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Shipbuilding industry in St. Petersburg (Russia)

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In view of the fact that Russia is a major maritime state, shipbuilding industry has traditionally been a very important branch of its economy. According to Krylov Shipbuilding Research Institute, in 2008 there were 161 enterprises active in Russian shipbuilding industry (building and scientific sector). There were 190 500 people occupied in the shipbuilding industry, including 158 200 people in scientific and design organizations. RIAN reported that the branch cooperates with more than 2 thousand supplying companies.

Distribution of Russian shipbuilding companies, by type of ownership

Distribution-of-Russian-shipbuilding-companies,-by-type-of-ownership.gif

Source: Krylov Shipbuilding Research Institute 

In 2008 production in the navy sector of shipbuilding grew by 8,3%, in the civil segment – by 30,3%. The structure of enterprises’ production activities was as follows:

Portfolio of Russian shipbuilders, 2008

  Type of ship  Quantity  Deadweight
(thous.tons)
 
 1  Oil and chemical products carrier  9  368
 2  Tanker-product carrier  26  264
 3  Tanker  3  143
 4  Dry cargo ship  21  133
 5  Chemical carrier  4  79
 6  Icebreaker  2  13
 7  Fishing ship  7  1.3
 8  Research ship  1  0.4
 9  Tug  2  0.2
 10  Patrol ship  1  0.1
 11  Refrigerate cargo carrier  1  0.07
 12  Waterlogged floating drilling rig  2  N/A
 13  Fish-search carrier  1  0.7
 14  Cruiser  3  0.2
 15  Refueller  2  N/A
 16  Fishery protection carrier  1  0.04
 17  Passenger catamaran  1  0.08
 18  Salvage tug  2  1.7
 19  Multipurpose ship  1  3.4
 20  Anchor suppler ship  1  2.3
 21  Hydrographic research ship  1  2
  Total   92  1 012.5

Source: Krylov Shipbuilding Research Institute 

Based on their past history, St. Petersburg and North-Western Federal Okrug (NWFO) are often regarded as the shipbuilding capital of Russia, at least for sea going vessels. In the North-West Federal Okrug (NWFO) powerful, scientific and industrial shipbuilding potential is concentrated, accounting for more than 80% of R&D and over 70% of all domestic industrial production. In Russia, large-capacity ships and vessels can only be built at the shipbuilding facilities of St. Petersburg and Severodvinsk. The concentration of mechanical engineering and instrument building companies in NWFO, together with major scientific centres, place NWFO and St. Petersburg among the most important and powerful regions in Russia. It is important to note that the headquarters of the United Shipbuilding Corporation (OSK) are situated in St. Petersburg since the beginning of 2009.

capacity.gif

Shipbuilding is recognized as a strategically important branch of St. Petersburg’s economy that is a major buyer of goods produced by machine building, electronic manufacturing and other industries. Plants and shipbuilding companies are actively modernizing their production facilities and reshaping organizational structure.

As of the end of 2007, the Committee for economic development, industrial policy and trade of St. Petersburg Government reported that 57 enterprises of shipbuilding industry are located in St. Petersburg, including 27 industrial enterprises and 30 scientific and R&D organizations, i.e. 40% of total production capacities of the branch and 75% of its scientific capacity. 31 enterprises and organizations are of 100% state ownership.

Shipbuilding industry employs more than 50 thousand specialists in St. Petersburg. The share of shipbuilding in the total volume of production of the city’s defense enterprises exceeds 50%. The volume of export orders in the production programme of shipyards comprises 70-90% on the average. But the range of produced items is not limited only to navy vessels; civil vessels are produced as well, such as: tankers, passenger ferries and ships of other classes.

Interview with Rolan Pirmez - president of Heineken Russia
Image by: Vyacheslav Korolev - Interbusiness

Interview with Rolan Pirmez - president of Heineken Russia

I think it is not a secret that Russia is a unique place from business point of view. The most interesting things happen in Brazil, India, China and Russia. I have been living here for 4 years and comparing the situation with 2002 year I can say exactly – I do not regret. It’s possible to achieve great results here. I feel lucky.

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