Current economic situation of Mongolia - Brief Introduction by Fincenter, Ulaanbaatar, Mongolia.

1. BRIEF INTRODUCTION
CURRENT ECONOMIC SITUATION OF MONGOLIA
CONTENTS:
1. About Mongolia: General Information
2. Economic forecast for Mongolian market (GDP, inflation, growth of industrial
production)
3. Most potential industry sector in Mongolia
4. Industry sectors which receive the most investments in Mongolia (mining, energy,
transport, infrastructure, healthcare, communications)
5. Names some major projects and describing the items (value USD), industry sector,
project description
6. Mongolian biggest companies (sector)
***
1. ABOUT MONGOLIA: GENERAL INFORMATION
Population: 2.8 million
Area: 1,566,000 sq km (610,740 sq mi)
Land boundaries: 8,158 km, with Russia 3,485 km and with China 4,673 km
Average altitude: 1,580 m above sea-level
Terrain: Vast semi-desert and desert plains, mountains in west and
southwest, Gobi Desert in southeast
People: Khalkha Mongols (86%), Kazaks (6%), about a dozen
other Mongolian ethnic groups
Languages: Mongolian, Kazakh, Russian, Chinese. English is widely
spoken in the Ulaanbaatar.
Religions: Tibetan Buddhism, Muslim, Christian and Shamanism
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2. Literacy rate: 82.9%
Climate: Average summer temperature +20'C, average winter
temperature -26'C, average rainfall 200-220 mm.
Political system: Parliamentary republic. President elected for four years.
Present President Elbegdorj Tsahia, elected in 2009. Prime
Minister appointed by State Great Khural for four years.
Present Prime Minister Mr. Batbold. Su was appointed in
2009.
Legislature: State Great Khural (Parliament), unicameral with 76
members elected for four years. The last election was held
in 2008.
Judicial system: Mongolian judicial system consists of Constitutional Court
, Supreme Court, Aimag and capital city courts, soum and
district courts.
State structure: Mongolia is a unitary state and divided administratively
into Aimags (21) and a capital city; Aimags are subdivided
into soums; soums into bags; and a capital city into
districts; districts into khoroos.
National currency: Tugrik (MNT), about MNT 1320 = USD 1 in Sep 2010
Fiscal year: January 1 - December 31
Main entry points: Chinggis Khaan (airport in Ulaanbaatar ), Sukhbaatar
(railway station on Mongolian-Russian border) and Zamyn
Uud (railway station on Mongolian-Chinese border)
Sea access: Tianjin/China (1,344 km) and Nakhodka/Russia (4,037
km)
Normal working hours: 09.00-13.00 and 14.00-18.00
Electric current: 220 volts/50 HZ
Weight and measures: Metric System
Visa arrangements: Visa shall be issued by Mongolia Embassies and
Diplomatic Missions as well as Honorary consuls of
Mongolia , or can be obtained at the airport at a cost of
US$53 but must be accompanied by an invitation.
Year of establishment July 15, 1963
of diplomatic relation
Mongolia-Republic of Finland
General Honorary consul of Mr.Henrik Jankes (since 2000)
Mongolia in Finland
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3. 2. MONGOLIAN ECONOMIC FORECAST
(GDP, INFLATION, GROWTH OF INDUSTRIAL PRODUCTION )
There is enormous potential of the Mongolian economy in many aspects. Exploitation of the
gigantic wealth in Mongolia’s soil will certainly bring a lot of investment and a lot of
revenues to Mongolia.
GDP is to grow at least five times when just the current projects with OT (Ouy Tolgoi-
mining) as the main project, start to generate revenue. Another benefit estimate is for GDP to
double every two years for the next 10 years. Within a decade Mongolia's average income
could triple to US$10,000 a year.
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4. Currently, GDP per capital has reached approximately USD 3000. If the economy remains
stable, there will be a possibility to reach USD 5000 by 2012.
