Agriculture in Mongolia. Oil industry of Mongolia
Agriculture and animal husbandry have historically been considered the basis. The lands of this state, located in the southeastern part of Asia, are rich in vast deposits of natural resources. The Mongols mine copper, coal, tin and gold. The mining industry in Mongolia accounts for a significant state-economic sector, but the extraction of raw materials is not the only industry in which the population of the country is involved.
History of the economy
The history of industry in Mongolia dates back to 1924 - the year of the proclamation of the Mongolian People's Republic. Before this period, there was no industry, no such thing as a working class. All that the population was engaged in was the processing of livestock products, including the dressing of leather, sheepskins, felt rolling, blacksmithing and carpentry. Such types of production had handicraft features and were aimed at serving the on-farm needs of the local population. Manual production was represented by enterprises for the primary processing of wool and leather, carpentry, locksmith, blacksmith and other workshops.
The only industry in Mongolia at that time was the coal mines in the Nalaykha tract. In some regions of the country, foreigners were illegally engaged in the extraction of gold and precious metals.
In the first half of the last century, the Asian state was completely dependent on the import of manufactured goods from abroad. That is why one of the primary tasks of the government of the republic was the creation of its own industrial enterprises. Two problems stood in the way of the young and economically immature state: the lack of qualified personnel and material resources. The Soviet Union provided assistance in resolving these issues.
Period of industrial development
At the first stages, the formation of the light and food industries of Mongolia began. The young republic of that time laid the foundation for the modern energy block of the economy. Back in the 1920s, the widespread construction of processing enterprises began. In 1933, brick, sawmill and mechanical factories began to work in Ulaanbaatar, the first power plant was opened.
It is rather difficult to talk briefly about the industry of Mongolia. The progressive development of the light and food sectors of the economy needed a fuel and energy industry that could meet the pace of production growth. A certain leap in development was made by the coal industry of Mongolia. Most of the coal mines in Nalaikha were expanded and mechanized, and the development of new deposits began in the Under-Khane, Yugotszyr, Sain-Shande regions. The Mongolian coal industry to a greater extent met the domestic demand for solid fuels. In particular, local coal was used at the unified power plant of Ulaanbaatar in 1939 and small power plants.
In the same period, another specialization of Mongolian industry arose - metalworking enterprises, including an iron foundry. One by one, printing and paper mills, enterprises specializing in the manufacture of building materials, gold processing, etc. were built.
Mongolia today
After the collapse of the USSR, assistance from the Soviet republics, which accounted for almost a third of external GDP, ceased to arrive, which led to a protracted decline in the Mongolian economy. Industries were in need of fundamental economic reforms.
The government of the country has adopted a new course in the development of the country, aimed at building a market economy. In the course of the reforms, a number of radical decisions were made in most areas of the national economy. The state has ceased to control the pricing process. Through the liberalization of domestic and foreign economic activity, attempts were made to rebuild the banking system, the energy sector, developed and adopted programs for the privatization of land and the implementation of measures to attract foreign investment. Mongolia to participate in international tenders.
However, the reform process was put on hold as a result of the resistance of the communist movement and the political instability that arose due to the frequent change of governments.
The peak in the economic crisis came in 1996 after a series of natural disasters and the fall in world prices for copper and cashmere. But despite this, the next 1997 was recognized as the year of the country's economic growth. In the same year, Mongolia became a full member of the WTO. And although Russia's decision to ban the export of oil and oil products in 1999 had the most adverse effect on the state of the Mongolian economy, the country continued to move forward with confident steps.
Since 1999, by decision of the WTO, this young and promising state has been annually provided with financial assistance by partner countries: China, Russia, South Korea, and Japan. And although the economic indicators and the degree of industrial development in Mongolia can hardly be called advanced, many experts consider the economy of this country to be the most progressive in the world. In their opinion, the potential of the state is huge, given the reserves of mineral raw materials, the development of which is still at an early stage.
The basis of industry: natural and labor resources
Despite the many deposits of valuable mineral raw materials, their development is not carried out to the full extent due to numerous restrictions. In Mongolia, brown coal is being mined at four deposits, and in the southern part of the country, in the region of the Taban-Tolgoi mountain range, coal deposits have been discovered. According to preliminary data, geological reserves amount to billions of tons. Small tungsten subsoils and areas rich in fluorspar are being actively developed. The discovery of copper-molybdenum ores on Mount Erdenetiin-ovoo served as the basis for the creation of a mining and processing plant, around which the industrial town of Erdenet is located.
The oil industry of Mongolia has been actively developing since the middle of the last century. One of the main enterprises in this industry is an oil refinery in Sain-Shanda, a city located near the border with China.
Massive deposits of phosphorites were discovered near Lake Khubsugul. However, today the development of the deposit was suspended, not even allowing it to develop to the full extent due to environmental hazards. It is known about the accumulation of zeolites in the bowels of the earth - Mongolia carried out the search for this material jointly with the USSR. However, today the extraction of these minerals of the aluminosilicate group, used in agriculture for biostimulation processes and adsorption, is practically not carried out due to lack of funding.
The development of any Mongolia depends on labor resources. The population as of 2018 is 3.119 million people, of which about a third are citizens of working age. Part of the population (about 40%) is employed in agriculture, in the industry of Mongolia - about 20%. The rest of the population works in the service sector, is engaged in private business and housekeeping. The unemployment rate is at 9%.
Food production
Briefly about the industry of Mongolia, which provides the needs of the population for food, we can say this: this sector of the economy accounts for about 40% of the total production. In this industry, the production of dairy and meat products is actively developing. Numerous oil refineries and separator points have been built in small settlements (aimags). It is worth noting that just a few decades ago, Mongolia could not count on the production of commercial butter. Today it is one of the major export positions.
The main ingredient for the food industry in Mongolia is milk. A dairy plant operates in Ulaanbaatar, which processes dozens of tons of milk and cream per day. All production processes at this enterprise have long been automated and mechanized. The capital dairy plant produces pasteurized dairy and sour-milk products, butter, cottage cheese, sweet glazed curds, ice cream. This enterprise is the leading food industry plant in Mongolia.
Not far from Ulaanbaatar, there is a large meat processing plant equipped with modern technology, thanks to which the plant's workshops demonstrate high production results. In the complex of the meat processing plant there are shops for the processing of meat products, departments for the production of semi-finished products, sausages, canned food. The predominant part of the goods of the meat processing industry is exported to other countries.
In addition to meat and dairy production, the food industry of Mongolia is represented by butter, confectionery, bakery, liquor, fish and other industries. A few years ago, a new direction in the food industry, flour milling, began to develop rapidly in the republic. Today, the country meets the needs of its citizens in flour at the expense of the products of national producers. In addition to the mill plant in Ulaanbaatar, which produces more than 30,000 tons of flour annually, there are a number of mechanized flour mills in aimaks.
Industrial plant in Ulaanbaatar
Among the light industry plants in Mongolia, it is necessary first of all to note the industrial plant in the capital - this is one of the largest enterprises engaged in the processing of agricultural products. The industrial complex in Ulaanbaatar was built in 1934. Subsequently, this enterprise began to be called the forge of professional industrial personnel from the times of socialism. The industrial complex consists of a complex of plants and factories equipped with modern equipment. There are wool-washing, cloth, worsted, felting, shoe, saddlery and textile workshops. The Ulaanbaatar industrial complex also includes a chevrovy, chrome, sheepskin coat, leather and other factories in its structure. The main products manufactured by the plant are:
- various woolen fabrics;
- felt;
- drape;
- cloth;
- shoes for all seasons;
- felt boots;
- camel wool blankets;
- bags;
- outerwear.
The plant's products are in demand not only within the country, they are exported to other countries. The industrial complex strives to expand the production sphere. With the development of this holding, its individual workshops have long acquired the status of independent enterprises.
Progress in heavy industries
Over the past years, the country has seen a positive trend in the development of energy, coal, oil, metalworking, mining, construction, woodworking and other production areas. Average annual growth rates exceed similar figures in other former socialist republics. Mongolia's industrial growth rate surprises many economic experts, as the country, not so long ago considered the most backward, is steadily moving closer to the level of advanced powers.
In order to develop the main sectors of the national economy, the Mongols are striving to bring industrial production to a new level, corresponding to the world average. The government of the country pays special attention to the creation and establishment of its own chemical, pharmaceutical, biological production, which plays a huge role in expanding the main sector of the economy - livestock and agriculture in Mongolia. In industry, as already noted, approximately 20% of the able-bodied population is involved, while almost 40% of the able-bodied citizens are engaged in livestock breeding, agriculture, and growing crops.
