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1/1/1994 - Bezylastia: Adrift at the Edge of Russia. by Peter H. Christiansen

NotForPublication WithoutAuthor sConsent The Institute OfCurrentWorld Affairs Bezvlastia AdriftAt The Edee OfRussia January Petropavlovsk Kamchatsky Russia Mr Peter Bird Martin Executive Director The InstituteofCurrentWorldAffairs 4WestWheelock Street Hanover NewHampshire 03755 Dear Peter One snowy I bumped friend Sasha Komsomol Square Petropavlovsk Kamchatsky Central Market Sasha talented chief mechanic Okeanrybflot known BOR Baza Okeanskogo Rybotobstvo Ocean Fishing Base I known Sasha since summer We hiking trips together climb Avacha Volcano backpacking wilds central Kamchatka hiking around calderas Mutnovsky Volcano We other course nights together sitting around campfire swilling alcoholic libations swapping mariners tales The course friendship however interrupted Sasha driving through behind suddenly wheel ended They emerged accident without scratch their Honda Civic demolished Living without Petropavlovsk Kamchatsky means banishment public transportation system filthy overcrowded buses I suffer enough Sasha There I going suffer I shore He began scheming togetanew setofwheels fastas possible Around jollymanwithlaughing tongue encyclopedic knowledge color anecdotes Sasha friends acquaintances fishing ports Russian Far East PeterH Christiansen Fellow ofthe Institute researching Pacific Fishing Nations Since Institute Current World Affairs Crane Rogers Foundation provided fellowships enable outstanding young adults outside United States write about international areas issues Endowed Charles R Crane theInstitute alsosupportedbycontributionsfromlike minded individualsandfoundations He wanted overseas possible As would Igotacallfromafriend inthe cityofKorsakov Sakhalin hetoldme stood squinting blowing He begged transport We going Japan bring sailwithoutamechanic We llgiveyouacarandpayyouforthe ifyoucome Great Ithought smychance Sasha regular Okeanrybflot sharu locals completely irresponsibly spontaneously without telling bosses where going going somewhere Hejust stopped showing So IwenttoJapan wegotthe carsandbroughtthemback NowI vegotaMazdafour wheel drive extra money I friend chortled He months Butwhatabouthisformerjob atOkeanrybflot Canyoubelieve hegoggled astonishment I other nobody They notice I I sheet bookkeeper office collected months Five hundred thousand rubles He laughed happily Durdom plain crazy Of course money months imagine It tufta always Russia pretend pretend Tufta practice systematically falsifying economic labor performance ultimate alibi system employing conspiracy cleverly papered mistakes planning management satisfy demands higher worker productivity Tufta flourished Soviet Union almost every industry including fishing fallen fashion market Russia Except income between management workers rather Communist Party apparatchik drives deceptions Sasha tufta abounds Okeanrybflot His regular repairing fishing vessel nearby boatyard stretched sight We working doesn really anything Maybe tinker around never finish repair Tufta doesn bother Igor conscience It seems He worked joint ventures American Japanese companies knows qualified marine mechanic earns those countries They thousands dollars I friend works second mechanic He workedthreemonths atseaandcamehome forhispay only600 rubles Whowants those wages Pay issuance degrades Okeanrybflot workers Russia doesn direct deposit Instead workers plantation style They return bukhgalteriya accounting office their Since Okeanrbyflot chronically short money sometimes before everybody It complete brawl Sasha Dozens cursing struggling window pushing their passports cashier Fistfights break Aktoneuspel totopazdal ifyoudidn tmake retoolate youdon tgetanymoney Then wages because inflation bringing home30or40perpercentlessthanyouagreedtoinyourcontractwhenyou setout So Sasha spend their scamming Okeanrybflofs management figuring waste avoid The bosses compeletly outoftouchwiththelivesofitsworkers Sometimes thishasridiculousconsequences One bosses around imported Korean Christmas presents during holidays trying Sasha They asked I I How asked Two What Fisher Fisher Alexandrovich Strange Do birth certificate Not Well bring later happy holidays And gives present And Sasha Fisher imported Korean Christmas presents holidays Durdom roared Unfortunately thewidegulfbetweenworkersandmanagementfrequentlyhas amusing consequences In January captain Okeanrybflot transport vessel Kazalinsk radioed fishing enterpise general director inform coming Petropavlovsk Kamchatsky months earlier scheduled The Kazalinsk retired factory trawler pressed service transport brought Japan Korea China It scheduled north resupply Okeanrybflot spollock fleetintheBering Sea callingontheportofNa khodkaforaload packaging materials other cargo But Kazalinsk