Favorable climatic conditions, availability of the fertile lands and recoverable reserves of some minerals have extensively defined priorities of economic development of the Republic of Adygeya. It acts as the supplier of various agricultural raw materials, metal products, timber with wood-working, and food industries.

Adygeya, a young subject of Russia, became a republic in 1991. It has got its name after the adyghs, one of the oldest nations of Caucasus. Adyghs got their first recognition and autonomy almost 80 years ago. In 1992 on the 22 of July Adygh [Circassian] autonomous region was established by the resolution of Government of Russian Federation. Circassian autonomous region was the part of the Krasnodar region for more than 50 years.

Adygeya is a member of Association of social and economic collaboration of republics, regions and districts of the North Caucasus. It has got economic, social and cultural relationships with Moscow, Krasnodar region, Kabardino-Balkarian Republic, Karachaevo-Circassia, Dagestan, Ingushetia and North Osetia. Many enterprises and organizations of our republic are represented at the world market.

For the last years the Ministry of Economic Development and Trade has passed its way of foundation, changes connected with structure, functions and authority.

The history can be viewed in brief.

From 1988 to 1991 Planned and Economic Department of Local Authorities of Adygh autonomous region.

April, 1991 - It was changed into the Committee of Economy.

March, 1992 - Committee of Economy and Prognosis.

June, 1993 - It was changed into the Ministry of Economy of the Republic of Adygeya.

March, 1994 - Ministry of Economy and Finance.

February, 1995 - Ministry of Economy.

June, 2001 - Ministry of Economic

Development and Trade of the Republic of Adygeya.

The main aim of economic authorities were to analyse the state of economy and prospects of its development.

Active development of all branches of national industry by making laws, working out special programs and support of prospective branches of industry are of the first priority. All these measures lead to international and inter-regional collaboration and to increasing the republic's independence.

When the Adygh Autonomous Region was established in 1922, the industry was represented by, for the most part, cottage industry and agriculture with only 3 state farms with sown area of 51,4 thousand hectares. Only 7 types of industrial products were manufactured, for the most part, food and wood products. Gradually, the industry was developing and with it building complex and agriculture.

Today there are more than 90 big and small enterprises which represent 11 branches of industry.

The leading branch is food industry, its part in general volume of production is 50%.

Factories of food industry produce meat and fruit vegetable cannery, confectionery, paste, wine, beer and dairy products.

Stock companies "Cannery "Adygeiski", "Fabmay", "Maykop Confectionery Factory" produce products of the highest quality that are much in demand not only in Adygeya but in Russia and abroad. Great are the timber resources of Adygeya, which are represented, mainly, by hard-wood conifers.

Timber industry is one of the last developing branches. Rating of dominant wood-cutting area is 103,7 thousand cubic metres, of minor area - 92,4 thousand cubic meters a year.

A lot of products manufactured in the republic are exported abroad. They are products of machinery construction, woodworking and light industry factories. Some prospective factories, such as "Kurmel-Guie Synthetic Ambalazh Sanai Maykop Ltd." producing sacktare and "Lukoil-Adygeya Ltd." packing up engine-oil, are established in the republic.

Agricultural products are produced by 1,5 thousand holdings of different types: joint-stock companies, associations, state farms. The sown area is about 200 thousand hectares and allows to produce 500 thousand tons of grain, about 40 tons of vegetables and about 190 thousand tons of sugar-beet. In 2001 gross yield of grain has reached 350 thousand tons. Agriculture is one of dominant sectors of economical development.

Such branches of industry as stock-breeding, poultry-farming and fishery are highly developed. The region has got all conditions for stock-breeding development and its production can reach high results: milk - 125 tons, meat - 40 thousand tons.

Grain crops, industrial crops and vegetables form the most important part of plant-growing. Here different crops are grown: wheat, oat, maize, rice, rape, sunflower, apples, pear, plum, cherry, grapes and medical plants. Tea is the object of pride. The "nothernest" tea in the world is popular with tea-lovers. The Maykop Plant-growing Station named after N.I.Vavilov is more than 60 year old.

Here new sorts and hybrids of fruit and vegetable corps are created. The station possesses one of the biggest fruit corps collection in the world.

Horse-breeding has always been the national pride of Adyghs. This abandoned branch is being revived now. Specialists of the State Stables and Maykop horse-breeding nursery are developing sport horse-breeding. The races are good opportunity to invest money.

Adygeya is situated on the picturesque slopes of the North-West of the Caucasus.

Its area is about 7800 square kilometers with population of about 450 thousand people of more than 80 nationalities. The main and most ethnic group are Russians and Adyghs. The density of population is about 57 people per square km - one of the highest in Russia. The Republic consists of two towns, seven regions and five settlements. The number of able-bodied compiles 250 thousand people, and of pensioners - 125 thousand people.

The Republic of Adygeya is situated within the Krasnodar region and has no borders with other subjects of Federation. The capital of the Republic - Maykop, 160 km from Krasnodar. The nearest ports are Tuapse (150 km) and Novorossjisk (270 km).

There are railway lines, motorways and airlines to Moscow and another cities of Russia, and to some countries abroad. International airport "Hanskij" executes flights to Moscow, Armenia, Turkey and Syria.

Local trains take passenger to the junction station Belorechenskaya, to the coast of the Black Sea - Tuapse, Sochi, Adler and to the foothills of Caucasus Mountains.

The Republic has got rich resources of minerals. There are deposits of clay, sand, cement, loam, limestone and facing stones.

There are 30 prospective projects of gas and oil deposits. That can provide 111 millions tons of fuel increase. The oil-prospective area is about 70% of the Republic's territory, that is 5500 square km. Oil-resources compile 34 million tons.

To develop building and timber branches and oil-gas industry road-building complex should be extended. It will make the transportation of raw materials and products stable.

Favourable climate, nature deposits and fertile soil determined priorities in the economic development of the republic.

Adygeya is the supplier of agricultural products, machinery, products of timber and woodworking industry. Deposits of mineral and thermal waters provide the building of resorts.

Tourism is one of the capacious branches in republic. Landscapes of Adygeya allow to found tourist industry. Nowadays the present resorts are full and in spite of this fact the potential is not realized completely.

There are a lot of places of interest in republic. Big Azishskaya and Dahovskaya caves, waterfalls, Big Rufabgo canyon attract tourists.

Tourism can develop in the following way: hunting and fishing; excursions to the mountains; ski-tracks; health resorts; extreme sports; mountaineering, rafting, mounting-biking; routes "through-the-mountains-to-the-sea"; history, customs and traditions of the nation.

Competitive policy in Adygeya is one of the most important instruments to rule the economic processes. Economy must be able to solve social and economic problems. It should provide conditions for competition and enterprise and must support the producers.

Small business in Adygeya is overcoming its crisis and is gradually developing. Business provides people with jobs and sates the market with different kinds of goods and services.

More than 30% of able-bodied population is in business.

The Republic of Adygeya strives for widening of international economic connections.

Organizations and associations have trade-partners in more than 30 countries, including Germany, Turkey, France, Italy. Adygeya exports different kinds of reducing gears, equipment, rice, cannery, oil-yielding crops and timber.

More than 50 organizations work with foreign investors - British, French, Turkish, Syrian companies.