Industrialization of Mongolian cities and development of the coal industry
Briefly about the specializations and industries of Mongolia, which form the basis of the fuel and energy block of the country's economy, we can say that they are fundamental in the development of the national economy. republic occupies the main place in this segment. Today, brown and black coal is being mined in 13 large deposits in Mongolia. The most demanded product for export is coking and high-grade coal, which is mined in the Nalaykha region near Ulaanbaatar.
The coal basin of certain regions of Mongolia, in particular in the aimaks of Uverkhangay and Sukhe-Bator, the operating mines fully meet the demand for solid fuel not only in their own settlements, but also in some neighboring ones. Not so long ago, new coal mines were put into operation and old enterprises were equipped with new equipment. This step naturally led to an increase in average annual production rates by more than 10-15%.
Simultaneously with coal deposits, during the development of deposits, natural reserves of ores, asbestos, limestone and other valuable raw materials are often discovered. Today, Darkhan-Uul is considered one of the rapidly developing industrial centers. Here, within the Sharyn-Gol coal basin, an industrial and energy complex is being built, which will provide coal to all spheres of the national economy and the needs of the population. That is why the Mongols call the city of Darkhan-Uul "the flower of friendship." In the construction of this complex, the countries of the former USSR (Russia, Kazakhstan), China, Japan, Canada provide significant assistance to the republic. The main objects of the complex should be several large coal mining enterprises, a railway transport hub, a high-voltage power line and an elevator. Today, the process of the birth of another economic and cultural center of Mongolia is taking place here.
Oil production, electricity generation
As the fuel base and industrial sectors as a whole grow, the production of electric energy has to be brought to a new level. A few decades ago, electricity was not even heard in remote regions. Today, the need for electrification is explained not only by the household needs of the population, but primarily by the need for mechanization and automation of production in the country and an increase in the performance of finished products. Local power substations operate in aimag centers.
Unlike other industrial sectors, oil refining is a relatively young specialization in the industry of Mongolia. The industry is still in its infancy, but at the same time, the country produces half of the gasoline for its own needs, and imports the rest.
The only major oil refining center is located in the Eastern Gobi. Not so long ago, a young city appeared here - Dzunbayan, which also houses infrastructure and cultural and community facilities. The Eastern Gobi satisfies almost half of Mongolia's fuel needs.
Due to the expansion of the manufacturing and manufacturing industries in Mongolia, electricity costs are increasing every year, which prompts the government to consider building new thermal power plants.
Mining of mineral ores and metals
The mining industry provides Mongolia with:
- gold;
- manganese;
- tungsten;
- magnetic iron ore;
- lead ores;
- rock crystal;
- turquoise and other non-ferrous, precious metals;
- salt.
Mining and processing enterprises are being built near the places of large deposits. Mongolia exports tungsten and certain types of non-ferrous metals to other countries. Ferrous metallurgy in Mongolia is represented by a mechanical processing plant with an iron foundry in Ulaanbaatar. Agricultural equipment, hand tools, and small machinery are produced here for domestic and export sales.
Marble, limestone, asbestos, gypsum, and mineral paints are mined in the republic. The extraction of raw materials of this type allows the development of the industrial sector of building materials. Over the past few years, several dozen enterprises have been put into operation, including a house-building plant in Sukhbaatar. They are engaged in the production of lime, cement, brick, slate and other building products. Special attention deserves a large-panel housing construction plant in the capital of Mongolia, a glass plant in Nalaikha, reinforced concrete and brick factories in Ulaanbaatar. Complex mechanized technologies are used in the workshops. All enterprises are equipped with modern technology.
The production of building materials and their sale to the population at an affordable price is an important aspect for a people who in the recent past were considered nomadic. The transition of the Mongols to settled life is facilitated by the large-scale construction of comfortable houses, infrastructure facilities, and the development of a public transport network in cities and aimaks.
agricultural holding
The Ministry of Agriculture and Light Industry of Mongolia is doing everything to support the agricultural sector of the economy and create the most favorable conditions for its development. Agriculture throughout the history of the existence of this state was at the heart of its economy. In the context of the transition to a market model, the importance of the agricultural sector has not decreased. Almost half of the labor reserve of Mongolia is involved in it, although 50-60 years ago this figure reached 80%. Agriculture provides more than 40% of the total GDP. The Mongols rank third in the world in terms of livestock per capita behind Australia and New Zealand.
Almost until the middle of the last century, while industry was undergoing the process of formation and transformation into an independent sphere, the agricultural sector remained the only production sector. Back in those days, finished products were exported, which made it possible to receive almost 60% of the national income. Over time, this share has been declining and today is about 35-40%, with more than half of export products being raw materials.
The most important economic indicators in this country depend on the level and pace of agricultural development. In particular, the cost of agricultural raw materials is the main part of the cost of production of light and food industry goods. The Ministry of Agriculture of Mongolia is constantly working on creating new concepts and methods that would make it possible to minimize costs and increase the productivity of finished products.
Pasture animal husbandry is the predominant type of economic activity that the Mongols are engaged in. According to some reports, there are 12 heads of cattle per person. In some aimags, livestock is a conditional monetary unit in transactions of a material nature. Unlike animal husbandry, agriculture in modern Mongolia plays a secondary role.
Completion
The development of industry led to the formation of the working class on the model of the proletariat of the USSR. The participation of the Soviet Union played an important role in the process of training specialized workers. Some of the Mongols gained experience and knowledge by working at their enterprises under the supervision of sent Soviet masters. They were trained in special circles, technical sections, training centers. Others were educated directly in the USSR. Thus, Mongolia is an example of a nationwide desire for the economic prosperity of their country through the development of industry, the rationalization of production processes and the conservation of resources.
INFORMATION FOR TOURISTS
ECONOMY OF MONGOLIA
Mongolia is an agro-industrial country. Mongolia today trades with more than 80 countries of the world. The trade turnover is more than 2 billion US dollars. If until the 1990s 90% of Mongolian foreign trade was occupied by trade with the USSR, today more than 40% is trade with the Russian Federation and the People's Republic of China, and the rest is occupied by trade with such highly developed countries as Japan, the USA, South Korea, Switzerland.
According to the results of the III quarter of 2005, the total foreign trade turnover of Mongolia is 1.27 billion US dollars, which is 11.6% more than in the same period of 2004. Imports increased by 150.6 million US dollars.
Mongolia exports goods and raw materials to 60 countries of the world, of which 50.8% - to China, 13.8% - to Canada, 10.1% - to the USA. 45.2% of all exports are minerals and mining products, 21.5% are garments and knitwear, 25.6% are precious and semi-precious metals, 3.7% are raw hides and products from it.
Mongolia imports more than 90% of oil products from Russia, and the rest from China and Kazakhstan.
Mongolia as a member of the World Trade Organization in March 2005 submitted its trade policy to the members of this organization for discussion, which is quite liberal. In 2002, the Government of Mongolia established uniform 5% customs rates for most imported goods. For the further development of Mongolia's foreign trade, the decision of the European Union to include Mongolia, as a developing country with a vulnerable economy and as a landlocked country, in the GSP + program is of great importance. Thus, from July 1, 2005, Mongolian goods began to be imported into the European market without customs duties.
GENERAL CHARACTERISTICS OF THE ECONOMY OF MONGOLIA
The economic activity of Mongolia has traditionally been based on agriculture and animal husbandry. Mongolia also has extensive mineral deposits - the extraction of copper, coal, molybdenum, tin, tungsten and gold makes up a significant part of industrial production. Soviet aid, which previously amounted to up to a third of GDP, ceased after the collapse of the USSR. The Mongolian economy fell into a long recession, exacerbated by the unwillingness of the Mongolian People's Revolutionary Party (MPRP) to pursue drastic economic reforms. The Democratic Coalition government embarked on the path of a market economy, relaxed price controls, liberalized domestic and foreign trade, and attempted to rebuild the banking system in the energy sector. Major privatization programs were undertaken, measures were implemented to stimulate foreign investment (international tenders for the sale of an oil products trading company, the largest cashmere company and banks). The progress of the reforms was slowed down as a result of the resistance of the former communist MPRP and the political instability generated by the frequent change of governments of the Democratic Coalition (four governments changed). After the crisis in 1996, caused by a series of natural disasters and a decline in world prices for copper and cashmere, in 1997-99. followed by economic growth. In August and September 1999, the Mongolian economy suffered from Russia's temporary ban on the export of oil and petroleum products. In 1997, Mongolia joined the World Trade Organization (WTO). At the last meeting of the Advisory Group in Ulaanbaatar in June 1999, foreign donors decided to allocate $300 million a year to Mongolia.