Orient laden televisions other goodies The feared going Nakhodka Nakhodka declared economic government decree apparently bears closer resemblance The controlled ferocious mafia groups shake crews visiting vessels The Kazalinsk categorically refused Nakhodka telegraphed ultimatum Okeanrybflot management In connection difficult criminal situation Nakhodka entire refuses stand watch They posted ultimatum threaten collective hunger strike The Kazalinsk drifted while captain Okeanrbyflot traded angry radiograms Finally Kazalinsk captain claimed broadsided seriously damaged vessel Then steamed eight across winter The Kazalinsk arrived Petropavlovsk Kamchatsky empty holds Japanese Okeanrybflotmanagementwas furious Thecrewknewwhat sassignmentwas theywereonlyoutfortwooutoffourmonths saidoneOkeanrybflot spokesmanduring televised broadcast Their total spare vessel supply pollock fleet There nothing unsafe about Kazalinsk thing danger bought overseas And sending ultimatum How ultimatum feeding giving Okeanrybflot estimated Kazalinsk unfinished journey million rubles including downtime pollock fleet Management promised reckon harshly Kazalinsk rebellious But Okeanrybflot worker I spoke later different point Management hasgottounderstandthatweneedprotectioninthese situations What stheuse overseas goods there stolen Russia We enough trips Inflation wages nothing voyage We somehow money trading buying cheap goods overseasand sellingthemathome whatever Nobodylooksoutforusanymore Wehave totakematters intoourownhands ThedesperationworkersfeelasRussiaenters itsfourthstraightyearofeconomic depression makes matters worse Okeanrybflot suffered drastic productivity An official press release fishing enterprise tells depressing In caught another bought including salmon processed including pollock lesser amount squid other species produced All above numbers previous Mainly reduction fleet vessels retired converted transports product export internal market Downtime influenced results especially sporadic supplies fishing expeditions A reduction volume purchased particularly during second forced measure price sirets unprocessed whole round collective farms asked unacceptable So processing fleet profitable species shore based fishermen This approach likely continue upcoming Rybkholodflot anotheroneofKamchatka Big Six theregion largest fishing enterprises significant ocean going fleet Rybkholodflot ofthe Big Six staggering catastrophic productivity Workers there partly blame performance enterprise ancient fishing fleet Also shore based fishing collectives traditional suppliers sirets enterprise either begun process themselves their resources highest bidder Writes Rybkholodflot engineer Now during stagnation 1980s commonly period stagnation Soviet history looks effective For example caught using practically number ofregistered vessels Our fishing fleet supplies about percent floating processors needs being poorly because fishing limits Unfortunately demand allocation fishing limits access processing entities without their fishing fleet supported Far East Regional Scientific Industrial Council September Now marine resources distributed enterprises fishing vessels But Rybkholodflot fishing limits taken without considering processors coming January Then pollock limits since catch Nobody considered objections justifications fault First factthat lastyearwewereforcedtogiveDalryba 000tonsof pollock deliveries fishing fleet taken consideration We never single Secondly fishing fleet honored scientific council KOTINRO inspectorate Kamchatrybvod demands cease fishing during molting period Our fleet fishing grounds turns shouldn All other resource users their fleets grounds caught their limits after getting fight expense under olympic system everybody catches possible before How fairness And about lackyish tipping fishing limits interregional intergovemmental agreements That overseas collegues conduct legal fishing waters nowadays while barely surviving Because there fishing limits there The general impression enterprise candidate number bankruptcy Rybkholodflot continued January fleet managed catch 330tonsofpollock comparedto5 737forthepreviousJanuary The troubles experienced Rybkholodflot Okeanrybflot reflect miniature overall Russian Far East fishing industry productivity Dalryba Dalnevostochnoye Basseinovoye Proizvodstvennoye Obyedineniye Russian Far East Basin Industrial Fishing Association reports The Dalryba Board Directors reported yearly totals activities association Unfortunately offered little comfort The reports heard definately confirmed fishing become profitable The fishing Russian Far East basin enterprises including results collective farms fulfilled percent The actual catch totalled planned catch volume which The catch volumes commercial species percent previous Out joint stock fishing enterprises fishing association