In the first half 2011, GDP increased by 29.1% or 1073.5 bln.tugrug to 4762.5 bln.tugrug
at current prices, compare to the previous year.
• Transportation and construction sectors grew at 39.9% and 38.4%, respectively, while retail
and wholesale trade grew at 24.7%, with Mongolians spending more on consumption as a
result of higher incomes.
• The mining and manufacturing sectors recorded respectable growth rates of 8.3 and 12.9%
year-on-year (yoy) in the second quarter, respectively.
One of the major dangers of a fast growing economy of Mongolia is overheating and high
levels of inflation.
Current inflation is 9.6%. Core inflation, excluding volatile energy and food prices, increased
even faster, by 13.7% yoy.
The World Bank is warning that Mongolia’s reliance on trade with China, coupled with high
rates of inflation, could overheat the economy. The World Bank says inflation could reach 20
percent by the end of the year.
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5. 3. MOST POTENTIAL INDUSTRY SECTOR IN MONGOLIA
The Government declared 2002 to be the year of "Domestic Industry Promotion". Mining,
wool, cashmere, skins, hides, meat processing, crops and tourism industries have been
determined as priority sectors.
In the first 7 months of 2011, the total industrial output increased by 69.3 bln.tog or 6.8
percent compared to the same period of the previous year. The increase in the industrial
output was mainly due to 0.1-78.2 percent increases in mining and quarrying products
such as copper with concentrate, crude oil, coal and iron ore; and 0.3 percent to 8.6 times
increases in industrial main products of manufacturing sector such as bread, steel
casting, combed down, milk, sausages, juice, decoration and medal, knitted goods,
alcohol, soft drinks, sawn wood, cement, carpet, beer, cigarettes, concrete mortar, and
electrical wire.
MINING SECTOR:
• A booming mining industry, especially the Oyu Tolgoi copper mine, spurred these imports,
especially of transport equipment and machinery. This pushed Mongolia’s trade deficit to
US$ 1349 million in July 2011.
Oyu Tolgoi Investment Agreement which was established and the projects have been
launched. Currently, the process of construction work of the project runs at 50 percent. In the
construction work of the Oyu Tolgoi Project, a total of over 11,000 Mongolians are
participating by direct and contract form. By the end of this year, about 600 people will have
jobs at the open pit. When basic production starts to implement the project successfully, over
90 percent of the total workers, or more than 3500 Mongolians, will be provided with jobs.
Mongolia will earn a total profit of USD29.1 billion from the Oyu Tolgoi Project, of which
USD19.2 billion will come from taxes. Mongolia will get 59 percent of the total profit of the
Oyu Tolgoi project in the form of taxes, fees, royalties and dividends.
• On the export side, coal has surpassed copper as the largest export, comprising 38% of all
exports, having grown 129% yoy in July.
• China is the sole destination for Mongolia’s coal exports and it is the largest thermal coal
consumer in the world. Mongolia’s exports of coal are expected to grow with new coal mines
coming on board.
TRADITIONAL ECONOMIC SECTOR:
The diversity of Mongolia’s economic sectors is constrained by its climate, geography,
territorial size, geopolitical location, natural resources, cultural heritage and limited market
size.
Agriculture
Agricultural production currently comprises of 31 percent wheat and wheat products, 30
percent meat products, 27 percent dairy products, 2 percent skins and hides, 2 percent fruit
and vegetables, 2 percent livestock feed and 1 percent animal and plant oils.
There is great potential for exports of high value-added industrial products based on red
meat, cashmere, yak hair, sheep’s wool, and camel hair .
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6. The Red Meat Processing Industry:
Some 40 percent of the Mongolian labor force continues to be involved in mostly nomadic
livestock herding.
