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Russian economy is in a slow mode with growth rates declined in the final quarter of the previous year and manufacturing weaker than in early 2012. Forecasts of the government and think-tanks for gross domestic products for 2013 are still modest, so the nation’s railway industry, which handles about 80% of the country’s turnover, is on the brink of recession. The final quarter saw cargo transportation results going down (pp.38-41) 

But business circles and officials are far from panic, there are still signs that Russia can have a better year. First of all, some good trends can be seen in the EU, which is the main trade partner of Russia, the largest consumer of metal, coal, timber and other commodities produced here. Hope is laid on Germany, the biggest economy in Europe which now is demonstrating some positive change toward stable growth. 

RZD is a great part of Russian economy, and the economy in its turn is a part of the global market. RZD is seeking to become a global player trying to get beyond state boundaries and to link 1435 and 1520 areas into one united railway zone. Last year, President of RZD Vladimir Yakunin became Chairman of the International Union of Railways (UIC) (pp. 4-9). The company acquired a French logistics company GEFCO and activated the development of the Transsib, primarily, e-documentation and the regulation of customs procedures (pp. 46-49).

But Russia still must prove its worth as a transit country capable of attracting volumes traveling from China to Europe and in the opposite direction. Infrastructure available can handle with rather big volumes, of about 1 million TEU annually, but the problem is numerous bureaucratic regulations making it impossible to let the goods go fast. First of all, it’s about customs clearance procedures that are preventing many forwarders from using Russian transport system. Let alone the need for modern logistics schemes and IT–services making it possible to track the goods online. All these difficulties are supposed to be tackled by a new law that will deal with all transit issues. Now a draft of the law is passing through long corridors of Russian government and parliament bodies. Hopefully, by the end of this year it will be signed by President Vladimir Putin who personally gave a go to work on this document last October (pp. 14-15) 

Getting to leader’s position in transit as well as becoming a global player assumes that the industry’s performance is of high quality. In this aspect, much still needs to be done in Russia. Railway infrastructure is being developed at a rather high rate, but despite all the measures taken by RZD, there are a lot of bottlenecks (pp. 22-24). The reason is the nature of a modern economy, where the demand is changing rapidly as well as the directions of transportation. That brings new challenges for railway companies which must be flexible in their reactions to market needs. Unlike companies, infrastructure cannot change so fast, and that’s the problem which RZD has been facing over few last years. Moreover, the underdevelopment of the infrastructure in the 1990s still impacts on today’s industry. 

Infrastructure is not just railways and stations, it is also technologies which help handle goods and transport passengers with maximal effectiveness rates.  Many of the technologies implemented on the Russian railway network in recent years have come from worldwide companies, and that’s a good basis for cooperation (pp. 58-59). 
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But business circles and officials are far from panic, there are still signs that Russia can have a better year. First of all, some good trends can be seen in the EU, which is the main trade partner of Russia, the largest consumer of metal, coal, timber and other commodities produced here. Hope is laid on Germany, the biggest economy in Europe which now is demonstrating some positive change toward stable growth. 

RZD is a great part of Russian economy, and the economy in its turn is a part of the global market. RZD is seeking to become a global player trying to get beyond state boundaries and to link 1435 and 1520 areas into one united railway zone. Last year, President of RZD Vladimir Yakunin became Chairman of the International Union of Railways (UIC) (pp. 4-9). The company acquired a French logistics company GEFCO and activated the development of the Transsib, primarily, e-documentation and the regulation of customs procedures (pp. 46-49).

But Russia still must prove its worth as a transit country capable of attracting volumes traveling from China to Europe and in the opposite direction. Infrastructure available can handle with rather big volumes, of about 1 million TEU annually, but the problem is numerous bureaucratic regulations making it impossible to let the goods go fast. First of all, it’s about customs clearance procedures that are preventing many forwarders from using Russian transport system. Let alone the need for modern logistics schemes and IT–services making it possible to track the goods online. All these difficulties are supposed to be tackled by a new law that will deal with all transit issues. Now a draft of the law is passing through long corridors of Russian government and parliament bodies. Hopefully, by the end of this year it will be signed by President Vladimir Putin who personally gave a go to work on this document last October (pp. 14-15) 

Getting to leader’s position in transit as well as becoming a global player assumes that the industry’s performance is of high quality. In this aspect, much still needs to be done in Russia. Railway infrastructure is being developed at a rather high rate, but despite all the measures taken by RZD, there are a lot of bottlenecks (pp. 22-24). The reason is the nature of a modern economy, where the demand is changing rapidly as well as the directions of transportation. That brings new challenges for railway companies which must be flexible in their reactions to market needs. Unlike companies, infrastructure cannot change so fast, and that’s the problem which RZD has been facing over few last years. Moreover, the underdevelopment of the infrastructure in the 1990s still impacts on today’s industry. 

