KOTRA Strengthens CIS Entry Strategy... Initiates New Northern Cooperation

[Financial News]  The Korea Trade-Investment Promotion Agency (KOTRA) announced that it will host the CIS Regional Trade and Investment Expansion Strategy Meeting held in Almaty, Kazakhstan on the 16th, to address geopolitical risks and strengthen new northern cooperation.
KOTRA has focused on resolving difficulties faced by our companies and seeking new opportunities in the CIS region, where the business environment has significantly changed due to geopolitical risks such as the Russia-Ukraine war. They conducted an intensive review of related issues, export, and investment entry support strategies with 10 trade representatives from the CIS region.
At the meeting, to respond to the global complex crisis in the CIS region, 10 trade representatives from 7 CIS countries, including Russia and Ukraine, attended and continued discussions on topics such as △the strategy for spreading the Korean business success model in Central Asia △the strategy for entering the untapped markets of the Caucasus three countries △ways to expand Korea-Russia economic cooperation to support our companies' entry into the CIS region.
The CIS region is emerging as a market offering new opportunities for Korea as it undergoes a supply chain restructuring transition. While possessing the world's largest level of resources, most industrial goods are dependent on imports, creating significant potential for mutual cooperation with Korea.
Despite the expansion of export control items, Russia was the 9th largest export destination for SMEs as of 2024, and Kazakhstan recorded a 19% increase in exports, reaching 2.3 billion dollars as it emerged as an alternative production base in the region. Mongolia achieved a record high of 580 million dollars with a 20% increase in exports, and it is an even more promising market as it is about to conclude the Korea-Mongolia Economic Partnership Agreement (EPA).
Additionally, KOTRA plans to spread the successful Mongtan (Mongolia + Dongtan) business model based on Hallyu to Central Asia. Convenience stores, franchises, and the medical and bio industries are considered promising industries for entry into Central Asia, and KOTRA will support this through Hallyu Expos and local large distribution network entry projects.
They will also refine support strategies for the three Caucasus countries (Azerbaijan, Georgia, Armenia) that have not yet been entered. By establishing a trade office in Tbilisi, Georgia, which has signed an Economic Partnership Agreement (EPA) with Korea, they aim to enhance market accessibility and expand short-term export results by targeting the local government's major policy of 'medical advancement and infrastructure improvement'.
KOTRA is continuously operating the 'Russia-Ukraine Situation Emergency Response Team' to monitor local trends and resolve difficulties faced by Korean companies in response to the recent changes in the Russia-Ukraine situation. To support the new government's national agenda of 'developing an Arctic route entry base', they plan to strengthen support for port, shipping, and logistics companies' entry into the Arctic route through report publication and monitoring of Russian government policy trends.
Kang Kyung-seong, President of KOTRA, said, "Although the CIS region has high value as an export foothold, there have been limitations in our companies' entry and export expansion due to geopolitical risks. KOTRA will focus all efforts on creating stable business opportunities and new opportunities for our companies in the strategically important CIS region for export market diversification."

security@fnnews.com Park Kyung-ho Reporter