KAZAKHSTAN: LIFE IN A SMALL MINING TOWN

UNCLAS SECTION 01 OF 04 ASTANA 000588

SENSITIVE
SIPDIS

STATE FOR SCA/CEN, EUR/RUS, EAP/CM

E.O. 12958: N/A
TAGS: PGOV PHUM ECON EMIN SENV SOCI CH RS KZ
SUBJECT: KAZAKHSTAN: LIFE IN A SMALL MINING TOWN


1. (U) Sensitive but unclassified. Not for public Internet.


2. (SBU) SUMMARY: PolOff visited Ridder, a mining town in East
Kazakhstan oblast March 8-12, and had an opportunity to observe the
local socio-economic environment. Close to the Russian and Chinese
borders, Ridder seems almost like a living relic of the Soviet
Union. There has been little change to the town's infrastructure
since Kazakhstan became independent. No new buildings have been
built in Ridder, the same mines continue to fuel the city's economy
and pollute the environment, and Russian remains the dominant
language. The most significant changes since Kazakhstan's
independence have been the installation of ethnic Kazakhs in
positions of power throughout the city, and the introduction of the
market economy, which has led to significant growth in trade with
China. Partially as a result in the influx of cheap Chinese goods,
Ridder's cost of living is half of that in Astana or Almaty,
although low wages outside of mining and high unemployment pose
serious economic challenges. Residents told PolOff that the global
economic crisis is hitting the city hard. Ridder's inhabitants said
they are eager to learn English and interact with foreigners, and
many reported that they travel frequently to Russia and China.
Overall, most residents of Ridder seem attached to their small
border town, but many of PolOff's interlocutors expressed concern
about the pollution from mining and metallurgy, on which their city
depends. END SUMMARY.

RIDDER: STILL A SOVIET-STYLE CITY


3. (SBU) Ridder is a mining town with a population of 60,000,
located in northeastern Kazakhstan near the border with Russia and
China. Emphasizing its roots as a Russian and later a Soviet
pioneer settlement, many residents still prefer to call the town by
its former name, Leninogorsk. In many ways, Ridder seems frozen in
time. Mostly Soviet-made "Lada" cars ply streets named after Soviet
World War II heroes and giants of Russian literature. Mines and
factories belch out smoke. In the center of the city, housing
consists mainly of concrete Soviet apartment blocks. In stark
contrast to Astana or Almaty, PolOff did not observe any new
construction. Most locals still call Ridder's main thoroughfare,
Independence Street, by its former name -- Lenin Street.
Surrounding Lenin Street is a large, central town-square, with a
monument to the many citizens of Ridder who gave their lives during
the Great Patriotic War on one side. On the other side is the the
Palace of Culture, which, based on old photos in the Ridder City
Museum, also appears to have remained unchanged from the Soviet
period.

ETHNIC RUSSIANS MAKE UP MOST OF POPULATION...


4. (SBU) The dominant language of conversation in Ridder is Russian
-- a reflection of the fact that the overwhelming majority of the
population is ethnic Russian. Even store signs, advertisements, and
billboards in Kazakh were few compared to what's seen in other parts
of Kazakhstan.


5. (SBU) Many interlocutors told PolOff anecdotes emphasizing their
close ties to Russia. One Russian woman told PolOff that although
she had grown up in East Kazakhstan oblast, and had been to Russia
only once to visit a sister who had resettled there, she planned to
retire to Russia. "There is too much of a focus on Kazakh ethnicity
in Kazakhstan now," she said. A Tatar family told PolOff, "we
understand Kazakh, but we don't really like listening to, or
speaking, it. We consider ourselves to be ethnic Russian Tatars."
Moreover, since there are no universities in Ridder, PolOff's
interlocutors said most of Ridder's young people choose to attend
university in the Russian cities of Novosibirsk and Tomsk. While
there is a Russian Orthodox Church in Ridder, PolOff did not see a
single mosque there.

