Radik Khasanov, POZIS: ‘We should be offered analogous tax incentives and preferences as Haier has’

The ceremoniously opened Chinese plant for the production of refrigerators in Naberezhnye Chelny has revealed rigid contradictions with local producers

The field meeting of the Committee of Tatarstan State Council on the social mortgage in the Zelenodolsk plant for the production of refrigerators has resulted in the workers' appeals to give the plant an opportunity to work with Chinese competitors on equal terms. Chinese has launched the production in Naberezhnye Chelny on 22 April. POZIS is concerned that Haier will lower prices and will be in the same segment of the market, and due to the tax incentives will be able to knock out Zelenodolsk out of the market.

'Young people often ask: 'What are the prospects?'

On 28 April, at Zelenodolsk enterprise POZIS there was the field meeting of the Committee of Tatarstan State Council on 'the legislation realization the in the sphere of employment in the field of the career guidance and employment of youth'. The deputies were shown the recreation resort where the workers can improve health at preferential prices. Some deputies even enquired about the price and whether they can go there at weekends.

However, during the visit, the emphasis slowly shifted from the issues of youth career guidance to the workers' concerns about the future of the enterprise.

'We are not afraid of the a competition, we manufacture 72 models (of refrigerators – editor's note),' told the Deputy Chief Engineer Ravil Asayanov. 'There are 5 000 workers in the plant. If to take into account their families — we support 15 000 people – 20% of the population of our city. The fourth generation of the workers is expected here, all their fates are connected with the plant. Young people often ask: 'What are the prospects? Why Haier?' We have lost all our plants that way, can you understand?! It will exist 10 years, then will disappear, leave ruins, and we will have to develop it once again,' noted Asayanov.

During the visit, the emphasis slowly shifted from the issues of youth career guidance to the concerns of the workers about the future of the enterprise. Photo: gossov.tatarstan.ru

This point was supported by the deputy director for staff Anatoly Tumanov, he noted that in the case of a 'negative' situation development the town will suffer significantly.

'They will interfere in our segment!'

The head of the production of the refrigerator equipment and the trade and industry equipment continued the theme of the threat in the shop where the equipment is being produced. He noted that the plant has been pulled out of almost deplorable condition, besides, the plant has no defense orders for almost 6 years and the production of refrigerators has become the only opportunity that helped POZIS to exist as an enterprise.

The update of the shop, even without robots, but with new equipment amazed; old machines, which they haven't time to dismantle, demonstrated the huge work that has been done on the plant. Bogatkin told about the proud: in 1998 they had to modify 400 refrigerators per day, but now this amount is no more than 2-3. They do not believe here that 'refrigerator dragon from China' will fight for the premium segment.

'We have been really puzzled by the opening of Haier plant at the production site in Naberezhnye Chelny, now it will be our key competitor, even though they position themselves in another price segment. But we, the consumers, know that the premium class costs 50 000 rubles, but an average worker in Tatarstan has a salary at 24 000 — 25 000 rubles – who will buy it? Therefore, they will interfere in our segment!' told Bogatkin.

The plant produces 72 models of refrigerators. Photo: gossov.tatarstan.ru

The workers appealed to the delegation from the State Council with their concerns.

'We are the generation that has endured 1990s, it was very difficult, the plant was dying. Then Radik Shavkyatovich came (Radik Khasanov, Director General of the enterprise – editor's note), the plant understood that we receive a stable salary, pay taxes to the budget. We just do not want to go back in the past,' told a worker of the plant.

The main message of the appeals – to create the equal conditions for both enterprises: mainly through giving Zelenodolsk the status of monocity or the territory of advanced development that will give POZIS tax preferences.

'The current situation is much more dangerous than all problems that we have faced together'

The Director General of POZIS Radik Khasanov spoke out on the matters of the concrete conditions during the meeting of the Committee.

'Unfortunately,' started Khasanov but then corrected himself, 'Fortunately! We are not afraid of the competition, now we have a competitor. We have worked with them, although they could produce refrigerators here in 2014, but chose preferences. Preferences are not supposed for our project. Our people worry, we have faced problems for many times and found solutions. The current situation is much more dangerous than all problems that we have faced together. If there are no measures to balance the business, of course, it will be difficult to compete. There may be negative results. I would like to ask you, dear deputies, to consider, maybe to analyze possible consequences. The Ministry of Industry and Trade is here, the Ministry of Labour… In our opinion, there should be analogue tax incentives and preferences,' told Khasanov, adding that the enterprise is ready to accept Chinese challenge on equal terms.

POZIS is ready to compete with Haier on equal terms. Photo: prav.tatar.ru

Preferences that are given Haier do not suit

The chairperson of the Committee of State Council for the social mortgage Svetlana Zakharova, answering the questions of the journalists, noted that the enterprise's word has been heard, but there are a lot of 'but'…

'We understand the workers' concerns about new enterprise opened in Naberezhnye Chelny that has certain preferences. We will discuss this issue with deputies, the Committee of taxes and finances, because those preferences that are given to Haier are not very suitable in that case, as it's not a new production. Perhaps, we will have to apply to the federal center together with the government and the President. We must not allow the reduction in the production, on the contrary, we must create different conditions for the business development, especially for our, local.'

According to POZIS press centre, in 2015, the plant produced 347 thousand of refrigerators. Opened on 22 April Haier plant in Naberezhnye Chelny is planning to produce up to 200 thousand of refrigerators per year at the first stage, however, it is planned to increase the production up to 500 thousand per year.

By Aleksander Tretyakov