Lithuanian industry: features and specifics

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

Practically no state in the world exists without any enterprises. This applies even to those powers where agriculture is a priority, which also cannot do without special machines, mechanisms and equipment. In this article, we will study the industries of Lithuania, their fixed assets and the income level of the population.

General information

The B altic country for a very long period of time was characterized by a stable development of the agricultural sector with almost no technical progress. The real breakthrough in this direction came when Lithuania became part of the Soviet Union.

It was then that the industrialization of the country began, which manifested itself in the large-scale construction of various plants, factories, power plants. Lithuania also received additional stimulation when the territory of Klaipeda, a region with a B altic port, became part of the state. It is worth noting that the volume of the gross product per capita of Lithuania, whose industry and agriculture were then on the rise,was ranked 39th in the world.

Reverse side of the coin

But a period of tremendous growth was followed by a sharp decline, which marked the collapse of the USSR. Since Lithuanian industry was very dependent on the entire state machine of the Soviets, it suffered quite a lot. Nevertheless, the government of the B altic state was able to establish a new banking sector and its own financial system, as well as carry out large-scale privatization. But the most important thing is that the country's leadership managed to prevent the shutdown of enterprises and keep the standard of living of citizens at an acceptable level.

Real day

In 2019, the country set a living wage at the level of 555 euros (41,000 rubles). At the same time, Lithuanian industry provides 31% of the country's total GDP. At the same time, in terms of ease of doing business, the state ranks 19th in the world according to the World Bank.

Oil sector

After Lithuania gained independence, it inherited the Mazeikiai oil refinery from the USSR. This enterprise has a capacity that doubles the needs of the population in oil. And it is located 100 km from the sea coast.

Raw materials for the giant were supplied mainly from Russia, however, after the sale of the plant to foreigners and against the backdrop of the current political world situation, today supplies from the Russian Federation to the enterprise have almost been reduced to zero. Moreover, in order to ensure independence from Russia, the newest oil terminal in Butinge was built on the B altic coast, which, in turn, allowedreceive "black gold" from other countries.

In 2006, a serious man-made accident occurred on the B altic branch of the Druzhba oil pipeline, as a result of which this section of the transport pipeline is still closed.

Life in the European Union

In 2004, Lithuanian industry, after the country joined the EU, already accounted for 23% in the structure of the gross domestic product. The main industries in this case are chemical and processing. Textile and oil refining areas, instrument making also began to actively develop.

Energy

Electricity in Lithuania is produced at Kaunas CHPP and Elektrenai GRES. It is important to note that upon accession to the EU, at the request of this association, the only Ingalinsk nuclear power plant in Lithuania was closed. In 2010, an energy bridge was built to Lithuania from Sweden. The production of gasoline in the B altic country is carried out at the Orlen plant, which is supported by Norwegian and Finnish enterprises that supply raw materials.

2004 was marked by the commissioning of a liquefied gas terminal called "Freedom", which is located in Klaipeda. Before it appeared, the Russian Gazprom had been a monopoly in the issue of deliveries of "blue fuel" to Lithuania, but the new terminal changed the situation, since it began to receive gas from Norway in rather large volumes. Moreover, this happened for political reasons, since Norwegian gas is more expensive than Russian. In general, licensedGas sales companies in Lithuania are:

• "Letovus dues" is the owner of all gas pipelines in the state through which fuel is transported to the population.
• Achema and Josvainiai are companies supplying gas to specialized enterprises.

An alternative direction in Lithuania for the production of electricity is the use of wind energy.

Engineering

About 100 enterprises for the production of machines, mechanisms and metalworking are based in Lithuania. The machine tool industry is well developed in the country. The main factories of this profile are located in Zalgiris, Vilnius and Kaunas. Also, medium and low power electric motors are produced in Lithuania.

The production of various agricultural fertilizers, fibers and plastics for various needs has been adjusted. The centers of the chemical industry are Jonava and Kedayanyaya, where they also produce superphosphate, ammophos and phosphoric acid.

Not to mention the pharmacological sector, which specializes in the production of a variety of injectables.

Food industry

The Lithuanian food industry can be briefly described as follows.

There are about 120 food production enterprises in Lithuania. Also, 8 large meat processing companies operate in the country, supplying their products both to the domestic market and abroad. Klaipeda is the real center of the country for the production of canned, s alted and smokedfish.

Conclusion

What else can Lithuania boast of? Light industry is also an area that actively replenishes the country's budget. At the moment, about 500 companies are registered in the state, which employ almost 60 thousand people. The garment industry stands out in particular, employing almost half of the country's light industry personnel.

Also, we will not ignore the textile industry for processing flax, which is supplied to Lithuania from Ukraine, Germany, Belgium, and Denmark. At the same time, almost all finished products are ultimately delivered to the European Union.