exceeded previous catch volume indicators Less overall production means money around everyone these fishermen stand their stable prices stable Privatization When privatization began giving workers vouchers making owners partners joint stock companies seemed It presumed workers would stake their enterprise economic performance participate making processes longer quote favorite Marxist formulation alienated means production But backfired Nobody could predicted Russia economic crisis going years Nobody thought Soviet management labor organization would deeply ingrained persistent Asonefishermantoldme Nachalniki bosses onlyknowhowtodotwothings raspredilit vorovat distribute steal The always Practice tufta statistics economic performance pocket difference The Party nachalniki dealings their halcyon administrative command system conomic reforms crocodiles water Access currency easily exportable commodity sweetened Privatization turned almost feudalistic capitalism nachalniki Workers inajoint stockcompanyhavegott enaktsii stock inexchange forthevouchers issued under privatization The aktsii theoretically workers share their enterprise consequently happens company But reality aktsii pieces paper The really important things these fishing enterprises perks nachalniki dispense favors everything trips abroad currency bonuses deficit goods housing plumbing services The perks inspire worker loyalty their silence assent assure material being vessel calling Seattle example anybody enough raise voice Meanwhile nachalniki their decisions about enterprise assets pretty Workers almost management behind closed doors One fishing tradejournal writes An analysis information received Central Committee ofthe Fisherman Union regarding operations privatized enterprises founded basis government enterpises raises serious questions Unfortunately having nominally become aktsioneri stockholders generally insignificant union members achieved representation joint stock company management thereby losing chance necessary information about state affairs their enterprises partipate decision making forth In cases created situation whereby former government managers having become hired managers aktsioneri seized authority joint stock companies using abscence proper legislation conduct privatization privatized The managers joint stock companies create their private subfirms along joint stock company these deficit goods prices taking profits means reconstructing enterprise aktsioneri And enter prise capital financial means transferred these storefront subfirms Keeping false records another widespread practice joint stock companies As records hidden during necessary inspections carried taxation agencies The abuse regard hiding profits especially currency profits collecting benefits disclosure compliance normative joint stock company charter Russian Federation codes permitting managers roughshod The intentions administrators hiding profits brings result aktsioneri As result practice enterprises owing government exceed worth their joint stock companies times Similar cases reached proportion massive bankruptcies among enterprises attending negative consequences canbeexpectedinthebeginningoftheyear Worke Russian Far East fishing industry mercy oftheir bosses whims under Soviet system Bear although enterprise changed ownership paper during privatization changed social relationships between workers management The general directors bookkeepers executives Kamchatka fishing enterprises Soviet system charge grubby fishermen reason change status Dispensing perks carrot threat unemployment stick nachalniki their power Meetings aktsioneri elect managementdiffer littlefromtheoldmeetingsofthe workers collective toconfirmParty appointees It still rubber stamping people fisherman Only ifyouraiseyourvoice theycan fireyou The nachalniki their financial shenanigans predictably effectively The common gambit nachalniki partner joint venture currency foreign account This hides their income prying Russia inspectors Russia percent profits Another enterprise fiscal resources oborote tuming around interest accounts Russia which percent yearly interest large deposits A worker withheld months enough fishing vessel three months nachalniki pocket profits interest Even When comes smart nachalnik always claim oborotefor enterprise being finance purchase building Late payment workers surprisingly reached catastrophic proportions Kamchatka Region The incidence delay workers increased times during Fishing industry workers sometimes their months example Korf Fish Cannery workers million rubles Petropavlovsk Kamchatsky UTRF fishing enterprise workers million rubles Tolik independent entreprenuer kuplya prodazha business example things oborote Petropavlovsk Kamchatsky fishing industry Tolik doesn particularly things cheaply place resells elsewhere expensively Tolik doesn confuse