During 9 months of 2003 the output in Tatarstan light industry fell by 4.2% as compared with the same period of the last year. This included the decrease of felt footwear by 27.1%, chrome tanned leather - by 47.0%, leather footwear - by 16.4%. ZAO Iskozh work was stable (2.2% growth). At OAO Safian production fell by 11.5%, at OAO Spartak by 17%.
Financial state of light industry enterprises of Tatarstan remains unstable. Over 8 months of 2003 the share of unprofitable enterprises increased (they are mainly textile, leather, fur and footwear enterprises) by 4.3% and reached 48.3%. The amount of losses suffered by these enterprises is 113.6 million rubles. The average level of wages in the industry is twice lower than for the industry on the average, being 2844.7 rubles over 8 months of 2003 (in the industry on the whole it was 5957.6 rubles). On the whole in Russia the average wages in the light industry reached 3014.0 rubles. Tatarstan government supports industrial enterprises regardless of the form of proprietorship. Since 2001 the Tatarstan Budget Law provides for state support in the form of compensation of per cent rate on loans of commercial banks to the enterprises, that are involved in investment projects in the amount ? of RF Centrobank rate.
A number of light industry enterprises took advantage of this opportunity and are currently carrying out investment projects aimed at substitution of outdated machinery. OAO Safian, for instance, is carrying out technical re-equipment of footwear, chrome, Juft leathers and combination tannage leathers production.

Source: RLN
01.12.2003