Meanwhile, experts at Renaissance Capital called Mongolia's economy the fastest growing in the world. Thanks to the huge reserves of mineral raw materials, the development of which is just beginning, and the development of the banking system. Mongolia's GDP in dollar terms will double by 2014, analysts believe. They noted that Mongolia is preparing to become the new Asian tiger, and not another source of raw materials in Central Asia," writes the CA NEWS news agency. (12.22.2009)
Natural resources of Mongolia. Despite the abundance of mineral deposits, their development is still limited. There are 4 brown coal deposits in Mongolia (Nalaikha, Sharyngol, Darkhan, Baganur). In the south of the country, in the region of the Taban-Tolgoi mountain range, hard coal was discovered, the geological reserves of which amount to billions of tons. Medium deposits of tungsten and fluorspar have long been known and are being developed. Copper-molybdenum ore found in Treasure Mountain (Erdenetiin ovoo) led to the creation of a mining and processing plant, around which the city of Erdenet was built. Oil was discovered in Mongolia in 1951, after which an oil refinery was built in Sain-Shanda, a city southeast of Ulaanbaatar, near the border with China (oil production ceased in the 1970s). Near Lake Khuvsgul, giant deposits of phosphorites were discovered and even their mining began, but soon, due to environmental considerations, all work was reduced to a minimum. Even before the start of reforms in Mongolia, with the help of the USSR, the search for zeolites, minerals of the aluminosilicate group, which are used in animal husbandry and agriculture as adsorbents and biostimulants, was not without success.
Labor resources of Mongolia. The working-age population in 2003 - 1.488 million people. Employment structure: agriculture / livestock - 42%, mining - 4%, production - 6%, trade - 14%, services - 29%, private sector - 5%, other -3.7%.
As of November 2009, about 40,000 unemployed people were registered in Mongolia. This is 10 thousand more than last year. And a record figure for the last 5 years. These data were announced by employees of the Department of Employment and Social Services of Mongolia. According to the data of the Office, employers put up more than 50,000 jobs on the labor exchange, of which 57 percent are vacancies that do not require specialization, mainly of an auxiliary kind.
Market transformations in the economy in the 1990s–2000s
The economic system of Mongolia on the eve of the start of market reforms. Choice of "shock" reform model. The main directions of economic transformations. Liberalization of economic activity, release of prices. institutional transformations; privatization of state and cooperative property. financial stabilization. The role of the state in the economy of modern Mongolia. The first results of the reforms, their impact on the economy and the social sphere. Prospects for deepening market reforms.
AGRICULTURE OF MONGOLIA
Agriculture has always been the backbone of the Mongolian economy. In the context of the transition to the market, its importance has increased. It employs 50% of the country's population (in 1950 - about 80%), it provides more than 40% of GDP. In terms of livestock per capita, we rank third in the world, second only to Australia and New Zealand.
Until the beginning of the 1940s, when industry formed into an independent sphere, agriculture was the only branch of material production in the country. Back in 1950, it produced 60% of the national income. Further, its share was reduced: in 1970 - to 25%, in 1975 - to 22.4%. Currently, it has increased slightly - up to almost 30%. At the same time, over 50% of export products are accounted for by agricultural raw materials, and taking into account products from it - over 70%.
The level and pace of development of agriculture largely determine the most important economic proportions. Traditional industries such as light and food industries completely depend on its condition, since the cost of agricultural raw materials constitutes the main part of their production costs.
Pasture animal husbandry still remains the main type of economic activity. To date, Mongolia is among the leading countries in the world in terms of livestock per capita (approximately 12 heads per person).
Agriculture plays a secondary role in the economic life of Mongolia. To remedy the situation, the government developed and began implementing the programs "Revival of agricultural production" (Tselina-3) and "Green Revolution".
INDUSTRY OF MONGOLIA
General characteristics of the industry. Specific features of the industrialization of Mongolia. Stages of industrial development. Industry cadres. The ratio of mining and manufacturing industries. Dynamics of the main indicators of industrial development. The efficiency of industrial production.
Sectoral structure of industry. The current state and development trends of the main industries.
Impact of market reforms on Mongolian industry. The role of foreign aid in the development of industry. Prospects for the development of industry.
Industrial growth - 4.1% in 2002.
Electricity production in 2005 - 3.24 billion kWh.
Electricity consumption - 3.37 billion kWh.
Electricity export - 18 million kWh.
Electricity import - 130 million kWh.
A significant number of manufacturing enterprises are concentrated in Ulaanbaatar, and in the city of Darkhan, to the north of the capital, there is a coal mining, iron foundry and steelmaking complex. Initially, the local industry was based almost exclusively on the processing of animal raw materials, and the main types of manufactured products were woolen fabrics, felt, leather goods, and food products. Many new industrial enterprises appeared in Mongolia after the end of World War II - especially in the 1950s and early 1960s, when the country received significant financial assistance from the Soviet Union and China. In the 1980s, local industry provided approximately 1/3 of the national product of Mongolia, while in 1940 it was only 17%. After the end of World War II, the share of heavy industry in the total volume of industrial production increased significantly. There are more than two dozen cities with enterprises of national importance: in addition to the already named Ulan Bator and Darkhan, the largest are Erdenet, Sukhe Bator, Baganur, Choibalsan. Mongolia produces more than a thousand types of industrial and agricultural products, most of which are consumed domestically; furs, wool, leather, leather and fur products, livestock and livestock products, phosphorites, fluorites, molybdenum ore are exported.
CAPITAL CONSTRUCTION
Dynamics of capital investments in the economy of Mongolia. The structure of capital investments by sectors of the economy. Material base and construction personnel. The role of foreign aid in the development of capital construction. Basic forms of assistance.
TRANSPORT AND COMMUNICATION
In 1915, the Mongol emperor Bogd VIII Zhavzandamba for the first time issued a decree addressed to the minister of the Great Khural and members of the Khural on the development of the mining industry and the construction of the railway.
Creation of modern modes of transport after the revolution of 1921. Dynamics of cargo turnover and passenger turnover of transport. Status and development trends of the main types of transport (railway, road, air, water). Prospects for the development of transport. Millennium Road. The main types of communication in modern Mongolia (postal, telephone, telegraph, radio and television communications). Development of mobile communications and the Internet.
FINANCIAL SYSTEM OF MONGOLIA
The main links of the financial system of modern Mongolia and its role in the development of the economy. The state budget, the ratio of the central and local budgets. The structure of budget revenues and expenditures.
Monetary system. The national currency - Tugrik - and its exchange rate against other currencies. Currency regulation.
credit system. Formation and development of a two-tier banking system. The role and functions of the Central Bank. Development of a network of commercial banks. Credit and deposit operations of banks. Formation of the insurance system. Problems and difficulties in the development of the credit system during the period of market reforms.
DOMESTIC TRADE
The main forms of domestic trade. State, cooperative and private trade, their correlation. Wholesale and retail trade. Domestic trade prices, the problem of inflation. Dynamics and structure of domestic trade.
TERRITORIAL STRUCTURE OF THE ECONOMY
Diversity of approaches to the economic zoning of Mongolia. The concept of zonal development of Mongolia (2002). Main economic zones and their industrial specialization. The relationship between the sectoral and territorial structure of the economy.
LIVING STANDARD OF THE POPULATION
Living standard and social security in socialist Mongolia. A sharp drop in living standards in the initial period of market reforms. Dynamics of real incomes of the population in recent years. Social differentiation of the population. The problem of poverty and attempts to solve it. Employment problem; dynamics and structure of unemployment. The role of the state in solving social problems.
FOREIGN ECONOMIC RELATIONS
The total turnover in foreign trade for the first half of 2008 amounted to 2 971.3 million US dollars, including export 1 276.3 million dollars, import - 1 695.0 million dollars. The deficit amounted to 418.7 million US dollars, which is more by 386.5 million US dollars compared to the same period last year. The total trade turnover in comparison with the same period of 2007 increased by 74.3%, export - by 52.6%, import - by 95.2%. The negative balance of foreign trade was significantly affected by the growth of imports, which is 42.6 points higher than the volume of exports.
Main import. Imports are mainly oil products, equipment and spare parts, vehicles, metals, chemicals, building materials, food and consumer goods.
In 2004, imports amounted to $1 billion.
In 2005, imported goods came from: Russia - 34.5%, China - 27.4%, Japan - 7.1%, South Korea - 5.3%.
In the total volume of imports, mineral products increased by $196.4 million, pulp, paper, cardboard and products from them - by $189.2 million, vehicles - by $133.7 million, cars, electrical equipment, televisions, spare parts - by $92.3 million. dollars, metallurgical products - by 68.1 million dollars, foodstuffs - by 37.2 million dollars.