kuplya prodazha capitalism I produce something build something butthetaxesandmafiawouldeatmealive hesaid SoI mforcedtodowhateveryone around buying selling Tolik story night beers kitchen I Petropavlovsk Fish Cannery joint stock company Rybakom other talked their Director Commercial Operations about buying What think doing there They processing marking artificially price putting aside their freezers Of course nobody their first expensive But months because inflation price becomes acceptable buyers Then They think making money But problem scheme cannery workers until So waiting months their salaries inflation eaten their wages They losing money The place falling apart It vicious cycle Tolik refused business Fish Cannery after hearing about scheme I wonder longer going They tjustkeepdoingwhatthey redoing forever Theirworkers lywomen areonly workinghalf shiftsnowas Andheretheyare offeringto sellmeabunchofoldfish inflated prices It business durdom According Tolik enterprises Kamchatka their business oborote They inflate value their goods paper credit based inflated value Then money credit oborote finally inflation catches declared value their goods goods credit Or enterprise credit imported goods until needs workers Then goods market Tolik And money their workers going But enterprises paying their debts other Take stroll dimly corridors Kamchatrybprom Petropavlovsk Kamchatsky biggest fishing enterprises moved Kamchatka fishermen decision making process their joint stock companies Kamchatrybprom formerly monstrous government enterprise controlling Kamchatka fishing industry collective farms factories officially dismantled But reform management still firmly place Kamchatrybprom sorts joint venture companies behind closed doors There Oktai Korean partner There export Japro salmon hatcheries company Kamchatka pilengo Marukha All Japanese partners Then there Kamavto automobile importing Krona association within joint stock company Kamchatrybprom workers aktsioneri entered these joint ventures trust management The nachalniki selected their daughters those prominent local politicians business partners abroad When I mentioned Kamchatrybprom joint ventures highly placed member Kamchatka Region Committee Fight Against Economic Crime KomitetpoBorbe sEkonomicheskoiPrestupnostyu duringarecent meeting andasked whether disclose their financial activities committee I another closed They haven forthcoming I there We really investigate these ventures official asked anonymity We agency Maybe someday The official revealed Yeltsin Administration extremely concerned crime joint ventures staunching outflow currency profits Russia Igor Popov Director Kamchatka Branch Russian Federation Security Directorate Upravleniye Ministerva Bezopastnosti Rossisskoi Federatsii formerly Komitet Gosudarstvennoi Bezopasnosti KGB abouteconomiccrimesandjointventures intheKamchatkaRegion Ensuring economic security matter serious concern According available extent economic damage suffered region reached colossal proportions Hard currency earned joint ventures going overseas joint ventures springing abroad there where accounts where money winds overseasbankaccounts Rightnowthe totalsumofhardcurrency abroad total worth humanitarian receive We concerned about state affairs economic officials regard these matters Offloads suspicious deliveries other goods occur exclusive economic Marine products being shipped abroad We bring order state affairs This depends onthelegislativeregulationofthe situation Even system exists declaring goods caught offloaded exclusive economic Customs operates territorial A needed There legal regulation regarding entry vessels exclusive economic Maybe create coast guard mobile system control American Coast Guard Wemust protect Criminal structures entering administrative govemmental agencies intent gaining upper legislative First corruption government service organized crime Without difficult fight economic crime Corruption everybody Russia Kamchatrybvod Kamchatka Regional Administration Security Reproduction ofFish Resources Fisheries Regulation found itself difficult financial situation following breakup Soviet Union Suddenly Russian Federation Committee Fisheries Management ofmoneyto fisheries enforcement From Resolution Russian F ederation Committee Fisheries Management thecollapseofthe centralizedbudgetarysystemhas particularly effected financing ofbudgetary enterprises organizations fisheries management abscence necessary finances fisheries enforcement agencies paralyzed Russia fisheries resources remain without enforcement massive poaching taking place which billions rubles fisheries resources short Russia fisheries bureaucrats novel solution Kamchatka enforcement agency Kamchatrybvod business Give quota andlet80percentofthehardcurrency itearnsfinanceitsbudget The situation Kamchatrybvod indeed serious The