Validated lists of agents/distributors to find contact details for your local UKTI ? Key market players or potential office. customers in the Russian market ? Establishment of interest of such contacts in working with you Whereas every effort has been made to ensure that the information given in this document is accurate, neither UK Trade & Investment nor its parent Departments (the Department for Business, Innovation & Skills, and the Foreign & Commonwealth Office), accept liability for any errors, omissions or misleading statements, and no warranty is given or responsibility accepted as to the standing of any individual, firm, company or other organisation mentioned. Published 2011 by UK Trade & Investment. Crown Copyright © You may reuse this information (not including logos, images and case studies) free of charge in any format or medium, under the terms of the Open Government Licence. To view this licence, visit licence/ or write to the Information Policy Team, The National Archives, Kew, London TW9 4DU, or email: This publication is also available from our website at or for more information please telephone +44 (0)20 7215 8000. UK Trade & Investment Sector briefing: Airports opportunities in Russia
Posted: 23 October 2011

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