Main export. The main Mongolian exports are: minerals (copper, molybdenum, tin, spar concentrate), raw materials of animal origin (wool, cashmere, leather, fur), consumer goods (leather, sheepskin, leather goods, carpets, cashmere, camel knitwear, blankets from wool and cashmere). The subsoil of the country is rich in mineral resources, including vast deposits of coal, iron ore, tin, copper, uranium, oil, zinc, molybdenum, phosphorus, tungsten, gold, fluorite and semi-precious stones.
In 2004, exports amounted to $853 million.
In 2005, exports went to: China - 48.1%, USA - 14.2%, Canada - 11.6%, Great Britain - 8.3%, South Korea - 6.2%.
The export of mineral raw materials, which is the main export item, increased by 245.9 million US dollars compared to the same period in 2007, precious and semi-precious stones, metals and jewelry - by 175.4 million dollars, products of chemical enterprises - by 22.1 million US dollars, raw materials, processed leather, furs and products from them - by 1.9 million dollars. However, export deliveries of knitted products decreased by $7.8 million, metallurgical products - by $3.4 million.
The actual export volume of copper concentrate decreased by 0.6 percent or by 8.2 thousand tons compared to 2007, while in terms of prices it increased by 27.1%.
The main forms of foreign economic relations of modern Mongolia. Dynamics, structure and geography of foreign trade. Export and import of individual goods. Organization of foreign trade.
Credit and gratuitous assistance from the outside world of Mongolia. Distribution of foreign aid by sectors of the economy. Organization of donor countries of Mongolia and its activities. The role of foreign aid in the development of the economy and the social sphere.
Cooperation of Mongolia with the main foreign economic partners. The most important directions of the Mongolian-Russian economic cooperation and its role in the development of the Mongolian economy. Participation of Mongolia in international economic organizations (IMF, World Bank, ADB, etc.).
- Ulaanbaatar, Mongolia, /MONTSAME/ For 11 months since the beginning of 2010, Mongolia has carried out foreign trade operations with 130 countries of the world. The total trade turnover amounted to 5 421.8 million US dollars. dollars, of which the volume of exports is 2 550.6 million dollars, imports - 2 871.1 million dollars.
Compared to the same period last year, the volume of foreign trade turnover increased by 1,831.4 million dollars, or 51.0%, of which the volume of exports increased by 872.3 million dollars, or 52.0%, and the volume of imports - by 959.0 million dollars, that is, by 50.2%.
The negative balance of foreign trade in January-November 2010 reached 320.5 million dollars, which is an increase of 86.8 million dollars or 37.1% against the same period last year.
Mineral resources, knitwear and knitwear, precious and semi-precious metals and jewelry account for 94.8 percent of all types of export products.
G. Battsetseg
GDP
Purchasing power parity $5.781 billion in 2006. GDP growth 7.5%.
Agriculture - 20.6%.
Industry - 21.4%.
Services - 58%.
Inflation - 9.5% (2005).
BUDGET 2010
Mongolia's budget for 2010 has been adopted. Budget revenues will amount to 2 trillion 426.8 billion tugriks. Expenses - 2 trillion 785.4 billion tugriks. The deficit of the main financial document of the country is more than 385 billion tugriks. Losses could not be avoided, despite the reduction in social costs. (27.11.2009)
Last year, Mongolia's gross national product fell by 1.6%.
As reported by MONTSAME, according to preliminary data for 2009, the country's gross national product amounted to 6055.8 billion tugriks (47-50 tugriks = 1 ruble) in annual terms, or 3564.3 billion tugriks in 2005 prices. Compared to last year, this indicator decreased by 1.6% in comparable prices.
The official index of consumer goods and services at the end of 2009 increased by 4.2% compared to the end of 2008.
In 2009, during 255 trading sessions on the stock exchange of Mongolia, the turnover of securities trading amounted to 23.2 billion tugriks. Compared with the previous year 2008, the volume of trade decreased by 62.8% or 39.2 billion tugriks, the report says.
During the years of people's power in Mongolia, an industry has been created, which is becoming an important branch of the national economy. From an agrarian country, Mongolia has turned into an agro-industrial one. Before the revolution of 1921 there was no industry in Mongolia and there was no working class. The processing of livestock products - leather processing, dressing of sheepskins, felt rolling, as well as blacksmithing and carpentry and other types of production - were of an artisanal nature and served the on-farm needs of the Mongolian population. The actual Mongolian industrial enterprises were a small number of coal mines in the Nalaykha tract. In certain regions of the country (the basin of the pp. Iro, Khara, etc.), foreign capitalists were rapaciously engaged in the extraction of gold and precious stones, they also owned small handicraft enterprises for the primary processing of wool and leather, carpentry, locksmiths, blacksmiths and other workshops. The country was entirely dependent on the import of industrial products from other countries.
One of the main tasks of the People's Government was the creation of a national industry, but the lack of sufficient funds and skilled workers created great difficulties along this path. From the very first years of the Mongolian revolution, the Soviet Union began to provide substantial assistance in the creation of the Mongolian national industry.
The creation of a national industry was outlined in the decisions of the III Congress of the MPRP and the I Great People's Khural of the MPR (1924). The industry of Mongolia was created from the very beginning as the foundation of the socialist sector of the national economy. In the creation of industry, two stages can be distinguished, due to the specific historical characteristics of the country.
At the first stage (1921-1940), the light and food industries developed mainly, and the foundations of the energy industry were laid. In the 1920s, the construction of modern enterprises engaged in the processing of various types of livestock raw materials began. By 1933, a mechanical and brick factories and a power station, a sawmill on the river came into operation in Ulaanbaatar. Iro and other enterprises. In 1931, the construction of the largest light and food industry enterprise in Mongolia, the Ulaanbaatar Industrial Combine, began, and in 1934 its construction was completed. This enterprise later became a forge of socialist industry personnel. In the same years, the Khatkhyl wool-washing factory was put into operation.
The successful development of the light and food industries required the creation of the foundations of the fuel and energy industry. The coal mines in Nalaikha were significantly expanded and mechanized. New coal mines were created - in the area of Yugotszyr, Under-Khan, Sain-Shande and in other places. In Ulaanbaatar, in 1939, a single power plant was created, and small power plants were put into operation in the aimags.
At the first stage, individual rudiments of metal-working production also began to develop in the republic (in 1928, a mechanical plant with an iron foundry was created), the building materials industry, the printing industry, and the gold-working industries.
So, in the public sector of the national economy for 1921-1940. the foundations of the Mongolian industry were created.
In the second socialist stage of the Mongolian revolution ("since 1940), the industry of Mongolia has been successfully developing. The Party and the government pay great attention to the development of industry. The amount of capital investment in industry in 1960 increased 16 times compared to 1941. From 1940 to 1960 (over 20 years) gross industrial output increased 7.5 times.Production of certain types of industrial products per capita in 1960 increased in the following amounts compared to 1940: electricity - 7.2 times, coal - 2.8 times, kripich - 27 times, woolen fabrics - 4 times, leather shoes - 3.3 times.
The development of industry leads to a change in its share in the country's economy. If in 1940 the share of industrial output was 17% of the total gross output of the national economy, then in 1960 it reached 34.4%.
The food industry currently provides over 40% of all industrial output. Various sectors of the food industry are developing, such as butter, dairy, meat processing, etc. Hundreds of oil refineries and separator points have been built in the aimaks. Previously, Mongolia did not produce marketable butter, but now it exports it.
The Ulaanbaatar industrial complex is the largest enterprise processing agricultural products. It includes a whole complex of plants and factories equipped with the latest technology. There are wool-washing, cloth, worsted, felting, shoe, saddlery and textile factories, sheepskin and fur coats, leather, chrome, chevron factories and other industries. The industrial complex also produces felt, various woolen fabrics, drape, cloth, shoes of various models, felt boots, beautiful camel wool blankets, coats, bags, etc. Its products become an important export item. The plant is constantly expanding. As the plant grew, its individual workshops were separated into independent new enterprises.
The Ulaanbaatar Dairy Plant processes dozens of tons of milk and cream per day. It mechanized and automated all technological processes. It produces pasteurized milk, kefir, cream, butter, cottage cheese, cheese, ice cream and other dairy products. Near Ulaanbaatar there is a large meat processing plant equipped with modern high-performance equipment. On the basis of semi-finished products of the plant, in addition to the sausage factory, there are enterprises for the manufacture of canned food, soap, bone products, etc. A significant part of the products of the meat processing industry is exported.
