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Annual report '06

Central Europe and Russia

The Central Europe and Russia Region consists of Russia (three offices), Poland, Czech Republic, Hungary and Turkey. In practice the region consists of three distinct market areas – Russia, Central/Eastern Europe and Turkey – which have somewhat different priorities, opportunities and challenges.

Bjørn Hansen manages this region.

The focus in this region as a whole has been on seafood, oil and gas, maritime sector, environment and renewable energy, ICT, defence technology and EU/EEA projects. Interest from business and industry is significant and growing, especially in Russia and Poland.

New office in Murmansk

The offices in Russia have focused in particular on projects and individual marketing assignments related to seafood and the maritime sector, as well as oil and gas. Russia is potentially a very interesting market for the oil and gas technology industry, especially in relation to the northern regions, and in the autumn of 2006 a new office opened in Murmansk, which was financed by the Ministry of Foreign Affairs.

Local representative from INTSOK

INTSOK has a local representative at the Moscow office, who, in addition, to pure INTSOK assignments, also assists individual companies, now with a greater focus on the northern regions.

Increased tourism

The number of tourists from Russia is increasing, and in 2006 the Moscow office carried out a number of activities, including press and delegation trips, for which there has been a very good response. In 2006 the office organised four trade fairs with Norwegian participation, including two related to tourism. Some of the most important challenges for work in Russia are related to the scope of the bureaucracy and complicated regulatory system, slow and unexpected administrative decisions and a complicated tax regime.

Significant bureaucracy

Companies experience significant bureaucracy at all levels of government, especially in connection with obtaining the necessary permits and licenses, as well as customs declarations. Companies also experience that the regulatory framework for sales and local operations can be rather unpredictable – especially with regard to obtaining the necessary permits and licenses, customs declarations, and the introduction of new rules and regulations.

Increased interest from Norwegian companies

In 2006 the markets in Central and Eastern Europe showed growth of 4 to 6%, and this has resulted in increased interest in these markets from Norwegian companies as well. The primary focus has been on assistance for partner searches for distribution and local production in the aforementioned sectors.

EEA funds

In 2006 the offices in Poland, Hungary and the Czech Republic assisted the Ministry of Foreign Affairs with information work in connection with the EEA funds. It has been a significant challenge to get Norwegian participation for these projects. The entire process is bureaucratic and takes a very long time, and the level of interest is very limited as a result of this. In addition, the local authorities enforce the regulations in such a way that it is difficult for potentially interested Norwegian partners to gain entry to these projects.

Focus on environmental technology

In 2006 the offices have searched in particular for new market opportunities in renewable energy and environmental technology. A number of seminars related to defence and security technology were held in Poland and Slovakia, all with good Norwegian and local representation.

Good growth in Turkey

Turkey is experiencing continued economic growth of around 6% annually, which has also resulted in significant activity, especially in the maritime and ICT sectors. Turkey is negotiating for membership in the EU, which would result in an increased interest and opportunities for Norwegian industry.


Photo: Innovation Norway
Bjørn Bjørnsen
Regional Director