Infrastructure is not just railways and stations, it is also technologies which help handle goods and transport passengers with maximal effectiveness rates.  Many of the technologies implemented on the Russian railway network in recent years have come from worldwide companies, and that’s a good basis for cooperation (pp. 58-59). 
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Russian economy is in a slow mode with growth rates declined in the final quarter of the previous year and manufacturing weaker than in early 2012. Forecasts of the government and think-tanks for gross domestic products for 2013 are still modest, so the nation’s railway industry, which handles about 80% of the country’s turnover, is on the brink of recession. The final quarter saw cargo transportation results going down (pp.38-41) 

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RZD is a great part of Russian economy, and the economy in its turn is a part of the global market. RZD is seeking to become a global player trying to get beyond state boundaries and to link 1435 and 1520 areas into one united railway zone. Last year, President of RZD Vladimir Yakunin became Chairman of the International Union of Railways (UIC) (pp. 4-9). The company acquired a French logistics company GEFCO and activated the development of the Transsib, primarily, e-documentation and the regulation of customs procedures (pp. 46-49).

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Getting to leader’s position in transit as well as becoming a global player assumes that the industry’s performance is of high quality. In this aspect, much still needs to be done in Russia. Railway infrastructure is being developed at a rather high rate, but despite all the measures taken by RZD, there are a lot of bottlenecks (pp. 22-24). The reason is the nature of a modern economy, where the demand is changing rapidly as well as the directions of transportation. That brings new challenges for railway companies which must be flexible in their reactions to market needs. Unlike companies, infrastructure cannot change so fast, and that’s the problem which RZD has been facing over few last years. Moreover, the underdevelopment of the infrastructure in the 1990s still impacts on today’s industry. 

Infrastructure is not just railways and stations, it is also technologies which help handle goods and transport passengers with maximal effectiveness rates.  Many of the technologies implemented on the Russian railway network in recent years have come from worldwide companies, and that’s a good basis for cooperation (pp. 58-59). 
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But business circles and officials are far from panic, there are still signs that Russia can have a better year. First of all, some good trends can be seen in the EU, which is the main trade partner of Russia, the largest consumer of metal, coal, timber and other commodities produced here. Hope is laid on Germany, the biggest economy in Europe which now is demonstrating some positive change toward stable growth. 

RZD is a great part of Russian economy, and the economy in its turn is a part of the global market. RZD is seeking to become a global player trying to get beyond state boundaries and to link 1435 and 1520 areas into one united railway zone. Last year, President of RZD Vladimir Yakunin became Chairman of the International Union of Railways (UIC) (pp. 4-9). The company acquired a French logistics company GEFCO and activated the development of the Transsib, primarily, e-documentation and the regulation of customs procedures (pp. 46-49).

But Russia still must prove its worth as a transit country capable of attracting volumes traveling from China to Europe and in the opposite direction. Infrastructure available can handle with rather big volumes, of about 1 million TEU annually, but the problem is numerous bureaucratic regulations making it impossible to let the goods go fast. First of all, it’s about customs clearance procedures that are preventing many forwarders from using Russian transport system. Let alone the need for modern logistics schemes and IT–services making it possible to track the goods online. All these difficulties are supposed to be tackled by a new law that will deal with all transit issues. Now a draft of the law is passing through long corridors of Russian government and parliament bodies. Hopefully, by the end of this year it will be signed by President Vladimir Putin who personally gave a go to work on this document last October (pp. 14-15) 

Getting to leader’s position in transit as well as becoming a global player assumes that the industry’s performance is of high quality. In this aspect, much still needs to be done in Russia. Railway infrastructure is being developed at a rather high rate, but despite all the measures taken by RZD, there are a lot of bottlenecks (pp. 22-24). The reason is the nature of a modern economy, where the demand is changing rapidly as well as the directions of transportation. That brings new challenges for railway companies which must be flexible in their reactions to market needs. Unlike companies, infrastructure cannot change so fast, and that’s the problem which RZD has been facing over few last years. Moreover, the underdevelopment of the infrastructure in the 1990s still impacts on today’s industry. 

Infrastructure is not just railways and stations, it is also technologies which help handle goods and transport passengers with maximal effectiveness rates.  Many of the technologies implemented on the Russian railway network in recent years have come from worldwide companies, and that’s a good basis for cooperation (pp. 58-59). 
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            [SECTION_META_DESCRIPTION] => <p>Russian economy is in a slow mode with growth rates declined in the  final quarter of the previous year and manufacturing weaker than in  early 2012. Forecasts of the government and think-tanks for gross  domestic products for 2013 are still modest, so the nation’s railway  industry, which handles about 80% of the country’s turnover, is on the  brink of recession. The final quarter saw cargo transportation results  going down (pp.38-41)</p>
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            [ELEMENT_META_DESCRIPTION] => <p>Russian economy is in a slow mode with growth rates declined in the  final quarter of the previous year and manufacturing weaker than in  early 2012. Forecasts of the government and think-tanks for gross  domestic products for 2013 are still modest, so the nation’s railway  industry, which handles about 80% of the country’s turnover, is on the  brink of recession. The final quarter saw cargo transportation results  going down (pp.38-41)</p>
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