The Mongolian constitution states that the land belongs to the State, so the herders cannot
own, or lease, the land on which they graze their animals. Herders increase their livestock (43
mln. head of livestock) numbers in order to survive economically. This has led to 71 per cent
of the land being subject to some form of degradation and desertification and a lack of meat
producing ability in Mongolian animals:
Of the 43.3 million head of livestock in Mongolia, 46.1 percent were goats, 42.4 percent
sheep, 5.8 percent cattle, 5.1 percent horse, 0.6 percent camel.
Mongolia currently faces a problem of overproduction of meat due to an increase in the
domestic animal population. The Mongolian Meat Association estimates that the maximum
amount of meat Mongolia may have to export in 2010 is 111,400 tons. The price for exported
Mongolian meat is about US$1.00/kg, which is three to four times lower than the price
received by Australian meat exporters, depending on the type of meat (e.g. goat, beef, mutton,
etc.).
According to world meat trading estimates by the FAO this amount of meat should easily be
absorbed into the world trading system. However, there are production difficulties and food
safety issues to be resolved before export of meat can be successfully engaged in.
According to the latest available estimates for 2010 by the Food and Agricultural
Organization (FAO), world production of meat will be approximately 283 million tons.
Mongolia’s contribution to world meat exports is very small (0.5 per cent).
Actual meat exports during the last six years averaged around 7.8-13.1 thousand tons and
apparently reached 18,000 tons in 2010. Major export markets include Russia, Japan, Korea,
and China. There are 28 meat processing plants and over 70 meat workshops in the country
with capacity for 85 thousand tons per annum. Yet processed meat is as low as 7.8 thousand
tons. Potential is said to exist for heat processed and frozen cut exports.
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7. Dairy production:
Dairy production increased by 24 percent since 2000, but current demand cannot meet
supply. There are 90 dairy processing facilities operating throughout the country with the
capacity of 70 tons per day (30 million liters per year.) However, only 20 SME processing
facilities operate throughout the year to provide milk and yogurt.
The dairy supply chain and distribution are critical issues to overcome in order to serve the
domestic market. Dairy companies are apparently able to benefit from tax-free imports
on equipment, VAT exemption, interest-free loans, and subsidies for production.
Cashmere:
After China, Mongolia is the world.s second largest raw cashmere producer, preparing around
1,153 tons of cashmere each year. The sector produces 5.3 percent of the country.s GDP.
There are currently annual reserves of some 6,600 tons of cashmere.
In 2009, Mongolia had almost 42 million head of livestock, of which goats accounted for 46
per cent. Related to the increasing number of goats, Mongolia produced 6,700 tons of raw
cashmere, accounting for about 28 per cent of the total world supply. The number of cashmere
goats increased almost 300 per cent between 1990 and 2009.
Mongolia currently only uses 15-20 percent of its domestic raw cashmere supply. The
remaining quantity is exported to China. Traders buying for the Chinese market offered
higher prices than domestic processors. The problem is to offer herders an adequate price to
continue to supply high-quality cashmere while at the same time ensuring sufficient supplies
reach domestic processors to allow the expansion of the high-quality end of the market.
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8. Compared to Chinese cashmere, Mongolian cashmere is considered to better because of its
length (micron of 16.5 and 35-37 mm in length) but not as fine. The quality of scoured
cashmere and woven cashmere products meet international standards and many locally made
products have international quality certificates.
There are 82 enterprises with local or foreign investment operating in the sector; 60 percent
engaged in scouring and washing, while the remainder processes woven garments, blankets,
and other types of finished cashmere products.
Of 54 cashmere processing facilities operating in the country, 48 are joint investments with
foreign countries.(26 with China, others with USA, Japan, Italy, the UK and
Switherland)
Cashmere sector seeks the opportunity for receiving technical support in the areas of
production, sales, sales representation, management, branding, market research, and
financing.
Wool Processing:
Mongolia has about 15 million sheep.
