Medvedev’s Cabinet compels state-owned corporations to buy Russian technology

The Russian Government has decided to compel large domestic corporations controlled by the state to buy Russian technologies.

Under a government decree signed earlier this month, a special “roadmap” is expected to ease business suppliers’ access to the procurement programs of Russia’s largest state-owned corporations – including such large ones as Gazprom, Rosneft, Russian Railways, Rosatom, and Transneft.

These companies will be expected to increase the proportion of domestic technology solutions they use in their operations. The decree puts special emphasis on purchases of innovation products and technologies; a separate program is being put together to streamline the buying process  for innovation-related products and services between now and 2018.

The decree also underscores the necessity of developing related legislation and regulation that would “eliminate vagueness in defining what can be referred to as innovation and/or high-tech products and services, and what cannot.”

According to the new decree, by 2015, government-controlled companies must double their purchases of Russian technology solutions compared to the 2013 level and their purchasing levels must quadruple by 2018.

By December 2013, the Russian Ministry of Economic Development, Rusnano (Russia’s largest nanotech company, which is 100% owned by the government), the RVC (Russia’s fund of funds for innovation), and VEB Bank are expected to put together and publish online a register of innovation products, technologies, and services recommended for use in the Russian Federation.

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