Now the food industry of the Mongolian People's Republic is represented by meat, butter, bakery and confectionery, alcohol and vodka, fish and other industries. There is also a confectionery factory in Ulaanbaatar, a dairy plant in Sukhbaatar, and bakery and confectionery, sausage and other production in many regions of the republic.
In recent years, one new branch of the food industry has appeared in the republic - flour milling. Entered into operation operating mill plant them. XXII Congress of the CPSU in Ulaanbaatar (25 thousand tons of flour per year) and a number of other mechanized flour mills in aimaks. Mongolia now fully meets the needs of the population in flour through its own production. All production processes in the flour-grinding industry are mechanized.
In recent years, the energy, coal, oil, metalworking, mining, construction, woodworking, paper, printing, pharmaceutical and other industries have also been successfully developing in the country.
The average annual increase in industrial output in 1948-1952 amounted to. 1.4%, and in 1958-1960. 17.9%.
The rate of industrial growth in Mongolia, as an economically less developed country, considerably exceeds the rate of growth of other socialist countries, which step by step brings the industrial development of the Mongolian People's Republic closer to the level of the advanced ones.
The Mongols rightly see the creation and development of industry as the basis for the development of all other branches of the national economy. For example, the successful development of the chemical-pharmaceutical and bio-industries is of great importance for the intensification of livestock farming.
The development of industry in Mongolia is determined by the fuel and energy balance, where the main place is occupied by the coal industry. At present, 13 large deposits of brown and hard coal, including coking coal, have already been discovered in the Mongolian People's Republic. The most significant extraction of high-grade coal takes place in the Nalaykha region, not far from Ulaanbaatar. There are coal mines in Tumen-Tsogto, Bain-Bulak, Under-Khan, Sain-Shand, Dzun-Bulak and Taban-Tologoi. In some regions of the country, in particular in the Ubur-Khangai and Sukhe-Bator aimags, coal mines were opened, which began to meet the needs of not only their aimags, but also some neighboring ones. Thanks to the commissioning of new mines and the equipping of old ones with new equipment, coal production in the republic increased by 15.9% compared to 1961. In the Darkhan region, in the basin of the river. Shcharyn-Gola, Mongolian geologists found reserves of high-quality coal. Deposits of iron ore, asbestos, lime and other valuable minerals have also been discovered here. To use these natural resources, an industrial and energy complex is being built in the Darkhan region of the Selenginsky aimag. As a result of the development of the Sharyn-Gol coal basin, Mongolia can fully meet the needs of the republic's national economy with coal. The new city of Darkhan is called the "Flower of Friendship" in Mongolia. In the construction of these integrated enterprises, Mongolia is greatly assisted by the countries that are members of the Council for Mutual Economic Assistance of the Socialist Countries. With the help of the Soviet Union, the main facilities of the complex are being built - a coal mine, a railway line, a high-voltage power line and an elevator. A new socialist city is being born here - a major industrial and cultural center of the country.
With the growth of the fuel base and the industry as a whole, the production of electricity increases. Local power plants operate in most aimag centers and state farms. The electrification of the country contributes to the mechanization and automation of production.
Electricity consumption will increase in 1965 by a factor of 3.5 compared to 1960, and the average annual increase in power plant capacity will increase by 28%. In 1961 -1965. the fifth expansion of the Ulaanbaatar thermal power plant will be carried out, the Tolgoytinskaya power plant will be built near Ulaanbaatar. It is planned to build power stations in Selenginsky, Bayan-Ulegeyek and other aimags, as well as in Dzunkhar and Kharkhorin. The capacity of power plants in the country will increase by 1.7 times, and rural diesel power plants - by 2 times.
The oil industry appeared, a completely new branch of industry, the existence of which could not be known in pre-revolutionary Mongolia. A large oil field has recently been created in the Eastern Gobi. A young white-stone city of oil workers, Dzunbayan, has grown here, with cultural and community facilities and even a swimming pool. Mongolia currently produces about half of the gasoline consumed in the country. The oil industry satisfies a significant part of the country's needs.
The mining industry of the MPR produces gold, manganese, tungsten, magnetic iron ore, lead, rock crystal, turquoise and other non-ferrous and precious metals, various salts, etc. Mining enterprises are built on the site of rich mineral deposits. Mongolia exports tungsten, fluorspar, rare and non-ferrous metals, etc.
The metalworking industry of the Mongolian People's Republic is represented by a mechanical plant with an iron foundry. The plant produces cultivators, hillers, transport and horse rakes, cast iron.
Marble, limestone, asbestos, gypsum, and mineral paints are mined in the republic. Building materials industry develops on the basis of these raw materials. In recent years, several plants for the production of lime, cement, slate, bricks and other building materials have been put into operation, including a house-building plant in Sukhbaatar, a large-panel housing plant in Ulaanbaatar, a glass plant in Nalaikha, Tolgoitinsky brick factory, brick, reinforced concrete factories in Ulaanbaatar. The country's first glass factory is successfully operating, which produces technical and household utensils, as well as art glass, vases and other products. Integrated mechanization is widely used in the workshops. The plant is equipped with modern technology. 1960 The construction materials industry of the Mongolian People's Republic produced as many products as it had received during all the previous five-year plans It should be noted that the building materials industry plays an important role in the transition of the Mongols to settled life. institutions in Mongolian towns and cities.
The technical equipment of all industrial enterprises is constantly improving, in which the Soviet Union and other socialist countries are rendering great assistance to Mongolia.
The development of industry in the Mongolian People's Republic entailed the emergence and development of the working class. As mentioned above, by the beginning of the revolution in feudal Mongolia, the main classes were secular and spiritual feudal lords and serf arats.
The Mongolian working class was born only in the conditions of the people's democratic stage of the revolution. It took shape under the leadership of the Mongolian People's Revolutionary Party in enterprises dominated by socialist ownership of the means of production. Therefore, its emergence was accompanied by a number of features that were different from the emergence of the working class in the conditions of bourgeois society. The Mongolian working class did not know capitalist exploitation, it was formed as the bearer of socialist production relations. Developing in collaboration with the labor arats, it became the leading force in the struggle of the Mongolian people for a gradual transition to socialism.
The Soviet working class also had a beneficial effect on the formation of the Mongolian working class. Mongolian national cadres of workers were trained in various ways. On the one hand, they gained experience and knowledge in their production, working directly under the guidance of Soviet masters, studied in special circles and technical educational institutions of the Mongolian People's Republic, on the other hand, many workers, engineers and technicians received and are receiving education in the Soviet Union. In recent years, training centers opened at large enterprises and organizations have begun to play an important role in the training of national cadres of workers. So, in 1951, such a plant was organized under
Ulaanbaatar railway; its task is to train personnel of railway workers of various specialties. In 1954, a training plant was opened at the Zunbain oil fields in the East Gobi aimag. A common form of training workers, as well as improving their qualifications on the job, are circles for the minimum technical minimum and advanced training organized at enterprises. Mongolian workers are also studying the experience of workers in other socialist countries.
In an effort to increase the economic power of their homeland, the workers compete for the best fulfillment of production plans, they fight for the rationalization of production processes, for the economy of materials and means.
Trade
Successes in the field of industrial and agricultural production contributed to the growth of trade, which is carried out mainly by state and cooperative organizations.
Until 1921, internal and external trade in Mongolia was almost entirely in the hands of foreign capitalists; back in 1927, the share of foreign firms in the total turnover reached 67%; by the beginning of 1930, foreign firms had already been forced out of the Mongolian market. Since that time, both internal and external trade began to be mainly in the hands of Mongolian organizations, although private trade was also allowed. In 1951, the share of private trade did not exceed 6% of the volume of organized trade. Cooperative trade in the republic is carried out by consumer and industrial cooperation. The number of shareholders of the cooperation reaches 250 thousand.
The volume of foreign trade of the republic increases every year. The Mongolian People's Republic exports livestock, meat, wool, leather, furs, oil, and certain types of minerals. The Mongolian People's Republic receives industrial equipment, agricultural machinery, means of transport and communications, tea, sugar, tobacco, textiles, etc. from abroad. The main place in the foreign trade of the Mongolian People's Republic is occupied by the Soviet Union. Over the last period, economic ties have been developing with all socialist and many capitalist states.
In 1952, the MPR participated in the International Economic Conference in Moscow and repeatedly took part in international fairs in Leipzig and Plovdiv.
Transport and communications
Before the revolution in Mongolia, transport and communications were very poorly developed. Bull sledges, pack camels and horses were the only mode of transport. Service communication with aimags and soums was carried out through urtons - postal stations. The latter were located at a distance of 30-40 km from each other. Before the revolution, arats provided free horses for urtons, transported feudal lords, lamas and officials free of charge, and also kept them free of charge. It was one of the toughest jobs. All arat farms paying the state cattle-breeding tax were subject to urton duty. In 1949, this duty was completely abolished by the government of the MPR. Transportation of civil servants is carried out at the expense of the state.
