Geographic location

The Republic of Adygea lies in Russia’s Southern Federal District of the Russian Federation. It is located in the northwestern part of the Caucasus on the left bank of Kuban and Laba rivers and covers an area of 7.8 thousand sq. km.

Adygea is surrounded everywhere by the territory of Krasnodar Region and does not have any borders with other constituent entities of the Federation.

The water resources of the Republic of Adygea include 85 large and small rivers and more than a hundred lakes. There are five reservoirs, large supplies of mineral and thermal waters in the Republic.

The terrain distinguishes the plain, foothill and mountainous parts. Mountains stretch from 2000 to 3255 m high from south to east.

The subsoil of Adygea is rich in minerals. Among them there is good quality oil, molybdenum, wolframium, barium sulphate, phosphorite, lead, copper, zinc. The mineral wealth used for the production of construction materials are cleaned up: clay, sand, sand-gravel aggregates, trim stones. There are also silver and gold deposits.

 

Climate

The climate of the Republic of Adygea is moderately warm. The average annual rainfall is 700 mm. The duration of the summer is 140-150 days per year. Clear weather lasts about 240 days per year. The average air temperature in January is - 2С °, in July - + 28С°.

Flora

The Republic of Adygea hosts Caucasian State Biosphere Reserve, four state reserves and nature monuments.

14% of the territory of Adygea is occupied by specially protected territories included in the UNESCO World Heritage List.

 

Population

As of January 2022, the population is 463 thousand people.
The population density is 59.4 people per 1 sq. km.

Adygea is a multinational republic, where representatives of more than
100 nationalities live.

The Adygs, who gave the name to the Republic, are the oldest residents of the Northwest Caucasus, known in Europe and in the East since the 13th century as Circassians.

 

Administrative division

There are two cities of republican significance in the Republic of Adygea. The major population centres are the city of Maykop and the town of Adygeysk. Maykop is the administrative center and has the population more than 150 thousand people. In Adygeysk there are 13 thousand people. The structure of Adygea includes 60 municipal entities, 5 urban-type settlements, 43 rural administrations and 228 rural settlements.

The high authority is the Head of the Republic of Adygea. The legislative body is the State Council of the Republic of Adygea.

The Head of the Republic of Adygea is Murat Kumpilov, the Acting Prime Minister of the Republic of Adygea is Anzaur Kerashev, Chairman of the State Council of the Republic of Adygea - Vladimir Narozhniy.

 

 

 

Economy

The leading sector of the economy of the Republic of Adygea is agriculture. Its development is facilitated by the advantageous geographical location of Adygea and favorable soil and climatic conditions. The Republic ranks among the top
10 grain yield regions in Russia. Gardening and greenhouse complex are on the rise.

The food industry has high potential. Smoked and soft cheeses (Adyghe cheese) are the hallmark of the region. The production of confectionery, canned meat, canned fruit and vegetables, beverages is growing.

The largest contribution to the food industry is made by such enterprises as Adyghe Feed Mill LLC, Mamruko LLC, New Technologies LLC, Complex-Agro LLC, Tambovsky LLC, Giaginsky Mill OJSC,  milk factory CJSC “Adyghe”, LLC “TH“ Victoria ” and  LLC“ MPP Brewery Maykopsky ”.

The pulp and paper industry is an important manufacturing industry where Kartontara LLC has been showing good results. The companies such as Plastic Trade LLC, New Technologies LLC, Formica-South LLC are the leaders in  manufacture of rubber and plastic goods.

Manufacturing of machinery and equipment is developing successfully.
 It is confirmed by the work of the following companies: ZAREM OJSC and Maykop Machine-Building Plant LLC and LLC Planeta GIPS.

Small and medium-sized businesses are actively developing, employing more than 40 thousand people or a third of those employed in the economy of
the Republic.

The Republic of Adygea has a unique tourism potential. The territory of the Republic is quite small but it has a large number of tourist, recreational, historical and archaeological sites and resources. That is an advantageous feature of the region.

Nowadays Adygea has available tourist sites for visiting:

- More than 340 natural monuments (waterfalls, caves, canyons, grottoes);

- 188 cultural and historical monuments (monuments of art, history, culture, urban planning, architecture and archeology);

- More than 150 excursion sites (public places);

- More than 50 tourist and sightseeing routes (hiking, horseback, water cars, bicycles);

- objects of religious and pilgrim tourism (monastery, churches, mosques).

Today, more than 260 enterprises and individual entrepreneurs in the Republic of Adygea provide services in this area. The main areas are active leisure, sightseeing services, event and ethnographic tourism.

Every year the growth of tourist flow increases by 8-10%. Over the past
8 years it has doubled.

One of the promising projects in this area is “The creation of a multi-year-round tourism and recreation park “Janet”. The proposed concept of the long-term development of “Janet Park” has a complexity of development of the territory through the construction of a comfortable key count of various types and classes, multifunctional sports and recreational complexes, cable cars, transport and energy infrastructure.

A large project “Construction and reconstruction of the MEGA Adygea Family Trade Center” is being implemented in the region. The expected volume of investments is over RUB 14 bn. The construction of a new building with an area of 100 thousand sq. m and retail facilities is planned during 2017-2025, including more than 2 thousand new jobs. Currently, the implementation of the first stage has been completed, within the framework of which the “Leroy Merlin” shopping center and the “Lagoon” artificial reservoir have been built and opened. The reconstruction of the roundabout and certain retail areas of the MEGA Adygeya was also carried.

 

State support for investors

The flexible investment policy of recent years has allowed creating favorable conditions for investing in the economy of the Republic of Adygea.
In this regard the conditions for entrepreneurs have been eased and the paperwork for permission has been simplified.

According to the national investment climate index in the regions, Adygea is one of the constituent entities of the Federation which has shown positive dynamics in improving the investment climate.

The legislation of the Republic provides for the possibility of tax benefits to investors including  property, transport  and income taxes  (paid into the budget of the Republic of Adygea). The cooperation between the authorities
and the investor in the framework of the implementation of a special investment contract of manufacturing is also provided. Management companies and residents of parkland are exempted from paying property tax for up to seven years.
The income tax rate for these categories of taxpayers is set at 13.5% (the portion of profit tax paid into the budget of the Republic of Adygea).

Adygea is actively working with investors, supporting investment projects on the "one stop shop" principle at any stage of the project.

The investment gateway of the Republic of Adygea (www.investra.ru) has been created, which contains all the necessary information to facilitate the work of the investors throughout the region.

 

 

January 2022