...BUT KAZAKHS DOMINATE THE OFFICIAL STRUCTURES


6. (SBU) Another EmbOff also traveled to Ridder in March, and spent
many hours observing local court proceedings. The vast majority of
officials in positions of power in the law enforcement and judicial

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system in Ridder whom EmbOff encountered were ethnic Kazakh -- which
stands in stark contrast to the actual demographics of Ridder.
Inside the courthouse, the ethnic Kazakh police officers, judges,
and clerks addressed each other solely in the Kazakh language, even
when an ethnic Russian was participating in the conversation.
During the many hours spent in the courthouse, EmbOff did not
observe a single ethnic Russian police officer.

POLLUTION -- A SERIOUS PROBLEM


7. (SBU) Despite its small population, the city occupies an entire
valley, stretching 20 by 27 kilometers. Local buses require 30 to
40 minutes to travel from one end of the city to the other. The
geographical center of Ridder is an electrical station on top of a
hill, adjacent to which Communist Youth League volunteers built a
park during Soviet times. On one side of the hill is a smaller and
wealthier residential community, and on the other side lies the bulk
of the city, including several mines, Soviet-era apartment
buildings, and the town's commercial center. A local pensioner
strolling in the park told PolOff that all the land from Ridder to
Ust-Kamenogorsk (i.e., the capital of East Kazakhstan oblast) has
been badly polluted by mining and metallurgy. Pointing in the
opposite direction, towards the newer residential community nestled
in the foothills of the Altai mountains, he said, "The water is
better up there, but look at how the trees have been clear-cut."
Turning toward the site of another mine, the pensioner said,
"They're mining gold and other minerals there. There are gold and
minerals under this very mountain, but at least for now we still
have this park." PolOff personally observed that the forest on the
hill is not very healthy. Without the biodiversity provided by
leaving some older trees and ground cover, the many thin trees have
grown too close together.

PILLARS OF THE ECONOMY: MINING, TRADE WITH CHINA


8. (SBU) Local interlocutors told PolOff that mines generate almost
all of the city's income, and miners make approximately $670 per
month. In contrast, in service jobs outside of the mines, it is
difficult to earn even $200. Although the facilities of one of
Ridder's largest mines looked old, it had a full parking lot, even
containing a few Japanese-manufactured SUVs in addition to the
Ladas.


9. (SBU) Trade with China is another pillar of the local economy.
Out of twelve spontaneous encounters with local citizens, four men
were engaged in trade with China, one young couple worked for the
army, while others worked at the local nature preserve, the city
court, and a store, and as an engineer and a nurse. One woman was
unemployed, and one man was a pensioner. Of the four men trading
with China, each had their own niche business. One man ran his own
small electronics shop in a local mall filled with individual shops.
His wares ranged from hearing aids and telephones to computer
parts. A second ran a local hotel and the attached Chinese
restaurant. His friend was also involved in trade with China, as
was a talkative man that PolOff met in a barbershop, although PolOff
never found out exactly what they sold. All PolOff's interlocutors
doing business with China said that their sales volumes had recently
dropped by at least 50 percent since people are cutting back on
non-essential spending in the wake of the global economic crisis.
Of the four traders, two appeared to be ethnic Russian, and two
ethnic Kazakh. The restaurant owner, who employed a non-Russian
speaking Han Chinese chef, told PolOff that while local ethnic
Kazakh and Uyghur traders sometimes participate in trade, Han
Chinese play the key role in cross-border commerce.

EVERYTHING IS CHEAPER IN RIDDER ...


10. (SBU) In keeping with Ridder's low average income and proximity
to cheap goods from China, prices for a meal in a restaurant or a
haircut were at least 50 percent lower than in Astana. Moreover,
most residents told PolOff they buy inexpensive local produce, such
as fresh fish, milk, and pickled cucumbers, sold on the streets
every morning by elderly ladies supplementing their pensions. In
both of Ridder's main markets, local residents were also selling

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cheap Chinese clothing and shoes, including one middle-aged woman
selling shirts, displayed on a clothesline strung between two trees,
for only two dollars each.

