Minsk Tractor Works to invest 1.6 bln rubles in expanding tractor assembly in Kuban - authorities

KRASNODAR. June 9 (Interfax) - The Minsk Tractor Works (MTW) plans to invest 1.6 billion rubles in developing agricultural machinery assembly production in Krasnodar Territory, the press service of the region's administration said, citing Krasnodar Territory Governor Veniamin Kondratyev.

"Two years ago, large-unit assembly of two Minsk Tractor Works models began in Starominskaya, with prospects for expanding production. Now, regional members of parliament have approved a special investment contract, which we previously signed jointly with the Russian Industry and Trade Ministry and MTW's Kuban branch. Starting this year, we are establishing [assembly] production for three modified Belarus tractor models with a high degree of localization. Two of them are new and will provide agricultural machinery for the region's horticulturists and viticulturists," Kondratyev said.

The production will use components from domestic manufacturers, including those from Krasnodar Territory, he said. Over 300 jobs will be created. In turn, regional authorities will exempt the investor from paying corporate property tax.

"The enterprise's expansion will not only ensure access to in-demand machinery but also increase production in Kuban's mechanical engineering and related industries. It will create new jobs and boost tax revenues to the regional budget," Kondratyev said.

The manufacture of agricultural machinery is one of the priority industrial sectors in Krasnodar Territory, with over 30 enterprises operating in this field. The region assembles tractors, grain harvesters, headers and grain transport trailers. It also produces irrigation machines, towed soil cultivation equipment and components.

The Minsk Tractor Works is one of the largest producers of tractors and agricultural machinery in the Commonwealth of Independent States.

As reported, MTW's agricultural machinery assembly production was established in the Starominsky district of Krasnodar Territory in 2022. The facility assembles around 300 agricultural machines annually, including Belarus tractors. It was also reported that MTW planned to eventually increase production to 1,000 units per year.