FINAL CLUSTER ANALYSIS - Kohtla-Järve

According to the statistics, North-west Federal District of Russia has a well-diversifi ed industrial structure with a stable
growth. The greatest activity is observed in service sectors, especially in construction industry (by all four basic criteria),
transportation and storage services and business activities. All that should provide proper networking opportunities
for trans-border clustering, especially in case of rather long distances between cooperating companies.
On the other hand, production industries are also increasing their scale in the region, especially: metalworking, manufacture
of wood products in general and pulp and paper industry. These sectors are very perspective for clustering,
because they provide lots of opportunities for common related and supporting chains of cooperation.
Concerning the rate of growth of the employment during last four years: it shows stability, except diff erent types of
manufacturing, where the number of employees signifi cantly increased, and textile industry with great reduction of
work force. There may be diff erent reasons for such decrease: more sophisticated equipment, which needs less people,
or the pressure of cheap imports. The Expert Group assumes, that mostly it is the second reason, so, there is an
opportunity to co-operate with foreign (Estonian) textile sector also because Estonian products are well accepted in
the Russian North-west.
In terms of export and import activities, the following fi gure provides the most prominent sectors in trade relations
between Russia and Ida-Virumaa.
e x P o r t :
Construction – 17,93%
Textile – 7,27%
Woodworking – 4,29%
Electronics – 4,22%
RUSSIA
IDA-VIRUMAA
Estonian companies have the experience of doing business
in the region and the number of joint ventures is increasing.
Mostly Russian-Estonian companies are involved in the Transport,
storage and communication sector (Expert Group may
assume that logistic companies and sea ports are included
into this category). Besides, Manufacture of wood and wood
products and Construction sector are also the most attractive
for Estonian business in the Russian North-west.
Final Cluster Analysis
Fig.6
I m P o r t :
Woodworking – 18,36%
Manufacture of coke – 11,29%
Mining and quarrying – 10,66%
Textile – 9,77%
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