organization budget requirements billion rubles Russian federal budget allocated fisheries enforcement management basins Russian territorial waters Fines levied amounts before without accounting inflation For example illegal fishing Peanut Hole costs offender thousand rubles about while poaching rubles about According Kamchatrybvod Director N N Markov quota allocations organization working With enforcement vessels built Kamchatrybvod hoped money quota purchase modemvessels However January agents Kamchatka Region Tax Inspectorate City Petropavlovsk Kamchatsky Tax Inspectorate arrested Kamchatryvods account They claimed since Kamchatrybvod governmental organization funded central government selling through joint ventures engaged commercial activity therefore liable taxes The City Tax Inspectorate Kamchatrybvodwith4billionrubles inbacktaxesand fines Kamchatrybvodabruptlyfound itself paralyzed again Markov cried accused inspectors being unfit service demanded their resignation Kamchatrybvod inspectors personal counter called representativesfromMoscowto sortoutthemess The under arbitration Kamchatka Region Arbitration Court The accusations inspectors levelled Kamchatrybvod serious violations According local newspaper Citing legality taxes L Andreiko Director Regional Tax Inspectorate accused fisheries enforcement agency Kamchatrybvod along fisheries quota permitted Committee Fisheries Management joint ventures Ekopacific KamchatimpexandMostDruzhbi It wasnotedthat although currency account Kamchatrybvod currency earned selling quotas aforementioned joint ventures accounts taxes Andreiko demanded public apology Markov subjecting inspectors public humiliation Andreiko responding Kamchatrybvod attacks press raise delicate question allowing enforcement agency business selling resources empowered protect Rather concentrated dispute legal aspects The essential matter whether Kamchatrybvod quota amount there other agencies supposedly controlling those things The essential matter rendering service selling quotas aforementioned joint ventures Kamchatrybvod engaged entreprenuerial activity which prohibited This economic activity falls under articles The Law Added Value according which budgetary organizations selling goods labor services become liable taxes added value economic activity No wonder Kamchatka average citizens negative impression joint ventures All resources cheaply sleazy leave cynical worker Russian Japanese joint venture company A worker Regional Tax Inspectorate asked Joint ventures really control And learning Wefeelwe llbefineinafewyears butnow sverydifficultforus The impression fishermen citizens Kamchatka press regarding activitiesofjointventurecompaniesreinforcestheideathatforeignersareuptono Kamchatka waters Russia suffers dollarization economy Boris Kopilov senior inspector administrative assistant Kamchatka Region Branch Governmental Natural Resources Committee Kamchatgoskomprirodi recently spent month American fishing vesselArctic Orion The vessel apparently worked ishery Sea Okhotsk Operating under auspices joint venture Vostok USA Arctic Orion worked quota received through Vostok fishing collective Kamchatka product Japan through daughter company Vostok Ltd Seattle Washington According Kobilov Arctic Orion received quota approximately Kopilov press Two crews worked Arctic Orion imported The latter number occupied positions captain American first captain father American their countrymen trawl factory manager Japanese technologist Chinese The Russian captain second hustled factory Ours worked niggers negri Russian meaning Negro black extremely negative connotations including captain Officially American captain considered advisor But Americans orders captain father first stood watches Ours filled documentation rarely trusted during weather But responsibility captain The Americans decisions anything happened bridge Russian captian choke Kopilov impressed technical prowess Arctic Orion It could autopilot miles within meters marvelled But impressed concern Russia ecology expressed serious concerns vessel discharged sewage discarded garbage directly Sea Okhotsk According Kobilov Arctic Orion brought produce Seattle Every refuse packing materials would gather My recommendation would store garbage holds But cannot ruled following expedition garbage thrown Kobilov American ensured survival incidental catch young better crews Russian vessels working nearby expedition However noted ratio standard weight answer production requirements standard percent percent Kobilov concluded bodes poorly state resources Sea ofOkhotsk I consider general allowable catch exceeded biology poorly studied resources ascertained Under present system quota distribution exploitation reserves there enough years The article concluded xenophobic Not Arctic Orion Sea Okhotsk bridge whole Russian economy green devil stands dollar