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Eastern Ukraine's Donetsk region has long been recognized for its natural and industrial resources. Rich in coal and other minerals, the region developed rapidly as a center for mining and steel production, as well as machine manufacturing. Donetsk is the most densely populated region of Ukraine: its population of 5.3 million resides within an area of 26,540 square kilometers. It borders to the east with Russia's Rostov region; in the south, the Sea of Azov, which flows into the Black Sea, provides the region with abundant shipping, fishing and tourism opportunities. The city of Donetsk, Ukraine's fourth largest city, has a population of nearly 1.5 million; its nickname is the City of Roses, referring to lush rose gardens that color many of its parks.

Zaporizzhia Cossacks, who inhabited the region since the 17th century, are the first-known settlers of the region. Even then, Donetsk region was valued for its natural resources. The Cossacks took advantage of coal deposits, calling this plentiful mineral the burning stone. The first industrial coal mines appeared at the beginning of the 19th century. As industrial development continued to progress, the region soon became recognized internationally as an industrial hub -- this reputation is still enjoyed by Donetsk today.

The Donetsk region also bears a strong tradition of foreign involvement in business and industry. When the government commissioned the construction of a metallurgy plant in 1869, it was the British manager John Hughes who was invited to manage the factory. Hughes' favorable imprint on the local surroundings is evidenced by the fact that one of the first industrial towns created during this era was called Yuzovka, or little Hughes. Vestiges of pre-Soviet foreign influence in Donetsk remain. For example, the geometrically squared streets of Donetsk defy the more random pattern of Soviet city planning; in addition, older citizens still refer to the city's main streets as the first line and the second line" instead of Artema Street or Lenina Street.

City Focus: Mariupol
Perhaps one of the most dynamic cities in the Donetsk region is Mariupol. Originally founded as a Greek settlement in the 18th century, Mariupol today is one of Ukraine's busiest seaports. Its proximity to the Russian border enables this city to serve as an important trading link between Russia and Europe. With a population of 530,000, Mariupol accounts for a significant share of the region's income. The metallurgy plants, Azovstal and Ilych, are among the largest in Ukraine and have not gone unnoticed by foreign investors. Azovstal will be receiving a $20 million loan from the Bank of Austria to restructure its oxygen equipment. The machine manufacturing factory Azovmash is well-known for its tank containers for both liquid and dry cargoes. Mariupol plans to enhance its attractiveness as a center for business and industry by becoming a free economic zone.

Agriculture and food processing in Mariupol includes items such as meat, fish, confectionaries, dairy products and alcohol. Many factories in this sector are currently in need of investments in order to further develop or update production facilities. For example, the Mariupol Fish Cannery is seeking credit to purchase packaging equipment. The Mariupol Dairy Factory, which is renowned for strictly adhering to rigorous quality and environmental standards, seeks investors for packaging equipment, as well as equipment for producing ice cream.

 

From:  http://www.sez.donetsk.ua/E/ra/corner.shtml


Last Updated:  21 January 2002

Copyright © 2002 Lori Bragg
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