The cooperation of sustainable development
Funded by Euregio Karelia Neighbourhood Programme 2001-2006

Objective of the project

The purpose of the project was to build a logistical entity, testing discarded appliances or selected construction materials, repairing and forwarding them to shops founded in Finland or transporting them across the border.

Main activities

• to promote sustainable development by collecting used household appliances and construction parts, which would then be forwarded in an economically sustainable way for reuse in Russia. • to create opportunities for activating disabled citizens and their organisations in the Russian cooperation regions and helping them to get employed themselves.

Achievements

The purpose of the project was to operate jointly with a neighbourhood project, which, however, failed to secure financing, and it was not possible to support the operations of the Russian party in the project. Therefore, the Russian cooperation did not succeed as planned. Also, the prices of the household appliances intended for export failed to meet the requirements of the calculations of the Russian Customs, who charged for them based on a higher price, including VAT. This raised the price of the goods intended for export too high. Because of the issues mentioned above, the objective of introducing the model of self-motivated employment to the neighbouring organisations of disabled people did not materialise. The project designed, built and installed test lines for used household appliances and acquired the appropriate retail shops in several regions for the household appliances and construction parts accumulated in connection with the project. A goods procurement network was established for the retailers, and details about transport connections were collected for the transport of goods. Most of the clients of the shops were Russian, and the shops turned, for their part, into a means of trade in used household appliances and construction parts. It turned out to be possible to export goods to Russia by private citizens, even though the procedures varied from one customs station to another. Afterwards, the Russian Customs have set up restrictions for the number of duty-free import visits and the amounts respective to private citizens, which also reduces the sale of used household appliances to Russian clients. On the initiative of the project, however, household appliances and construction parts were introduced for reclaim, which enhanced the development of sustainable development. For example, the village committee of Nakertaja-Hetteenmäki, which participating in the project, estimated the impact of the project to be positive, as the project helped the village committee to start a test line, which still operates in the testing and repair of used household appliances. The project increased the Russian cooperation of Tervatulli Oy and the general cooperation in the area of the Bothnian Arc. Tervatulli Oy has subsequently been involved in several development projects.