And negri Moscow farthest edges realm ready fulfill orders dispatch But Arctic Orion mixed Russian Americancrew onlyweanswerfortheconsequences Resentment against intrusion foreign business built steadily Petropavlovsk Kamchatsky during Not I Fishing Port loading personal belongings onboard American transport vessel return theUnited States TheAmericanvesselwas loadingfoodfrom SeattlefortheHolkam supermarket which isrunbytheKamchatkaRegionalAdministration Alocal television journalist filming offload presence foreign vessel still quite novel noticed I speaking English Russian asked interview The journalist asked strange questions Can confirm rumor SnickersbarswegetinRussiahavehighconcentrationsofheavymetals Is ittruethat Holkam America quality often expiration Is American produce radioactive His concern understandable Imported Chinese liquors usually quality poisoned killed unsuspecting consumers throughout Russian Far East Most Russians foreign labels getting hardly trust intentions bosses importingthefood Myassurancesthatthefoodwas fineweremetwithaknowingsmirk Just foreign investment widely regarded Russia salvation years derided false Yeltsin really lowers himself constantly asking foreign credits local journalist newspaper Kamchatsky Komsomolets Just Kamchatka politicians lower themselves asking foreign money regional development It casts Russians verty stricken beggars For scepticism foreign presence Kamchatka citizens themselves forced fulfdl green devil orders Kamchatka truly begins Subsidies credits promised federal government Law North languished Moscow distant bureaucracies since summer victims political upheaval administrative paralysis Now there rumors Law North entirely rescinded reduce Russian federal government budget deficit The prospects improvement regional level equally The Kamchatka Region beginning billion ruble budget deficit The Koryak Autonomous Region billion rubles arrears The detailed numbers offer scant comfort recovery The region economy continues remain critical condition The total level industrial production oblast point approximately close maximum decline This tendency stable minimum defined additional total production volume percent percent place And since beginning radical reform years volume manufactured goods produced Kamchatka Region reducedby percent The volume catch percent output finished marine products percent production conserves times This significantly differs situation processing enterprises Koryak Autonomous Region whose catch volumes increased percent whose production finished marine products increased percent Selling foreigners viable regional economy afloat In keeping official policy Kamchatka Regional Administration maximizing exports generate currency earnings region foreign trade reased significantly Unfortunately region economic policy resulted serious negative trade balance region The region foreign trade turnover amounted million American dollars increased times comparison previous The export ofproducts increased times compared million American dollars imports increased times million American dollars The region exporters joint stock company Akros thejointventureFishRain thejointventureHolkam andtheTOO Limited stock company Inplein The share exports special exporters enterprises exclusive export fights amounted halfofthe total exports region Fish exports amounted excluding million dollars Irina Gromovaya Director Kamchatka Region Commission Foreign Economic Trade offered press detailed picture Kamchatka During months exports amounted million dollars imports million dollars Note discrepencies between dollar export import figures Gromovaya cites those aforementioned Kamchatka Administration report Along statistics Gromovaya explained changes rules exporting Let explain situation Everybody export goods All needed licence export goods materials Butnowwehaveonly5 specialexporters intheregion So means export anything conclude contract region largest special exporter Kamchatimpex followed Akros UTRF Sovrybflot filial Moscow Koopvneshtorg For Kamchatka residents products export through Gromovaya overlookedtheHolkam whichalsoenjoysexport fights Gromovaya admitted export policy failed miserab Instead regulating export Kamchatka Region control export situation The probably bring order exports But result everyday import export picture completely ability regulate exports Until August could exported independently joint venture enterprises But license which again issued special exporter Let Akros example Akros exports product Over months exports total million million region The enterprise imported million worth goods mostly spare parts UTRF exported million Kamchatimpex million I private companies appeared Kamchatka basically export goods bring This includes ecological enterprise Tri brata It exported The trade house Massiv exported The Rust O00 The private