The wool processing industry processes more than 20 thousand tons of wool (sheep, camel,
goat, yak, camel, etc.). 70% of the wool originates from sheep. Because Mongolian sheep
wool is coarse and abundant, it is used for manufacturing felt carpets and rugs. More than
716,000 square meters of pure woolen carpets are produced, 20% of which are exported to
foreign markets. Sheep wool is also used for felt and boot production. In recent years, the
production of wadding items for blankets, mattresses, and mats has rapidly developed.
There are 45 factories with domestic and foreign investment operating in the wool processing
industry. Of these, 40 percent engage in early-stage processing and 60 percent in the
production of final products.
Camel wool:
The number of camels in Mongolia has declined dramatically in the past decades. In 2010
there were about 255,000 camels, which produce an estimated 700 tons of “female” wool a
year.
The quality of wool is determined by the age and sex of the camel. Mongolian herders
distinguish “male” and “female” wool. Most is used to make ropes and animal halters, bags
and as insulation in traditional quilted jackets.
The three biggest companies in Ulaanbaatar together process less than half of Mongolia’s
camel wool– about 310 tons a year.
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9. With assistance from the European Union, the Mongolian government has established “Gobi
desert camel wool” as a “geographical indication” – a kind of trademark that guarantees the
origin of the wool (UNDP, 2008). This certification requires that all processing steps are
done in Mongolia. Registered producers can use the geographical indication logo as well as
their own trademarks.
Yak wool:
Yaks are an indispensable part of animal husbandry in the high mountain regions where they
are used both for transport and for their productive capabilities. In recent years, the textile
industry has greatly increased its demand for yak fibre. The yak has a high degree of
adaptation to the ecosystem. No other domestic animal can feed on the vegetation growing at
2,000-4,000 metres, in territory marked by steep, treacherous slopes, moorland, bogs and
lakes. The morphological and physiological characteristics of the yak endow it with an ability
to resist cold, to scrape through snow for fodder and to graze very short grass.
Domestic processing factories have started producing high-quality products for both domestic
and foreign markets. This has raised the demand for yak wool, but the supply has been
relatively low. The international yak market is expected to have a bright future, because the
wool is seen as an exotic fibre and fits into the recent revival of natural fibres. The fashion
industry is looking for new and innovative fibres, with the potential for higher margins. The
best example of this kind of development is vicuna fibre, sourced mainly in Peru. The demand
for other exotic fibres, such as mohair and alpaca, is also increasing. Yak wool, which is
warmer than sheep wool, might be the next natural fibre to be taken up by fashion designers.
Textile:
The textile industry accounts for 23% of Mongolia’s manufacturing sector.
There are two major carpet producers (one in Ulaanbaatar and one in Erdenet) and several
blanket producers. Their production capacity for scouring, spinning, knitting, weaving and felt
making is far in excess of current production.
Leather:
Mongolia currently produces 9.8 million raw skins and hides, of which 43.8 percent (4.3
million) are sheepskin, 38.7 percent (3.8 million) goatskin and 5 percent (0.5 million)
cowhide. Products valued at US $41 million were exported. This represents 1.3 percent of
GDP and 8.6 percent of total exports. Most exports are semi-processed.
More than 58 companies are engaged in the leather processing industry; however, operating
capacity is only between 10 and 40 percent of total capacity.
TOURISM:
The Mongolian government has put forward objectives to develop tourism, as a one of
priority sectors of the Mongolian economy: the income of the tourism sector reached 210
million USD, forming 10 per cent of the Gross Domestic Production.
The tourism sector, perhaps given its cross-cutting nature across many other sectors, the egos
in play, personal agendas, and the political appointment of mid-level government officials,
has not been an easy one for any donor to work in. There have been numerous changes in the
past 10 years to the structure of public sector institutions and significant growth in the number
of associations and NGOs working in tourism.
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10. Today, there are over 600 tour operators, 320 hotels, 200 tourist camps, and 182 guides,
who have been certified. Over 40 state and private universities prepare specialists for tourism
mainly in managerial level.