At present, all modern modes of transport and communications have been created. Horse-drawn and pack transport, which until recently was the main means of communication, is now of an auxiliary nature. Regular road and air communication connects all the most important regions of the country. There is a wide network of paved and unpaved roads, automobile and railway bridges have been built and are being built. In all aimags, motor transport bases, repair shops, supply points, etc. have been created. The country's car fleet numbers approximately 10,000 vehicles. For every 100 people, there are more cars in the MPR than in some capitalist countries, and there are 3.7 times more trucks per capita than in Iran, and 15.5 times more than in Pakistan.
Air transport in Mongolia is developing. The Soviet Union has rendered and continues to render great assistance in this. A civilian aviation fleet of the MPR has now been created, which serves postal and passenger transportation between all aimags and Ulaanbaatar. Mongolian pilots serve international routes connecting Ulaanbaatar with Moscow and the capitals of other countries. Ulaanbaatar airport accepts modern airliners, such as IL-18, etc.
In 1956, the Trans-Mongolian railway line came into operation, which connects the Mongolian People's Republic with the Soviet Union and China. Along the line of the Trans-Mongolian railway, new industrial enterprises, cities, and towns have arisen and are being built. These changes are especially noticeable in the Gobi desert. The total length of railways in the Mongolian People's Republic is about 2,000 km. The railroads of the Mongolian People's Republic run on diesel traction. At the end of 1960, railways accounted for 42% of all internal and external transportation of the MPR.
Navigation in the country is poorly developed; out of a large number of rivers and lakes, it is available only on Lake. Khubsugul (Kosogol), on the river. Selenga and partly its tributary Orkhon. On average, water transport accounts for 7th part of the total cargo turnover. It carries out mainly foreign trade freight transportation.
Mongolia has all modern means of communication. A number of telephone exchanges have been put into operation, outdated systems are being replaced by more modern ones. An automatic telephone exchange for 10,000 subscribers is put into operation. Aimak centers are connected with the capital and among themselves by telegraph and telephone. State farms and agricultural organizations are equipped with telephones and radio. A continuous radio coverage of the country is planned. In 1960, a powerful central broadcasting station of the Mongolian People's Republic, built with the fraternal assistance of the Soviet Union, was put into operation in Ulaanbaatar. It simultaneously transmits Mongolian broadcasting programs on long wave and short wave. Created Montsame - Mongolian Telegraph Agency.
Thus, transport and communications have become an independent and new branch of the national economy for Mongolia, they occupy one of the first places in terms of technical equipment and power-to-weight ratio of labor. The rapid growth of all branches of industry will cause the further development of all modes of transport and communications. The total volume of freight turnover by all types of transport will increase by 90% over the five years, including by rail - by 11.5%, by motor transport - by 2.9 times, by air transport - by 1.6 times.
However, new means of transportation have not yet destroyed the local horse-drawn and horse-drawn movement developed by the long history of the Mongolian people, adapted to the natural conditions of the country.
The horse, bull, camel continue to play an important role as riding and pack animals, and in some areas, mainly in the central and eastern parts of the country, they are used to harness two-wheeled carts. All Mongols - men, women and children - are excellent riders.
Previously, the transportation of goods was mainly carried out only on bulls and camels. The bulls were harnessed to two-wheeled wooden carts of a very primitive design, in which there were absolutely no iron parts; on camels, cargo was transported in packs; harnessing them to carts was practiced only in some areas of the eastern part of the country.
The population usually moved around the country on horseback, for which horses served primarily, bulls and camels were also used. Teaching horses to harness began only after the revolution, and here for a long time there were remnants of long-established traditions of a special respect for the horse. So, for example, the owner preferred not to sit in a cart with a harnessed horse, but walked alongside or rode another horse. New means of transportation, as indicated above, do not destroy the local horse-drawn and horse-drawn movement developed by the long history of the Mongolian people. Features of material culture as a result of the centuries-old experience of the Mongol nomad are still very strong here. They are expressed in the arrangement of pack and riding saddles, carts, in the methods of saddling and packing animals, etc.
A pack saddle (yangirtsag) for a horse and a bull consists of two boards connected to each other by two massive wooden arches. Boards and arms are drilled and sewn with thin straps. The girth is thrown over the saddle, and shallow recesses are carved on the boards for it. Potfeya (undertail) is attached to the ends of the back boards. A felt saddle (tokum) is first placed on the back of the animal, and a saddle is fixed on top of it. For camels, a different form of saddle is used. First, to protect the camel's back from abrasion and injury, its humps are wrapped in felt, pillows (hom) stuffed with wool are applied to the sides, and then all this is pressed with sticks. To strengthen the pack on the saddle of a camel, pulling on the leash, they are forced to lie down on the ground.
In the central and eastern regions, camels are harnessed to two-wheeled carts; for this purpose, a special felt saddle-collar is used, which is put on the front hump of the camel.
During long marches over sandy and pebbly places, the soles of camels crack; in such cases, the camels are laid on their side, their feet are tied, and the cushion-shaped soles of the feet are hemmed with leather using a long curved needle.
Mongolia is an agro-industrial country. Mongolia today trades with more than 80 countries of the world. The trade turnover is more than 2 billion US dollars. If until the 1990s, 90% of Mongolia's foreign trade was occupied by trade with the USSR, today more than 40% is trade with the Russian Federation and the People's Republic of China, and the rest is occupied by trade with such highly developed countries as Japan, the USA, South Korea, Switzerland.
Although more people live in cities, Mongolia's economy is still centered on industries such as agriculture and mining. Mineral resources such as copper, coal, molybdenum, tin, tungsten and gold make up a significant part of the country's industrial production.
Between 1924 and 1991 The MPR received large financial and economic assistance from the USSR. At its peak, this assistance accounts for one third of its GDP. In the early 1990s and the following decade, the Mongolian economy experienced a severe recession followed by stagnation. Extensive droughts in the summer and winter of 2001 and 2002 had a severe impact on agriculture and led to a marked slowdown in the country's GDP growth. Mongolia has a high inflation rate. The global financial crisis has caused a recession in many industries dependent on exports and investment from abroad.
Due to the harsh continental climate of Mongolia, agriculture remains vulnerable to natural disasters in the form of severe drought and cold. The country consists of small arable land, but about 80% of the territory is used as pasture. Most of the rural population is engaged in grazing livestock, consisting of sheep, goats, cattle, horses and camels. Mongolia has more livestock per capita than any other country in the world. Wheat, potatoes and other vegetables are also grown, in addition to tomatoes and watermelons. GDP PPP: $9.48 billion (2008) GDP per capita PPP (2008): $3,200 Unemployment rate: 2.8% (2008).
Industry of Mongolia
Industrial growth - 4.1% in 2002. Electricity production in 2005 - 3.24 billion kWh. Electricity consumption - 3.37 billion kWh. Electricity export - 18 million kWh. Electricity import - 130 million kWh.
Statistical indicators of Mongolia
(as of 2012)
Mining industry. Despite the abundance of mineral deposits, their development is still limited. There are 4 brown coal deposits in Mongolia (Nalaikha, Sharyngol, Darkhan, Baganur). In the south of the country, in the region of the Taban-Tolgoi mountain range, hard coal was discovered, the geological reserves of which amount to billions of tons. Medium deposits of tungsten and fluorspar have long been known and are being developed. Copper-molybdenum ore found in Treasure Mountain (Erdenetiin ovoo) led to the creation of a mining and processing plant, around which the city of Erdenet was built. Oil was discovered in Mongolia in 1951, after which an oil refinery was built in Sain-Shanda, a city southeast of Ulaanbaatar, near the border with China (oil production ceased in the 1970s). Near Lake Khuvsgul, giant deposits of phosphorites were discovered and even their mining began, but soon, due to environmental considerations, all work was reduced to a minimum. Even before the start of reforms in Mongolia, with the help of the USSR, the search for zeolites, minerals of the aluminosilicate group, which are used in animal husbandry and agriculture as adsorbents and biostimulants, was not without success.
Currently, the main branch of the extractive industry is coal (mainly lignite). Most of the coal mining is concentrated at the Sharyn-Gol open-pit mine (annual production of over 1 million tons), near the city of Darkhan, as well as at the Nalaya mine (with a capacity of over 600 million tons). There are a number of smaller cuts in the area of Under-Khan and others. Electricity production - at thermal power plants (the largest thermal power plant in Darkhan). Manufacturing industry. The sectoral light and food industries account for more than one second of gross industrial output and more than one second of employed workers. The largest enterprises are: an industrial complex with 8 factories and plants in Ulaanbaatar, Choibalsanei, etc. In the building materials industry, an important place among enterprises is occupied by a house-building plant in Ulaanbaatar, cement and brick factories in Darkhan.
