VLADIMIR KARNOZOV / MOSCOW

Removal of 20% import levy not now expected until at least next year despite pressure from aviation community

The Russian government is expected to delay a decision on removing a 20% import duty on foreign aircraft types until at least 2004, despite pressure from the business aviation community to eradicate the tax earlier.

Eugeny Bakhtin, president of the Russian business aviation association, says "silly taxes" are forcing business aircraft owners to place their aircraft on foreign registers, leading, he says "to jobs being created in Europe rather than Russia".

He says last year 10 high-end business aircraft were sold to Russian-based owners, including two Boeing Business Jets, two Dassault Falcon 900EXs and a Bombardier Global Express, which translates to more than $300 million in sales. Only one of these was imported and placed on the Russian register.

Added to this, Bakhtin says VIP charter flights last year grew by around 45%, yet the bulk of the demand came from international flights serviced by Western operators "as local companies are inadequately equipped to compete".

Russia's business aircraft fleet totals around 100, including a clutch of Western-built designs. The majority, however, are older Russian-types, including variants of the Yakovlev Yak-40 and Tupolev Tu-134 regional jets, which are not suitable for international operations as they do not comply with international Stage 3 noise requirements.

New indigenous programmes have either been shelved, like the Yakovlev Yak-48 twinjet, or are progressing slowly, like the Tupolev Tu-324, which is not expected to meet its certification target of 2005.

The only indigenous programme planned as a large cabin competitor to Western-built designs is the 10- to 12-seat version of its Antonov An-74TK-300 regional, which received certification last year. A dozen earlier An-74 variants are already in service as VIP aircraft.

Source: Flight International