... BUT A BARBERSHOP CHAT REVEALS PROBLEMS


11. (SBU) PolOff encountered a talkative and outspoken interlocutor
in a local barbershop. An ethnic Kazakh gentleman in his late
fifties asked numerous questions about the financial crisis
including, "Why did the crisis start?," "How long does America
intend to allow its financial problems to affect the rest of the
world?," and "How will America resolve the crisis?" Drawing a
middle-aged female customer into the conversation, PolOff's
interlocutor complained about Ridder's poor economy and how many
people were out of work. The elderly gentleman, who said he was
employed buying and selling various goods from China, blamed the
financial crisis on Kazakhstan's leadership, saying "Our economists
in the capital in Astana, what were they thinking when they made
their budgets? They expected to get $90 per barrel of oil, but we
can only get $45 now. And we can't even complain. If I say
anything, I'll get hauled off by the police. Everything here is
'without limits.' This morning, I was a little bit drunk, and the
police called me over to check my documents, and they took
everything I had as a bribe."


12. (SBU) The man recollected that during the Soviet era, he had
listened to American rock music, hoping for the freedom it
represented. "We were deceived, though," he complained. "We
thought that when the Soviet Union fell, we would have democracy --
but now, you see what we have? It's not democracy, but it's not
stable either. The old days of having nothing to buy are gone, but
so are our jobs. We have everything we could want to buy now, but
there is not enough work, and everything costs a lot of money."

POSITIVE ASPECTS OF SMALL TOWN LIFE...


13. (SBU) Many of Ridder's young people told PolOff that despite
the bad economy, they wouldn't want to leave, since the area has
mountains ideal for enjoying year-round outdoor activities. PolOff
observed that stores were filled with sporting gear and young people
were indulging in all sorts of winter sports. Interlocutors also
told PolOff that boxing matches pack in large crowds, while on a
Sunday evening, a local hotel's billiards parlor was filled with
loud music and patrons partying into the early morning hours.
Despite our observations of possible ethnic divisions, particularly
in the local administration, Ridder still appears to be a harmonious
and low-crime environment, especially in comparison with large
cities like Almaty and Astana. Children were playing unattended,
residents were strolling the streets at all hours of the day and
night, and PolOff personally observed two young ethnic Kazakh youths
helping an old ethnic Russian woman across the main street.


14. (SBU) For those interested in English, PolOff's interlocutors
praised the role of the Peace Corps in providing Ridder's youth with
opportunities to develop their English. PolOff observed that
residents gathered every Sunday in the local library to practice
English with all the foreigners in town. PolOff also met with three
families who had hosted Peace Corps volunteers, all of whom said
that the Peace Corps Program is critical to helping the people of
Ridder. One local resident, who sold fish out of a container truck
in the local market, reminisced at length about her close personal
relationship with the young woman who had lived with her family.
She said that it was because of this experience that her son, who is
studying English and Chinese in Ust-Kamenogorsk, already speaks
excellent English, and had even interpreted for an ambassador
visiting the region.

... BUT MANY DOWNSIDES TOO


15. (SBU) Despite palpable pride in their community, PolOff's
various interlocutors also voiced concerns about the economy,
pollution, and social problems in Ridder. Serious mining accidents
reportedly occur almost every month. Residents told PolOff they are
very concerned about pollution associated with the mining and

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metallurgical industries. They also told PolOff that there are many
"sudden deaths" of young male residents in their twenties and
thirties, which may be related to cases of alcohol-poisoning,
although local residents attributed the deaths to heart-disease and
cancer (sic). Perhaps exacerbated by economic hard times,
alcoholism appears to be a major problem in Ridder, which is also
the case elsewhere in the former Soviet Union. EmbOff observed
several instances of daytime public drunkenness in Ridder, mostly
before noon.


16. (SBU) COMMENT: The opportunities and challenges of life in
small towns like Ridder speak volumes about how Kazakhstan and its
citizens are struggling to expand its economy, protect its
environment, deal with changes in ethnic relations, and balance the
influence of its powerful neighbors, especially China and Russia.
The global economic crisis appears to be negatively affecting even
people living in relatively isolated towns such as Ridder. Many
residents share the Russian view that the crisis is of American
origin, and look to the United States to end it. These sentiments,
however, do not appear to have translated into any evident
bitterness against the United States. For residents of Ridder,
especially for its ethnic Russians, relations with Russia remain
close. The local populace also appears to have grudging respect and
cautious optimism about relations with China. END COMMENT.

HOAGLAND