4. WHICH INDUSTRY SECTORS RECEIVE THE MOST INVESTMENTS IN
MONGOLIA (MINING, ENERGY, TRANSPORT, INFRASTRUCTURE,
HEALTHCARE, COMMUNICATIONS)?
Over ten thousand foreign companies (including the oil sector) have been registered from 104
countries with the total direct investment of 4.8 bln USD by the end of 2010. 76.8 % of the
total investment made during 2005-2010 period. FDI, in 2010, has reached 1,025 mln USD of
769 companies.
Rio and Ivonhoe are investing $2.5 billion in Oyu Tolgoi (OT) in 2011 on top of about $1
billion to date with expected total investment of $5 billion and production in 2013. (Note:
Mongolia’s GDP is approximately $5-6 billion)
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11. FDI INFLOWS IN MONGOLIA
1,200.00
1,026.00
1,000.00 801.00
708.00
800.00
US$mil
499.00
600.00
366.00
316.00
400.00 FDI
237.07
205.37
172.51
126.00
90.60
200.00 54.0040.0044.0084.00
11.0037.00
-
1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Year
Source: FIFTA /Foreign Investment and Foreign Trade Agency of Mongolia/
In terms of sectors, mining and geological prospecting took almost the half of the total
investment and counts 65.3 %, trade and catering service -18.9%, banking and finance -2.7 %,
light industry -2.2 %, construction and production of construction materials-1.5 %, processing
of animal originated materials-1.1%.
FDI by sectors in US$ mil (1990-2010.12.31)
Productio… 21,984.49
Transport… 28,039.30
Informati…36,108.56
Processin… 55,411.01
Engineeri… 74,317.26
Light… 107,908.16
Bank and… 131,390.33
Others 231,785.68
Trade and… 913,702.04
3,158,716.42
Geologic…
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12. 5. NAMES SOME MAJOR PROJECTS AND DESCRIBING THE ITEMS
(VALUE USD), INDUSTRY SECTOR, PROJECT DESCRIPTION?
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13. Page 13

14. Page 14

15. Page 15

16. Page 16

17. Page 17

18. Page 18

19. Project 1
Project 2
Project 3
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20. Project 4
Project 5
Project 6
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21. Project 7
Project 8
Project 9
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22. Project 10
Project 11
Project 12
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23. Project 13
Project 14
Project 15
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24. 6. MONGOLIAN BIGGEST COMPANIES (TOP 20)
# 2010 Web link Main sector
Erdenet www.erdenetmc.mn Mining
1 MiningCorporation
МCS Group www.mcs.mn Electronics, Real estate,
Food,
Telecommunication,
2 Energy, Construction
Mongoliin Alt www.mak.mn Mining - Gold
Corporation
Energy Resource www.energyresources.mn Energy plant, mining
4 LLC coal
5 APU Sh.CO. www.apu.mn Beverage
6 NIK LLC www.petrovis.mn Fuel trading
7 Mîbicom Group www,mobicom.mn Telecommunication
8 Boroo Gold Co.,Ltd www.centerragold.mn Mining
Tavan Tolgoi www.tavantolgoi.mn
9 Group Minig
Just Group www.justgroup.mn Fuel trading, meat
10 processing, mining
11 Petrovis www.petrovis.mn Fuel trading
12 Magnai trade www.magnaitrade.mn Fuel trading
13 Sod Mongol Group www.smgroup.mn Fuel trading
Monnis www.monnis.com
14 International Trade
Nomin Holdings www.nomin.mn Retail store chain,
construction, cashmere,
15 carpet
16 Wagner Asia www.wagnerasia.com Equipment distribution
17 Shunhlai Group www.shunhlai.mn Fuel trading
18 Tsairt Mineral www.tsairt.mn Mining
Tavan Bogd Group www.tavanbogd.com Trade, flour mill,
19 banking, tourism
4th Thermal power www.energy.mn
20 station Power Energy
Source: MNCCI
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25. MONGOLIAN TOP 20
COMPANIES /with
branch companies/
Established
No. TOP20 Branch companies Main operation
Year
1 Erdenet Mining 1978 Mining
Computer tenchnology,
electric,
MCA Group 1993
telecommunication,
mining
internet, trade of
computer and
MCS Electronics 1999
equipment and
software
mobile
telecommunication,
fixed phone, satellite
Unitel Group 2011
communication, IPTV,
broadband and fiber
optic network.
