K.Kuzin: «Textile Industry Needs Government Support For Modernization»

The President emphasized some basic problems of the industry and outlined the most important steps on the way to their solving. Vladimir Putin pointed out the destructive role of smuggling on the Russian textile market: “Although we have an impressive market size of 2,8 trillion rubles, there are only 25% of Russian goods in it, while the rest is imported, and a considerable part of this import is illegal”.

Putin specified that the struggle against the illegal import could be successful only in cooperation within the framework of the Customs Union. He also stressed the importance of raw materials supply and human resourcing, which he called the main basis of light industry.

Denis Manturov, Minister of Industry and Trade of the Russian Federation, noted in his speech that notwithstanding the underdeveloped infrastructure, there were some successful and quickly developing companies in the industry. In particular, he gave an example of the “Donetsk Manufactory”. Konstantin Kuzin in his report on development of the textile complex in Russia covered basic problems of the industry and suggested some possible solutions. In his opinion, main obstacles to development of textile industry are low modernization level of Russian enterprises and high level of smuggling, which was earlier mentioned by Vladimir Putin. Giving an example of efficient modernization process he referred to DM Textile Company. He noted that today DM Textile is a leader on the national market of terry manufacturers, producing 65% of the total amount of the terry cloth in Russia. Talking about particular actions that would help to solve the stated problems, the Head of DM Textile underlined the importance of the government support for industry modernization, control over smuggling within the framework of the Customs Union and reduction of financing costs of investments into production. “These government support measures, according to the “Strategy for Development of Light Industry in Russia for the Period until 2020”, will lead to general increase in number of Russian manufacturers on the national market – Konstantin Kuzin said, – which guarantees creating new jobs and increasing the average wages”.

At the end of the conference Vladimir Putin thanked all the participants for the productive work and wished them success in their activity. As a result of the meeting there will be a List of Instructions for the Government prepared, that will be then considered and worked over in detail.

Within the framework of the meeting Vladimir Putin visited the exhibition of the national manufacturers’ production, where DM Textile fashionable textile collections were displayed.

After a short tour Vladimir Putin received DM Textile’s brand-new limited Cleanelly Collection products as a gift. V.V. Putin became the first owner of this exclusive goods, and soon the complete collection will be available in “Cleanelly – textile Home” retail stores.