“Panic negatively impacts the business industry, causing States to make destructive decisions for the economy”

The CEO of LLC “Amperetex” Pavel Pogrebniakov provided an expert opinion for the information portal Kaliningrad.Ru https://kgd.ru/news/economy/item/88260-jekspert-riski-biznesu-nesjot-panika-iz-za-kotoroj-gosudarstva-prinimayut-gubitelnye-dlya-jekonomiki-resheniya“Panic negatively impacts the business industry, causing States to make destructive decisions for the economy”.

According to the Amperetex-CEO Pavel Pogrebniakov, the crisis will affect all.
The coronavirus pandemic holds no risks for business development, but panic and destructive for the economy authorities’ decisions affects entrepreneurship.

This view was expressed by the CEO of LLC “Amperetex” Pavel Pogrebniakov in conversation with Kaliningrad.Ru.

The company is a producer of innovative woven fabric and became a new SEZ resident in late March. “We’ve registered now aiming to make the best use of benefits offered by Kaliningrad oblast, which are nowadays the most profitable in Russia. This year we’re buying the core process equipment and building a plant”, explained Mr. Pogrebniakov.

In his view, the current “uncertainty” doesn’t impact business development providing one has the necessary knowledge and is able to manage risks. “There are in principle no pandemic risks! But panic is of importance, even utmost importance for business causing States of the world to introduce habitat, asymmetric, exaggerated and destructive response measures for the economy. But if we rise above the situation we will see a “window of opportunities” for business – new markets, segments and niches. However, it’s not the same to see opportunities and use them requiring different skills. But it’s not the “first” window: we had possibilities in 1998, 2015 and 2018 and were even willing to diversify the market, but still remained commodity economy”, emphasized the “Amperetex” director.

Pavel Pogrebniakov added that the crisis will affect all sectors of the economy. “China, grounded to a hold for a few months, has become a leitmotif of the tragedy, being the largest oil importer which consumes more than France, Germany, Italy, Spain, Great Britain, Japan and South Korea taken together. Due to the massive fall in demand, the oil prices went down. The OPEC-deal fallen through, it has decidedly brought the prices down which our economy is so sensitive to and our currency began to drop seriously. All this is already enough for the country’s crisis, but limitations imposed to combat the spread of the virus will lead to a record downturn in tourism and air travel. Our new restaurant business and hospitality will have it very hard. They’ve probably never been so shocked before”, concluded the expert.

It may be noted that, “Amperetex” is aiming to set up a production of innovative textile fabrics in the Kaliningrad region. The company invests at least 184 bln. rubles and will create 44 new jobs.

The “Amperetex” technology has already been used in the region. At the end of 2018, a new bus stop with a unique non-slip surface was opened in Zelenogradsk. Besides, the innovative material has been used for creating warm cat-houses in the resort city.

Then Mr. Pogrebniakov said, he was planning to open a plant that produces innovative fabrics in the Kaliningrad region. According to the investor’s calculations it would be able to produce up to a half-million square meters of products per year. The Industrial Park “Chabrovo” was considered as a platform for the enterprise.