Spirt Bal Buram Beverage
MSC Coca Cola 2001 Beverage
MCS Asia Pacific Beer(sengur, jalam har,
2 MCS Group Bevery tiger…)
IPTV, INTERNET and
Univision 2011
FIXED-LINE PHONE
Internet Service
MCSCOM LLC
Provider
Satellite Internet and
ORBITNET LLC Data Communication
Service provider
Skynet COM 2007 fixed-line phone sector
“Iridium, Bgan, Isat,
Monsat 2003 Globalstar” system
services
Fiber Optic Broadband
Skynetworks LLC 2004
networking company
Wimax based Wireless
Telemax LLC Broadband Internet
Service provider
3 Energy Recourse 2005 Mining
4 Mongolian Alt Corporation 1993 Gold mining
APU Co.,LTD 1924 Beverages
5 APU-JSC
Apu Trading 2003 Trading
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26. importation,
distribution, and
6 NIC Co., ltd 1982 marketing of gasoline,
diesel, aviation fuels,
gas oil and lubricants
mobile communication
services, internet
Mobicom Co.,LTD 1996 services, and satellite
communication
Mobicom services.
7
Group network service
Newtel Company 2000
provider
Mongol Content LLC 2005 digital content business
Ulusnet LLC 2005 Internet servicing
8 Boroo Gold Co.,Ltd 2004 Gold mining
9 Tavan Tolgoi Group 1966 Coal mining
oil product import and
distribution industry,
Just Group 1999
construction and
international trading
Just Oil Ltd Oil products trading
10 JUST Group
Olon Ovoot Gold LLC 2009 Gold mining
Savings Bank 1940 Banking service
Erd Tana LLC 2006 Constraction
Makh Market LLC Meat processing
Petrovis Co.,LTd 1997 Petrolium
Crude petrolium and
Petro Matad LLC
natural gas industry
11 Petrovis LLC
Unigas LLC 2004 servicing gas coal
Primedaatgal LLC 2004 Insurance
Gei Gei Pi LLC 2007 Restaurant
import of crude
Magnai trade Group 1994 petrolium and natural
gas
importing and
MT Petroleum LLC distributing petroleum
products
importing and
Magnai MT Oil LLC 1999 distributing lubricating
12
trade Group oil
MT Drilling LLC 2005 geosynoptics drill hole
fast food and mini
MT Market LLC 2007
market
servicing and delivery
MT Auto LLC 2003
fuel
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27. MT Security LLC 2006 security servicing
manufucturing and
MT Deko LLC 2001 trading apartment
furniture
ARB Mongolia LLC 2006 importing spare parts
mobile communication
services, internet
G Mobile LLC 2006 services, and satellite
communication
services.
