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2018 July August Marina World

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The magazine for the marina industry

THE WORLD’S LARGEST

THE WORLD’S LARGEST MARINE EQUIPMENT TRADE SHOW The METSTRADE Show is the world’s largest marine equipment trade show and the only truly international B2B exhibition for the marine leisure industry. The Marina & Yard Pavilion, one of the three specialised pavilions of METSTRADE, brings together the world’s largest concentration of exhibitors from the marina & yard industry. It has become the first port of call for marina professionals from around the world. 13 - 14 - 15 November 2018 RAI Amsterdam The Netherlands METSTRADE FEATURES ORGANISED BY POWERED BY MEMBER OF OFFICIAL METSTRADE MAGAZINE OFFICIAL SYP MAGAZINE OFFICIAL MYP MAGAZINE

MARKET FOCUS: NORTHERN RUSSIA mooring in St Petersburg so most boats from the city are transferred to Helsinki for the winter season. The local marina industry constantly loses money as a result. “By having 24,000 berths, like, for example, Tallinn, St Petersburg could earn around €144 million per year. This is the amount the city is losing by not taking steps to promote the development of its marinas,” commented Sergey Kovaliev, director of the local consulting agency Interconsult LLC. In north-west Russia it costs €3.5 million to build a marina with 200 berths, not taking into account the spend on building a fuel station and certain other costs. The payback on this investment in St Petersburg now takes 14 years, given the average profitability in the business over the last few years, according to Interconsult LLC estimates. This is too long a period of time and scares away potential investors. “In many countries, marinas are being built by public-private partnerships with state funding,” noted Vladimir Lubomirov, manager of St Petersburg Yacht Club. “This approach has proved its value, but it has not been used by the Russian authorities as yet.” “In theory, to give strong impetus for the development of the marina industry, three or four marinas should be constructed between the European border and St Petersburg as it takes 24 hours for an average yacht to cover the distance between the nearest marina in Finland and the city,” explained Andrey Lapko, an analyst with the Russian Tourism Academy. Building marinas by public-private partnership is quite possible but the main obstacle is that federal and regional authorities have first to agree on the projects among themselves. In Russian legislation, the water body belongs to the federal authorities but yachting taxes are claimed by the regional authorities. The different agencies must join forces to work this out and, in Russia, this could be quite an issue. Trying to fill the gaps Nevertheless, the authorities in Russia really seem to care about turning St Petersburg into the new centre of sea tourism, including yachting. Certain steps have been taken towards this, including opening a customs From the air: St Petersburg marinas enjoyed an unprecedented 90% occupancy last season. Imperatorsky Yacht Club is owned by Burevestnik Group. The company also owns marinas in Sochi and Moscow. clearance point at the Russian yacht club Konstantin Fort. This is a new experiment for Russia and could be expanded. Konstantin Fort is located 85 miles away from the Russian border with Finland and there are six other marinas in between. A boat owner from Europe must pass customs clearance somewhere before visiting any of them. “We have a marina for 160 yachts and the entire customs clearance in Konstantin Fort takes from 40 to 60 minutes,” development director Kiryll Razumov confirmed. Other established clearance points may or may not be operating as efficiently. “It is hard to say whether the main customs point for private boats located in Vyborg is operating properly or not. Officially, it is, but I’ve heard there were certain difficulties for some boats from Finland to undergo custom clearance there. Boat owners from Finland know this and, thanks to them, everyone else knows,” Razumov stressed. In addition to the problem with the customs clearance, there are also certain bureaucratic issues that hold up marina development. “There are certain gaps in legislation that brought us numerous problems when we were building coastal protection infrastructure for our marina,” commented Tatiana Ryazanova, spokeswoman for the Vostochny Yacht Club. “There are several different legal codes that regulate what permissions are required to do what. However, these regulations provide no information on what documents must be submitted to the www.marinaworld.com - July/August 2018 21

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