company Galinus exported farming company Nadezhda exported All above mentioned companies enterprises export I whether since there wayso fartoknowwhatthey vegotteninreturn Enterprises positive trade balance include joint venture Holkam which exported fishandimported 000inconsumergoodsandanew processing plant village Ozernoi Russian Korean joint venture Ichi Chan which imported worth goods exported worth Both these joint ventures stores selling consumer goods Petropavlovsk Kamchatsky increase their earning ability Gromovaya pointed someofthejointventures thatmosthurttheKamchatkaRegion stradebalance Some joint ventures really publicity For example there Russian Japanese Panamanian joint venture Vulkan called Fish Rain It exporte worth imported goods worth Or there joint venture Eko Pacific which building hotel TsUM Central Supermarket orTsentralniy Universalny Magazin It exported marine products worth Kamsing joint venture between Okeanrybflot Singapore based TOO Implain which exported The clear consistent regulating export further hampers efforts regional administrators bring order system Russian export stands confusing welter Presidential decrees orders outdated Soviet hardly adequate handle Russian Far East burgeoning outflow natural resources High national taxes unpredictable economic political climate assure currency profits overseas secure shore banks The Kamchatka Region Standing Legal Commission working region Foreign Trade Commissio But Legal Commission Chairman Viktor Yershov during recent interview They haven shown interest process attention requests writing legislature Right chaos The Kamchatka Regional Administration attempt bring region nosedive increasing foreign trade meeting scant temporary success For example theadministration efforts toheadofftheregion crisisledtothepurchase of2tankerloadsoffuel tonseachfromSingapore inDecember andapossible contract tobuy50 000tonsoffuelfromtheUnited States SincetheMinistryofFinance andtheRussianForeignTradeBankrefusedtograntKamchatkacreditstobuythefuel interest loans banks amounting billion rubles The Administration covered money local debtors Kamchatenergo Kamchatka Region energy administration citizens freezing their apartments during winter But doing doubled region budget deficit barely begun guarantee another three months regional administrationwillbescramblingtofind fuelonceagain The Administration pressing forward supplement energy supplies tapping reserves natural village Sobolevo about kilometers Petropavlovsk Kamchatsky Since Russia industrial supply system broken Administration arranging piping equipment companies Regular supplies natural scheduled arrive Petropavlovsk Kamchatsky beginning Planning preparation continues grandiose Mutnovsky Thermal Generating Plant volcano kilometers Petropavlovsk Kamchatsky But success these plans depends finding money somewhere depleted coffers federal regional government Although Prime Minister Viktor Chemomyrdin claimed liked Mutnovsky project visited Kamchatka summer Russian federal government construction subsidies Work The Mutnovsky plant under construction years little rusting pylons holes drilled ground inspires little confidence wisdom these projects And building natural pipeline through mountainous terrain Sobolevo Petropavlovsk Kamchatsky longer years regional administrators project Grand plans ignominious deaths Russia Petropavlovsk Kamchatsky Vostochnaya Broiler Factory another example regional administrators intentioned plans backfire During summer Kamchatka Regional Administration arranged purchase large quantity chicken Tyson Foods Incorporated The chicken known locally Klintona Clinton honor American president allowing A rctic Alaska Seafoods Seattle Washington substantial pollock quotas Russian waters It seemed around Kamchatka fishing enterprises catch their quotas The region would quality protein return Except turned cheap Klintona flooding market drastically undercut demand expensive locally raised chicken Now Broiler Factory close entirely Its workers unemployment grumble about foreigners putting business And swept usual rumors citizens suspect Klintonahave passed their expiration average Americans chicken because dosed dangerous additives Legal confusion presents daunting challenge entire Russian fishing industry There still fishing rigged rickety framework outdated legislation governmental decrees presidential orders Soviet power turned bezvlastia roaring power vacuum Russian government And bezvlastia wealth trickeled Russian fishing industry Moscow The newly enacted Yeltsin Constitution doesn provide system easily turning legal leftovers Soviet Union coherent legal system Instead decree order reviewed seperately parliament The fishing Russia destined become fodder political infighting ratherthanthebasis forarationalsystemofmarineresourceuse January government reorganization