Initially, the local industry was based almost exclusively on the processing of animal raw materials, and the main types of manufactured products were woolen fabrics, felt, leather goods, and food products. Many new industrial enterprises appeared in Mongolia after the end of World War II - especially in the 1950s and early 1960s, when the country received significant financial assistance from the Soviet Union and China. In the 1980s, local industry provided approximately 1/3 of the national product of Mongolia, while in 1940 it was only 17%. After the end of World War II, the share of heavy industry in the total volume of industrial production increased significantly. There are more than two dozen cities with enterprises of national importance: in addition to the already named Ulan Bator and Darkhan, the largest are Erdenet, Sukhe Bator, Baganur, Choibalsan. Mongolia produces more than a thousand types of industrial and agricultural products, most of which are consumed domestically; furs, wool, leather, leather and fur products, livestock and livestock products, phosphorites, fluorites, molybdenum ore are exported.
Agriculture in Mongolia
Agriculture has always been the backbone of the Mongolian economy. In the context of the transition to the market, its importance has increased. It employs 50% of the country's population (in 1950 - about 80%), it provides more than 40% of GDP. In terms of livestock per capita, we rank third in the world, second only to Australia and New Zealand. Until the beginning of the 1940s, when industry formed into an independent sphere, agriculture was the only branch of material production in the country. Back in 1950, it produced 60% of the national income. Further, its share was reduced: in 1970 - to 25%, in 1975 - to 22.4%. Currently, it has increased slightly - up to almost 30%. At the same time, over 50% of export products are accounted for by agricultural raw materials, and taking into account products from it - over 70%.
The level and pace of development of agriculture largely determine the most important economic proportions. Traditional industries such as light and food industries completely depend on its condition, since the cost of agricultural raw materials constitutes the main part of their production costs. Pasture animal husbandry still remains the main type of economic activity. To date, Mongolia is among the leading countries in the world in terms of livestock per capita (approximately 12 heads per person).
On the basis of the law on foreign investment adopted in 1990, citizens of other states were given the opportunity to own shares of various types of enterprises - from firms with 100 percent foreign capital to joint companies. New laws were passed regarding taxation and banking, credit and debt. In May 1991, a law on privatization came into force, according to which state property could pass into the hands of "law-abiding" citizens (that is, those who had not previously committed serious crimes) permanently residing in the country. Each citizen was given a special investment coupon that could be bought, sold or given to any other person. Holders of such coupons became active participants in special auctions, through which state property was privatized. Later, in 1991, "state farms" and cooperative livestock associations were liquidated, and the transfer of land and livestock to private ownership began.
Foreign trade of Mongolia
Mongolia as a member of the World Trade Organization in March 2005 submitted its trade policy to the members of this organization for discussion, which is quite liberal. In 2002, the Government of Mongolia established uniform 5% customs rates for most imported goods. For the further development of Mongolia's foreign trade, the decision of the European Union to include Mongolia, as a developing country with a vulnerable economy and as a landlocked country, in the GSP + program is of great importance. Thus, from July 1, 2005, Mongolian goods began to be imported into the European market without customs duties.
The total turnover in foreign trade for the first half of 2008 amounted to 2 971.3 million US dollars, including export 1 276.3 million dollars, import - 1 695.0 million dollars. The deficit amounted to 418.7 million US dollars, which is more by 386.5 million US dollars compared to the same period last year. The total trade turnover in comparison with the same period of 2007 increased by 74.3%, export - by 52.6%, import - by 95.2%. The negative balance of foreign trade was significantly affected by the growth of imports, which is 42.6 points higher than the volume of exports.
Imports are mainly oil products, equipment and spare parts, vehicles, metals, chemicals, building materials, food and consumer goods. In 2004, imports amounted to $1 billion.
In 2005, imported goods came from: Russia - 34.5%, China - 27.4%, Japan - 7.1%, South Korea - 5.3%. In the total volume of imports, mineral products increased by $196.4 million, pulp, paper, cardboard and products from them - by $189.2 million, vehicles - by $133.7 million, cars, electrical equipment, televisions, spare parts - by $92.3 million. dollars, metallurgical products - by 68.1 million dollars, foodstuffs - by 37.2 million dollars.
Mongolian exports are: minerals (copper, molybdenum, tin, spar concentrate), raw materials of animal origin (wool, cashmere, leather, fur), consumer goods (leather, sheepskin, leather goods, carpets, cashmere, camel knitwear, wool blankets and cashmere). The subsoil of the country is rich in mineral resources, including vast deposits of coal, iron ore, tin, copper, uranium, oil, zinc, molybdenum, phosphorus, tungsten, gold, fluorite and semi-precious stones.
Export: (2.5 billion dollars in 2008) - copper, molybdenum concentrate, meat, livestock, livestock products, goat down, wool, skins, coal. The main buyers in 2008 are China (76%), Canada (9%), Russia (3%). Imports: ($3.6 billion in 2008) - fuels, machinery, automobiles, food, industrial consumer goods, chemicals, building materials, sugar, tea. The main suppliers in 2008 are Russia (35%), China (29%), Japan (8%). External debt - 1.6 billion dollars (in 2008).
Mongolia is a member of the World Trade Organization (since 1997). The main trading partners of the country are China and Russia, and Mongolia's economy is largely dependent on these countries. In 2006, 68.4% of Mongolia's exports went to China, while imports accounted for only 29.8%. Mongolia imports about 95% of oil products, and a significant share of electricity from Russia, which makes the country extremely dependent economically.
Transport Mongolia
The main types of transport in Mongolia are: rail, road, air, water. The Mongolian Railway is a railway in the territory of Mongolia. The official name is the Russian-Mongolian Joint-Stock Company "Ulaanbaatar Railway". Rail transport accounts for 80% of all freight and 30% of all passenger traffic in Mongolia. After the democratic revolution in the 1990s, there was a decline in freight and passenger traffic in Mongolia. But already in 2001, passenger traffic indicators recovered to the previous level and amounted to 4.1 million passengers per year. By 2005, the volume of freight traffic also recovered.
Trans-Mongolian railway train in the Gobi DesertToday, the Mongolian railway is one of the leading sectors of the Mongolian economy, on the work of which the economic development of the whole country largely depends. At the beginning of 2005, the technology of operational work of the Mongolian Railway was fundamentally changed, as a result of which the qualitative and quantitative indicators of the road were improved: the turnover of wagons was doubled and the average weight of trains was increased. The total length of railways for 2004 is 1810 km.
Automobile transport. There are 75 thousand km of highways in Mongolia, according to state records, but they are almost entirely unpaved, that is, in any direction there are half a dozen rolled paths, some of them lead to a yaila, a watering place, a somon or a settlement that has not yet migrated from these places And as a result, you can not travel without a guide! Cattle breeders only know directions. No one cares where any of these roads will lead. The driver of a truck, a UAZ jeep, a guide in an off-road minibus know their roads by signs. There are no pointers. Road culture in the pre-conception period. A map is often a source of misinformation. Mountain rivers have demolished bridges, now there is no one to restore them, they rolled new roads on the plain in the desert, where it is possible to ford the rivers.
The asphalt pavement of roads starts from Erdene, which is 72 km east of Ulaanbaatar, the road is paved to the first capital of Genghis Khan Kharkhorin and continues for 300 km to the aimag center Arvaikheer. The soils in Mongolia are stony, in the mountains the road is made of large rubble and small cobblestones, and in the desert it is made of coarse sand and fine gravel. Transitional form from one state of the road to another "washboard" wave wheel modulation of the soil by heavy machines.
Air Transport. As of 2006, there were 44 airports in Mongolia. Of these, 12 had runways with artificial turf. Ten of these bands had a length in the area from 2438 to 3047 meters, and the other two - between 1524-2437 meters.
Chinggis Khaan International Airport, located in the suburbs of Ulaanbaatar, is the only international airport in Mongolia. Direct flights are operated to Berlin, Moscow, Beijing, Hohhot, Seoul, Yekaterinburg, Irkutsk, Ulan-Ude and Tokyo.
The remaining 32 airports have unpaved runways. On two of them, the runway is over 3047 meters, on three - between 2438-3047 meters, on twenty-four - between 1524-2437 meters, on two more - between 914-1523 meters, and one airport, the runway of which has a length less than 914 meters. There is also one heliport in Mongolia.