importing and trading
13 Sod Mongol Group 1999 of fuel, intertainment
and tour
car servicing,
Monnis International
1998 equipment of mining
Co,LTd
and trading
Monnis Mining LLC Mining
Monnis Properties LLC 2006 Constraction
importing car and
Monnis Motors LLC 1998
Monnis spare parts
14 International Monnis Com LLC 2008 computer trading
Co., Ltd Monnis Insurance LLC 2010 insurance servicing
Aero Mongolia LLC 2001 air transport
execute project,
researching wind and
Energy Concern LLC 1974
solar energy and giving
advice
MSPL LLC 2010 Logistic
trading, manufacturing,
Nomin Co.,Ltd 1992 servicing and financial
sectors
Nomin Electronics LLC 1992 trading
Nomin Foods LLC 1997 supermarketing
Nomin Fasion LLC 2003 fashion
trading home
Nomin Home Style LLC 2004
furnishings
Nomin importing construction
15 Nomin Standart LC 2002
Group materials
Nomin Motors LLC spare parts servicing
personal care and
Nomin Cosmetics LLC 2009
cosmetic products
Storage services,
Railroad services,
Ulaanbaatar Impex
1993 Custom controlled yard
LLC
, Customs protected
storage service Cooling
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28. storage service
Erdenet Carpet LLC 1981 Carpet
Ulaabaatar Carpet LLC 1961 carpet
Nomin Insurance LLC insurance servicing
Nomin Union LLC 2000 credit and saving union
antique ware sales,
auction sales, escrow
account service,
Nomin Realter LLC commercial
advertisement, legal
consulting, insurance
and financial consulting
16 Wagner Asia TT 1994 importing spare parts
17 Shunhlai Group 1993 importing
18 Tsairt Mineral LLC 1998 Mining(zinc core)
trade, service,
manufacturing,
TAVAN BOGD 1995 tourism, hospitality,
banking and real estate
sectors
Import and Distribution
Tavan Bogd Trade Co.,
2002 , investment, real state
Ltd
development
selling of FinePix brand
digital photo camera
from “Fujifilm” and
Tavan Bogd Co .,Ltd 1995 XEROX is printing and
copying for office
documents and Double
A paper
Tavan bogd Tavan Bogd Cosmetic, houshold
19 1998
Group International trading
Tavan Bogd Cosmetics importer of Household
1998
Co .,Ltd and Beauty Products
Car sales, car sevices,
Tavan Bogd Motors
2004 spare parts sales, tyre
Co., Ltd
sales
official distributor of
ZAMine Services LLC 2010 Hitachi Construction
Machinery
Ulaanbaatar Flour Co.,
2002 wheat flour supplier
Ltd
All types of school
Ulaanbaatar Printing notebooks, printing,
1997
Co ., Ltd design and layout
prepration shop
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29. servicing
Juulchin Tourist
1954 tourism
Corporation
Air link Mongolia sales of air ticket and
20
Co.,Ltd tourism
lender of office spaces,
Mongol Mashine
2001 warehouses, a garage
Consertium Co., Ltd
and a production plant
Ulemj Ih Co., Ltd supermarketing
20 4th Thermal Power Station power station
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30. FINNISH COMPANIES WHICH EXPORT TO MONGOLIA
In 2010, the trade turnover reached US$13mln., showing an increase by 3.5 times
from the year 2009.
- Import from Finland costing US$ 10.6 mln.
- Export to Finland costing US$ 2.7 mln.
Import goods from Finland: mostly machines and techniques for factories and mining
and paper/products.
Export to Finland: ready-made clothes, shoes, wool and cashmere products.
Finnish Companies in Mongolia:
“Outukumpu” company has supplied a copper-melting technology to Mongolia.
“Sandvik” Sweden-Finland joint company of mining equipment has opened its
representative in Mongolia.
“Kristec” company exports paper/paper products to Mongolia. /since 1998/
“Tikkurila” company has its official distributor in Mongolia. /since 2008/
“Honka” company also has its distributor. /started 2007/
------------------------------------------------------
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31. EXPORT PROMOTION ORGANIZATIONS IN MONGOLIA:
SWEDEN – through their Embassy in China
AUSTRIA – through their Embassy in China
NORWAY, DENMARK, SWITZERLAND, BELGIUM, HOLLAND – No
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32. Annex:
“Doing business index”
World Bank Managing Director Dr. Juan Jose Daboub: “In doing business, Mongolia does okay. I
understand that Mongolia aims at becoming a top-10 destination for doing business in Asia in 2012. That is
welcomed”
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33. THANK YOU FOR YOUR
ATTENTION
FINCENTER,
ULAANBAATAR,
MONGOLIA
Nov 2011
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