Identifier
Created
Classification
Origin
09ANTANANARIVO651
2009-09-14 13:04:00
CONFIDENTIAL
Embassy Antananarivo
Cable title:  

RUSSIAN BUSINESS PRACTICES IN MADAGASCAR

Tags:  ECON ETRD MA RS 
pdf how-to read a cable
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RUEHC/DEPT OF AGRICULTURE WASHDC PRIORITY
C O N F I D E N T I A L ANTANANARIVO 000651 

SIPDIS

STATE FOR AF/EPS AND AF/E - MBEYZEROV

USDOC FOR BECKY ERKUL - DESK OFFICER
TREASURY FOR FBOYE

E.O. 12958: DECL: 09/14/2019
TAGS: ECON ETRD MA RS
SUBJECT: RUSSIAN BUSINESS PRACTICES IN MADAGASCAR
(C-CI9-01825)

REF: STATE 88241

Classified By: POL/ECON CHIEF DOVIE HOLLAND FOR REASONS 1.4 B AND E.

C O N F I D E N T I A L ANTANANARIVO 000651

SIPDIS

STATE FOR AF/EPS AND AF/E - MBEYZEROV

USDOC FOR BECKY ERKUL - DESK OFFICER
TREASURY FOR FBOYE

E.O. 12958: DECL: 09/14/2019
TAGS: ECON ETRD MA RS
SUBJECT: RUSSIAN BUSINESS PRACTICES IN MADAGASCAR
(C-CI9-01825)

REF: STATE 88241

Classified By: POL/ECON CHIEF DOVIE HOLLAND FOR REASONS 1.4 B AND E.


1. (C) Summary: This cable responds to the questions raised
in reftel regarding Russian business practices in Madagascar.
The answers are keyed to the questions below. End summary.


A. (U) IS THERE A RUSSIAN TRADE REPRESENTATION IN YOUR
COUNTRY?

There is no Russian trade representation in Madagascar.
Trade agreements were signed between Madagascar and the
Soviet Union in 1964 and 1975. In 2007, imports from Russia
amounted to USD 248,175, while exports to Russia were USD
938,586. In 2008, imports were USD 9,873,432, while exports
were USD 381,100, according to the National Statistics
Institute. The main Malagasy exports to Russia were cloves
and garments. The main imports from Russia were fertilizer
(which accounted for the large increase in 2008),machines,
metals, and plastics.


B. (U) WHAT MAJOR RUSSIAN COMPANIES OPERATE IN YOUR COUNTRY
AND IN WHAT BUSINESS SECTORS?

Post is unaware of any large Russian firms operating in
Madagascar.


C. (U) HOW MUCH REVENUE ARE RUSSIAN COMPANIES BRINGING IN?

Post is unaware of any Russian companies bringing in revenue
in Madagascar.


D. (U) HOW MUCH RUSSIAN INVESTMENT IS OCCURRING; IN WHAT
SECTORS; IS IT GROWING?

According to the Malagasy investment promotion agency, there
is no Russian investment.


E. (C) IS YOUR COUNTRY ACTIVELY SEEKING RUSSIAN INVESTMENT
AND/OR RUSSIAN TOURISM?

Madagascar has not targeted Russian investment, but the
current unrecognized government, which has lost the support
of traditional donors, frequently states its plans to seek
alternative sources of financing from countries like China
and Saudi Arabia, although such support has yet to
materialize. Russia has not been mentioned, but would surely
be welcomed at this point.


F. (C) ROUGHLY HOW MANY RUSSIAN CITIZENS RESIDE IN YOUR
COUNTRY?

Post does not have exact figures, but there are very few
Russians here outside of the official diplomatic community,
likely less than a few hundred. The current vice prime
minister of foreign affairs of the de facto regime, Ny
Hasina, was educated in the Soviet Union, and appears to
maintain close ties there. He was one of the primary actors
in the March 2009 coup, and likely the source of the idea to
wear orange to compare the "people's" overthrow of the former
government with the orange revolution in Ukraine, although in
fact, it was not analogous, as there was no disputed election
in this case, merely a coup.
MARQUARDT