As of June 2007, the airlines operating in Mongolia are: MIAT (Mongolyn Irgeniy Agaaryn Teever), Aero Mongolia, and Izinis Airways. They operate both domestic and international flights. Water transport. In Mongolia, 580 km of rivers and lakes are available for navigation, but more or less water transport is developed only on Lake Khubsugul. The Selenga and Orkhon are also navigable (the length of the navigable sections is 270 and 175 km, respectively), but water transport is not well developed on them, although a border boat on the Selenga River patrols the Russian-Mongolian border. Lakes and rivers freeze in winter; navigation usually opens in May and ends in September.
Marine fleet. Mongolia is the second (after Kazakhstan) country in the world in terms of territory, which does not have access to any sea. However, this did not prevent her from registering her ship register (The Mongolia Ship Registry Pte Ltd) in February 2003. Starting from the moment of registration, Mongolia has been steadily increasing the number of ships flying its flag. And in 2003, revenues to the treasury amounted to about $20,000,000.
Banking system of Mongolia
Back in the early 90s, they began to restructure the banking system, as a result, it became a two-tier one - the Central Bank ceased to engage in ordinary banking activities, while banks with private and state capital were given the opportunity to work. The prerequisites for such a transition were created only with the adoption in mid-1991 of the Law on Banks and the Law on the Mongolian Bank (on the central bank). The main direction of the transformations was the rejection of the state monopoly, the formation of a banking system that meets the requirements of market relations and meets generally accepted standards and norms.
At present, the main factors determining the place of the Central Bank in the Mongolian economy are the system of existing laws, the relationship of its measures with economic policy, and the principles of interaction with the banking system. The Law on the Central Bank fixes its complete independence in the field of direct activity.
So, in a short period of time, a new monetary system has been created in the country, which is one of the key elements of the economic mechanism and the driving force of the market economy. Commercial banks have become the main creditors and investment subjects. Today, there are 16 commercial banks in Mongolia, their total declared authorized capital as of January 1, 1999 amounted to 24.4 billion tugriks, i.e. 40% more than in 1994. Naturally, the Central Bank (Mongolbank) occupies a leading place in the country's banking system. It develops the main directions of monetary policy and determines the specific tasks that must be addressed in the coming year.
During the entire period of transition to a market economy, financial stabilization is a priority of monetary policy. If until 1996 the achievement of this goal was associated mainly with anti-inflationary measures, then at the present stage, the problems of maintaining economic growth and creating conditions for investment activity are coming to the fore. At the same time, thanks to a relatively tight monetary and budgetary policy, it was possible to reverse the negative trends in the economy and keep inflation and the exchange rate under control. As a result, after a sharp decline in production, which lasted four years, in 1994 the recovery resumed. In particular, an increase in GDP began, which in 1995 amounted to 6.3%, in 1996 - 2.6%, in 1997 - 3.3%, in 1998 - 3.5%. At the same time, there was a tendency to reduce the rate of price growth. If in 1992, at the very peak of inflation, its index reached 325%, then in the following years this sphere was brought under control, and in 1998 it amounted to only 6%.
Despite the generally positive nature of economic development, there is still, in my opinion, a threat of inflationary surges in Mongolia due to a decline in production in some industries, dependence on imports, a large budget deficit, as well as an increase in unresolved social problems in society. Because of this, Mongolbank continues to face the challenges of ensuring the stability of the national currency, restructuring the banking system and maintaining macroeconomic stability.
The most difficult elements of the reforms were the reorganization of the monetary system and the liberalization of foreign trade. The small size and excessive dependence on imports made the Mongolian economy particularly sensitive to changes in the exchange rate of the Tugrik. In this area, the Central Bank and the government faced a dilemma: to accept a flexible or fixed exchange rate.
Source - http://www.legendtour.ru/
http://ru.wikipedia.org/
Embassy of the Russian Federation in Mongolia
Mongolia-trade.org/- Website of the Mongolian trade mission
News.mn/- Info portal of Mongolia
infopol.ru Mongolia News - Ulan Ude
Mongolia-tourizm-planet.blogspot.com/- Tourism of Mongolia
Mol.mn/- Mongolia Online (en)
OWC.org.mn/- Mongolian National Tourism Authority (en)
Mongolia (Mongolian Mongol Uls) - state in East Central Asia. It borders with Russia in the north and with China in the south, has no access to the sea.
Natural conditions:
Mongolia is a plateau, elevated to a height of 900-1500 m above sea level. Above this plateau rises a series of mountain ranges and ranges. The highest of them is the Mongolian Altai, which stretches in the west and southwest of the country for a distance of 900 km.
Rivers of Mongolia are born in the mountains. Most of them are the headwaters of the great rivers of Siberia and the Far East, carrying their waters towards the Arctic and Pacific Oceans. The largest rivers of the country are the Selenga (within the borders of Mongolia - 600 km), Kerulen (1100 km), Onon (300 km), Khalkhin-gol, Kobdo, etc.
There are over a thousand permanent lakes in Mongolia and a much larger number of temporary lakes that form during the rainy season and disappear during the drought.
Climate:
In Mongolia sharply continental climate with harsh winters and dry hot summers. The temperature fluctuates from minus 25°С - 35°С in winter to plus 25°С - 35°С in summer. Ulaanbaatar is one of the coldest winter capitals in the world: the coldest month is January. The warmest month is July.
Minerals:
In spite of abundance of mineral deposits, their development is still limited.
There are 4 brown coal deposits in Mongolia (Nalaikha, Sharyngol, Darkhan, Baganur). Coal has been discovered in the south of the country in the region of the Taban-Tolgoi mountain range.
Medium deposits of tungsten and fluorspar have long been known and are being developed. Copper-molybdenum ore found in Treasure Mountain (Erdenetiin ovoo) led to the creation of a mining and processing plant, around which the city of Erdenet was built.
Mongolia is rich in fur(especially a lot of marmots, squirrels, foxes). Fishing is carried out in the lakes and rivers of the northern regions.
Mongolia currently ranks 10th in the world in terms of coal reserves. According to the Ministry of Mineral Resources and Energy of Mongolia, the total explored coal reserves in the country are 150 billion tons.
Industry:
One of the main components of GDP is mining and cashmere production.
Significant number of manufacturing enterprises is concentrated in Ulaanbaatar, and in the city of Darkhan to the north of the capital there is a coal mining, iron foundry and steelmaking complex.
Mongolia produces more than a thousand types of industrial and agricultural products, most of which are consumed domestically, are going for export furs, wool, leather, leather and fur products, livestock and animal products, phosphorites, fluorites, molybdenum ore.
Agriculture:
In the economy, priority is given to agriculture.
But agriculture plays a secondary role in the economic life of Mongolia. Various crops are grown in the northern and western parts of the country, some with land irrigation. main culture is wheat, although barley, potatoes and oats are also grown. The harvesting of hay and fodder for livestock plays a significant role.
Pasture animal husbandry, still remains the main economic activity. Today, Mongolia is one of the leading countries in the world in terms of livestock in terms of per capita.
Economy:
GDP (2006): $5.781 billion
Export: copper, livestock products, goat down, wool
Imports: fuel, machinery, cars
Main trading partners: China, Russia, USA, Japan
Transport:
The total length of motor roads in 2002 was 49,256 km.
In 2004, there were 36 airports in the country. Of these, 11 have a paved runway.
Air routes connect Mongolia with Russia, China, Vietnam, Japan.
Length of waterways- 580 km.
Mongolian railway connects two great powers, Russia and China. This is the shortest route connecting Asia and Europe.
The total length of railways in Mongolia in 2004 is 1810 km.
(Russian Railways recently acquired a 50% stake in UBZhD - 2008)
Large enterprises:
Tourism:
New industry - tourism is on the rise. The Mongols do not build hotels anywhere except the capital - it is expensive and not exotic. Therefore, in the spring, in especially beautiful corners of Mongolia, camp sites consisting of a couple of dozen yurts appear, and in the fall they disappear just as instantly. About 9 million Mongols live outside of Mongolia, including St. 5.8 million - in China, St. 1 million - in Russia: 180 thousand Kalmyks, 67,000 Altaians ...
International trade:
Today, the main Mongolian exports are today minerals and metal ores, as well as livestock products. The country mainly imports machinery and equipment, oil products, and consumer goods.
Membership in international organizations:
Mongolia is a member of the UN, ILO, WHO and other international organizations.
Education:
Since 2007 Russian has been compulsory in all schools. Education is conducted in the Mongolian language. Traditional Mongolian writing is taught in secondary schools. The Kazakh language is studied in Bayan-Ulegei aimag.