The backbone of the industrial complex of Izhevsk consists of manufacturing companies. Manufacturing industry products in all local-made shipped goods and works and services performed using own resources using actual prices of account year of clean business in overall amount of industrial output totaled 81,3%. The positive factor is that manufacturing companies kept the 80 % overall result throughout 2004 to2015. In this period, excluding 2009, the large and medium-sized companies’ growth exceeded 100 %.

The key positions in the manufacturing industry of Izhevsk are held by following branches:

Metallurgical production and production of finished metal goods;

Production of machines and equipment;

Production of electrical equipment, electrical and optical systems;

Production of transportation means and transportation equipment.

From 2004 to 2015 the changes in the structure of manufacturing industry were superficial. (table 1).

Table 1

Structure of manufacturing industry

Type of economic activities; Part in the overall amount of industrial output of local-made shipped goods and works and services performed using own resources, %
2010 2011 2012 2013 2014 2015
Manufacturing companies, including: 100,0 100,0 100,0 100,0 100,0 100,0
Food production, including beverages 6,7 5,9 6,0 5,8 5,7 6,1
Textile and clothing manufacture 0,5 0,3 0,3 0,2 0,2 0,2
Woodworking and wooden goods manufacture 0,2 0,2 0,1 0,1 2 3,1
Cellulose and paper production, publishing and polygraph activities 1,0 0,8 0,7 1,0 0,8 0,7
Chemical production 1,4 1,4 1,8 1,7 1,4 1,3
Rubber and plastic products manufacture 1,5 1,5 1,5 1,4 1,2 1,0
Manufacturing of other non-metallic mineral goods 3,5 2,5 2,1 2,2 1,9 1,6
Metallurgical production and production of finished metal goods 36,2 28,7 27 22,7 16,3 15,7
Production of machines and equipment 21,2 19,8 19,8 22,1 21,9 28,2
Production of electrical equipment, electrical and optical systems 21,0 16,6 21,4 21,3 21,9 13,5
Production of transportation means and transportation equipment 3,4 19,8 15,6 18,8 23,6 25,8
Other manufacturing industry 3,4 2,5 3,7 2,7 3 2,8
Table 2Performance levels of large and medium-sizedmanufacturing companies ofIzhevsk
Performance level 2008 2009 2010 2011 2012 2013 2014 2015
Wear and tear degree of fixed assets , % 43,4 46 46,3 45 38,2 38,4 33,9 32,5
Worn out fixed assets in overall fixed assets, % 15,8 16,8 16,7 16,4 13,9 13,9 12,0 11,1
Money-losing venture ratio, % 24,4 29,9 25 21,9 19,2 19,5 19,4 18,8
Table 3Dynamics of investment into capital stock ofIzhevsk companies
Ratio 2011 2012 2013 2014 2015
Investment into capital stock from all sources of all Izhevsk companies, million roubles 29503 35091 42404 53163 48343
Growth ratio in corresponding period of previous year with comparable prices, % 129,0 112,7 110,3 111,5 82
Table 4Type composition of investment into capital stock in large and medium-sized companies ofIzhevsk
Investment pattern 2011 2012 2013 2014 2015
Buildings and structures, million roubles 8122,8 7294,6 12395,5 11099,2 13143,4
Part in overall volume of investments into capital stock, % 40,6 34,5 37,3 29,5 40,2
Machines and equipment, transportation means, million roubles. 8775,1 9838,8 13848,8 17556,8 13775,3
Part in overall volume of investments into capital stock, % 43,9 46,6 41,7 50 42,2

Small and medium-sized entrepreneurship is an integral part of Izhevsk economic system. It is every branch of manufacturing and non-manufacturing area of economic activity.

Following the results of 2015, there were 1388 small businesses and 18 121 private entrepreneurs working in the city. Following the result of sampling enquiry there were 80 medium-sized companies. Also there were approximately 15 000 micro companies.

Subjects of small and medium-scale business tend to concentrate in the trade sphere. The reason for this is higher level of profitability, better availability of staff resources comparing to manufacturing. Entrepreneurs working in trade also won’t need to solve technical equipment or certification and licensing issues.

Distribution of small enterprises by activity, %
Distribution of individual entrepreneurs by activity, %

One of the most dynamic sectors of Izhevsk economy is the consumer market.

The retails sales volume has been steadily growing throughout the years. Retail volume from all sources in 2014 totalled 120.2 billion roubles.

Nowadays retail net in Izhevsk consists of 2395 retail companies, 496 food service companies, 3 multi-functional retail markets.

There are different kinds of food service companies in Izhevsk: specializing on elite food and drinks, specializing on national cuisine, fast food restaurants, catering services, order-basis cooking. This includes “Meat and Wine”, “Wong”, “Solod I Khmel”, “Ogloblin” restaurants, and “Mamini Blini”, “Mama Pizza”, “Eshe Kusotchek”, “Planeta Sushi”, “KFC” and “McDonald’s” fast food restaurants.

Public services are also a key socially important part of the commercial services.

There are more than 1000 companies providing full range of high quality public services using modern technologies and equipment. Most common services are technical maintenance and repair of automobiles, hairdressing services, shoemakers and tailoring.

Hotel services are provided by 52 hotels, including international class hotel – Park Inn Izhevsk.

One of the priorities of city development is housing and vital infrastructure construction. This includes implementation of the federal program “Available and comfortable housing for Russian residents, federal dedicated programme “Habitation”, Udmurt Republic programme “Providing young families with homes”.

There are wide range of owner/developer companies on the Izhevsk construction market including Federal State Unitary Enterprise GUSST №8, “Komos” LLC, “ASPEK-Domstroy” LLC, TITAN-Investstroy” LLC, “TALAN” LLC. The wide range of companies creates an assortment of housing type, class and price.

According to the state statistical information average cost of 1 square meter of living space in Izhevsk in Q4 2014 amounted to 45.4 thousand roubles.

In 2014 315.5 thousand square meters of living space were put into service. The largest part is taken up by multi-apartment buildings – 87.8 % overall. Increasing of living space is planned as a part of implementation of Republic programme “Stimulation of housing construction in Udmurt Republic 2011-2015”. Annual increase of living space put into service is about 5 to 10 % comparing to previous year.

Main distircts for housing construction in 2015 are microdistrict “Stolichniy” on Votkinskoe Shosse street, microdistrict A-10 on Ilfata Zakirova street, microdistrict near Ordzhonikidze street and Karlutka river bank, 7 and 8 Eastern residential areas. 

Putting living space into service in Izhevsk, thousand square meters.

To improve investment attractiveness, the Administration of Izhevsk actively participates in making three-way agreements between itself, Ministry of Construction, Architecture and Housing policies and builders. During the period from 2009 to 2014 6100 young families participated in the “Providing young families with homes” programme.

The authorities are developing engineering and transport infrastructure. Preparations are made for the third drain tunnel to the main sewer near Sverdlova st. and Internatsionalniy alley of Izhevsk. Off-site piping are routed to Medvedevo village, new roads are built in “Chistoprudniy” village and microdistrict “Stolichniy”. Now specialists work on the project of the Izhevsk pond embankment territory. 

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