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Journal section "Sustainable development of territories, branches, and production complexes"

Tools to Promote the Upgrading of Manufacturing Industries in the Regions

Mazilov E.A.

4 (84), 2016

Mazilov E.A. Tools to Promote the Upgrading of Manufacturing Industries in the Regions. Problems of Territory's Development, 2016, no. 4 (84), pp. 47-60

Abstract   |   Authors   |   References
The industrial complex is the backbone of Russia’s economy. Areas with developed industry are the best competitors not only in Russia but also at the global level. Innovation activity is considered to be a priority direction of development of domestic manufacturing industry in the short term, because it generates and implements innovations. Manufacturing enterprises act as initiators of scientific and technological developments. At the same time, innovation development of domestic manufacturing industry lags considerably behind the leading economies of the world. The result is a constantly growing technological backwardness of the Russian economy and the declining competitiveness of enterprises, which is aggravated by negative external political and economic factors. The policy to enhance innovation processes that is currently implemented in the Russian Federation is not sufficiently effective, and the measures proposed are not always systematic in nature. One of the tools to support innovative activity is the formation of institutes for development of industry. At the same time, despite the active formation of such structures, their activities not always bring real support and the services rendered are often only formal. Therefore, the problem of formation of institutions for development of innovation activities in the manufacturing industry providing real support to enterprises should be a priority of economic development, both at the federal and regional levels. The paper considers in detail the problems of development of Russian manufacturing industry. It proves that the major issue is lack of funds for the development of production. The author analyzes the current system of tools that support the manufacturing industry at the federal and regional levels. The article proposes the activities that aim to create the an industry development Fund at the regional level; the purpose of this fund is to provide financial support to specific priority projects in the framework of which high-tech competitive products are produced, this also includes the implementation of import substitution policies. Furthermore, the article presents the results of the forecast of the socio-economic effect that the formation of the tool proposed can help achieve

Keywords

industrial complex, regions, innovations, economic growth, import substitution, support tools, high-tech industries, industry development fund

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