denied fishermen powerful representationinRussia federalsystem Insteadofbeingincluded intheCouncilof Ministers along Ministry Agriculture example Committee Fisheries Management lower executive committee status latest insult since August Ministry Fisheries became agency Ministry Agriculture It languished unhappy status until spring again became independent But political squabbles years fruitless economic reformstookaheavy CommitteeChairmanV F K0relskyremarked Everything everybody gotten muddled First financial situation difficult There money enterprises billion rubles unpaid debts Destructive credit policies imperfect ruinous system important fishing enterprises verge bankruptcy And privatization second variant whereby workers controlling stock resulted egoism certain bossesfortheirownbenefit Bezvlastia means Kamchatka fishing industry forced alone During recent interview Mikhail V Dementyev heads Kamchatka Region Fisheries Department We haven direction Moscow during We ofpolicy ourselves Basically handled We general political vertically Moscow implement horizontally Kamchatka Region Governor Biryukov As total allowable catches Russian Far East basin established Vladivook Dalryba partipants Kamchatka Sakhalin Magadan Khabarovsk Primorye What different taken direct responsibility distribute quotas regional users The state affairs gives Kamch Region Fisheries Department tremendous responsibilities great power economic health region fishing enterprises We enterprise performance worked Dementyev If enterprise catch quota awarded quota anotherenterprise Wewant support vigourous enterprises Dementyev reacted strongly criticism Kamchatka independent fishing enterprises Kamsudo which claims being treated unfairly under presentquota distributionsystem We tjustgo offand givethesenewcompanies heatedly We think about traditional users theyhavealotofworkerstosupportandlarge fleetstokeepbusy The system opened quickly We balanced approach continued We companies little quota prove process bring benefit Kamchatka Dementyev poorly chilly office Kamchatka Regional Administration Mai Building Administratsiya downtown Petropavlovsk Kamchatsky Nextto itisaheroicstatueofLenin avastgranitefiguregesturinggrandly Avacha Bay I I there My starts wander Dementyev talks about fishing quotas light His words weightless intelligent forthright sounding conjecture nevertheless Nobody moves these Russia without government considering paralyzing standoff between Congress People Deputies President Yeltsin before October shoot Moscow Nobody knows happen Kamchatka government stripped barest administrative functions There local representative government until after elections March policy proxy Kamchatka governor inner circle But sword hangs political sweeping Russia Kamchatka Region politicians regret their ardent support democracy markets Bezvlastia castthem adriftontheedgeofRussia Apparatchiki nachalniki never credit initiative under Soviet system They appointed orders think Now protect their system running little tufta modest rewards things Some criminal honest events overtook survive these times unscrupulous ruthless Now survival because nobody knows happen Corruption dollar about confidence thenew Russia rhetoric I explore topics newsletter which about general conditions Petropavlovsk Kamchatsky Russian Far East I found I include notes interesting excursions I summer Until considertheRussianFarEast political situationin lightofasaying Kamchatka native people Koryaks under This shoot falls pinning beneath corpse Somehow unpleasant image reminds I I prepared leave Petropavlovsk Kamchatsky people killed communism corpse Butmythoughtson aremuddyandemotional Best wishes Peter H Christiansen Footnotes 10keanrybflotemploys6000workersandhas20factoryprocessingtrawlers Itisoneof Petropavlovsk Kamchatsky oldest largest fishing enterprises Kamchatka Television report January Chronology Conflict Rybak Kamchatki February Weekly Report Rybak Kamchatki January Petropavlovsk Kamchatsky Big Six Tralflot UTRF Okeanrybflot Rybkholodflot Seroglazka formerly Lenin Kolkhoz Kamchatrybprom Akros All Big Six privatized during years joint stock companies ForWhomis thisAdvantageous RybakKamchatki January21 Seven Days February Rybak Kamchatki February Page Report Rybatskiye Novosti December ThePrivatizationofthePrivatized RybatskiyeNovosti47 December The Social Economic State K amchatka Region Vesti February It sHardToCatchTheHeadmen Vesti January5 Theft Broad Daylight Vesti January HowMuchisanInspectorWorth Vesti January25 IntotheHandsofPoachers KamchatskayaPravda January27 ShallWeCallASecondForADuel KamchatskyKomsomolets February Was It Theft Vesti February TheSeaOfOkhotsk sGreenDevil Vesti January26 The Social Economic State Kamchatka Region Kamchatskaya Pravda February GoAheadAndCheck Vesti February ANewTimeHasCome RybakKamchatki January Received Hanover