Russian press to ☕ 03.05.23

Good morning,

I'd like to invitation you to a subjective review of the Russian press which I hope will make your morning light.

Please read item number two. The decision of the Swedish board of directors may depend on a lot.

COMMERSANT

1..The EU is considering limiting Russian transit of goods under the 11th package of sanctions

4. Italian equipment maker Danieli Group announces withdrawal from Russia

An global Italian company, which is the 3rd largest supplier of equipment and installations for the metallic manufacture in the world, announced its withdrawal from Russia on Tuesday 2 May.

"Deliel's departure from the Russian marketplace is due to the inability to sale equipment in Russia due to the sanctions government established by the European community," said the company's board representative.

He pointed out that the products produced by Danieli Group require heavy-duty vehicles and ships to be transported, after which metallurgical equipment is installed on site. All this, in his opinion, has become highly hard due to serious restrictions on customs matters.

5.Commercial networks will be obliged to make shelves with Russian non-food products

Trade networks will be required to make shelves with national non-food products. This is due to the justification for the draft law of the Deputies of the 1 Russia faction in the State Duma and the Ministry of manufacture and Trade, at the disposal of Izwiestia. The paper amends the Act on the grounds of State regulation of commercial activities in the Russian Federation.

"The Act was designed to increase the competitiveness of Russian consumer goods and accelerate the technological improvement of the country. To this end, the concept of “goods of Russian origin” was introduced, as well as their compulsory participation in various positions, as defined by the Ministry of manufacture and Trade,” says the explanatory memorandum.

It explains that the authorised authority will specify the list of products to be presented on the ‘Russian shelf’ and its share in the volume of goods of that name.

(From the author: The authors of this wonderful thought forgot that it meant creating shelves only with abroad goods in this rotten West, I think we've been through this already)

Moscow Times

6.Dron attacked a reservoir with petroleum products close Taman Port in Krasnodar Territory

Near Taman port on Krasnodarski Territory, a reservoir with petroleum products caught fire. The incidental occurred on the night of 3 May in the village of Volna in the Temryuk region, reported the politician of the Region Wieniamin Kondratiew.

The area of the fire reached 1.2 1000 square meters, said Temryuk territory chief Fiodor Babenkow. According to him, 23 units of fire equipment and 85 people participate in the extinguishing.

According to REN TV, the roof of an oil tank of 20,000 cubic metres burns. Volna village is located on the Black Sea coast on the Taman peninsula, close Taman port. It houses a Taman handling complex for oil, petroleum products and LPG, operated by JSC Tamanneftegaz.

According to the Baza telegram channel, before the fire broke out, local residents heard the explosion. Its first origin is simply a drone attack. "At 02:30 a.m., a Ukrainian drone hit Tamanneftegas fuel tank in Taman port".

7.Railway blown up in the Briansk Oblast for the second time in 2 days

In the brian circuit, unidentified people blew up the railway tracks, reports the channel of telegram 112 . As a result, 20 freight train cars derailed.

The incidental occurred at 19:47 p.m. on the unelectrified single-track long of Sněžeck – White Bereg – reported the Russian Railway Press Office. The train traffic here has been halted. Firefighters are on site, 2 rescue units were sent there and 1 fire train.

"Unidentified explosive exploded in the Snezhetskaya railway station area. There were no casualties. As a consequence of the incident, a locomotive and respective freight train cars derailed. All operational services work on site’ – wrote on his telegram channel politician of the region Aleksander Bogomaz .

What precisely was taken by train is not officially served.

RBC

8. Airbus and Boeing repair companies in Russia have reduced profits six times
The full net profit of leading Russian companies operating and repairing imported aircraft at the end of 2022 fell 5.6 times, to 386 million rubles, gross – by 2.8%, to 21.7 billion rubles. This is due to the RAS reporting of companies which was analysed by RBC.

Most of the revenues (15.6 billion rubles) came from 2 suppliers belonging to the S7 group Vladislav Fileva and the Aeroflot group. The gross of the largest Russian player in this marketplace – S7 Technics – fell by 8.5% (to 11.5 billion rubles), net profit – by 43% (to 1.1 billion rubles). Revenues of Aeroflot Technics increased by 4.9% (to 4.1 billion rubles), but the company showed a maximum failure in its past (since 2016) – 570 million rubles.

MK.RU

9. To save the ruble

With large probability, the Ministry of Finance of the Russian Federation will resume buying abroad currencies in May. The first volumes will not exceed $200 million a month, Bloomberg writes. On the 1 hand, this step means a full-scale return to fiscal policy, with all the consequences. At the same time, this manoeuvre is mostly symbolic and is aimed primarily at the marketplace and investors: they say that Russia is gathering it alternatively of "eating" the reserves.

The Ministry of Finance in its activities is guided not so much by pragmatic considerations, but by the request to send a clear signal to investors and the market: everything is fine with the budget – the state can enlarge its treasury again," says Igor Nikolaev, chief investigator at the Institute of Economics of the Russian Academy of Sciences. "As far as ruble is concerned, present the exchange rate is mainly affected by the state of trade and balance of payments, exports of natural materials with which problems continue".

In January, the full monthly volume of turnover in the Russian currency marketplace fell to the minimum in fresh years – around 5.4 trillion rubles. And of course, it was sad, especially in the context of the collapse of export revenues to the budget, says Artem Deev, head of analytical department at AMarkets. But now, in his opinion, the situation with the supply of hydrocarbons abroad is improving, which allows you to resume buying a abroad currency, even with sanctions. And let the volumes be tiny at first, the crucial thing is that they will be. In this case, even a fresh concept, "petrojuan", is likely to emerge, due to the fact that the flows of Russian "black gold" are being redirected to Asian markets.

And now my comment. Russia risks again and Vabank plays. The situation with the budget is not improving at all, the payment congestion is huge. The expected increase in natural material prices has not occurred since May. The stock exchanges just ate Opec's cut effect. And Brenda's oil has a price of $75. A and Urals on the Moscow stock exchange and the interior marketplace is for 58 dollars and is inactive falling and in deliveries from the Baltic ports by $12-15 cheaper..

This means that oil and gas revenues in April and May may be close to the disastrous first quarter. An effort to rescue under specified conditions ruble can only accelerate the inevitable and be a suicide mission.

This decision is the most serious mistake of the current government only comparable in its fatal consequences to the decision to invade Ukraine.

10. Russian vodka export collapsed

Russian vodka exports in the first 4th of 2023, compared to the corresponding period of 2022, decreased by 76.7% to US$6.33 million in cash. This is evidenced by the national Customs Service data. The situation is due to a ban on supply to EU, US and Canada, i.e. to markets which so far account for up to 1/3 of the full volume of strong alcohol exported from Russia.

Interestingly, as the interviewer said, “MK”, initially many participants of this spontaneous protest did not separate Russian, Ukrainian or Polish products. seemingly from deep ignorance. And then on the same YouTube they began sending videos with detailed instructions on how to separate the Russian brand from, say, Polish vodka Belvedere, and even more so from Ukrainian brand.

"Of course, losses are serious. However, our producers intend to extend their export geography to countries that do not sabotage supplies. For example, Vietnam, this is Bragin. – Incidentally, no of the Russian brands (we have 6,000 of them) have succeeded in China, although it is simply a immense marketplace and our vodka is available in retail sales there. The fact is that its aromatic profile is not compatible with the preferences of local consumers.

( The only thing that saves producers is the interior market, there are continuous increases here)