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Thursday, November 6, 2014
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AKM closed +6.5% at A$0.049 Wednesday on the announcement
Aspire Mining signs agreement with China Railways for Erdenet to Ovoot rail
November 5 (Proactive Investors) Aspire Mining (ASX:AKM) has signed an engineering, procurement and construction framework agreement with a China Railways Construction Corporation subsidiary for the Erdenet – Ovoot section of the Northern Rail Line in Mongolia.
Given CRCC is a Fortune 500 company this is a strong endorsement and vindication of the project.
The rail line is a key requirement to unlock the value of the Ovoot Coking Coal Project and future earnings from mining and production from the project for Aspire.
The agreement provides the basis for Aspire's wholly-owned subsidiary Northern Railways LLC and CR20G to negotiate for the award of a fixed price, lump sum turnkey EPC Contract.
This will cover Phase 1 of the Northern Mongolian Rail Corridor extending rail from Erdenet heading west to Aspire's wholly owned Ovoot Coking Coal Project.
Chinese financial institutions have now commenced preliminary financial analysis for both the Ovoot Project and the Erdenet – Ovoot Railway.
The execution of the Framework Agreement follows the recent inclusion of the Northern Rail Line in the Mongolian Government's National Rail Policy and the inclusion of Phase 1 (Erdenet – Ovoot) on the Concession List of approved projects.
"We are very pleased to welcome China Railway 20 Bureau Group as a strategic partner with Northern Railways to build this important rail project," managing director David Paull said.
"CR20G's keen interest to work with Northern Railways as we continue to await the grant of a concession clearly indicates that it shares the same vision and intent as both Northern Railways and the Mongolian Government to see rail developed in the north of the country.
"We are also pleased to also have the support of CR20G for access to Chinese financing and look forward to progressing with other interested financial institutions as we compile a total funding package."
EPC Framework Agreement
The Framework Agreement with CR20G covers the completion of engineering work over the Erdenet – Ovoot section of the Northern Rail Line.
It also provides a basis for negotiations between Northern Railways and CR20G for the award of a fixed price, lump sum turnkey EPC Contract upon the satisfaction of certain conditions.
These conditions include the appropriate allocation of risk, adherence to international standards and codes of practice, and the receipt of necessary permits and licenses to be awarded to Northern Railways.
In addition, CR20G will assist Northern Railways in sourcing project financing from Chinese and other financiers.
Financial institutions in China have now commenced preliminary due diligence on both the Ovoot Coking Coal Project and the Erdenet – Ovoot Railway economics.
CRCC has significant engineering and construction capabilities working on major projects including roads, highway, light and heavy rail, bridges, tunnels, housing and other projects both domestically in China and internationally.
CR20G employs over 20,000 personnel and has significant international experience completing recent rail projects in Angola, Mongolia and Mozambique.
Mongolian Rail Policy
The execution of the EPC framework agreement follows the Mongolian Government's decision to approve the Erdenet – Ovoot – Arts Suuri Railway as part of its new National Rail Policy.
This includes the addition of the Erdenet to Ovoot railway onto the Mongolian Government's Concession List of '"Approved Projects".
In the medium term, the Erdenet to Ovoot railway is positioned to form a critical link within a highly strategic rail network connecting the Ulug Khem coking coal basin in Russia's south with the Trans-Mongolian Railway through to China.
The Ulug Khem coking coal basin is estimated to contain approximately 2.5 billion tonnes of metallurgical coal reserves and when combined with Aspire's wholly owned Ovoot Coking Coal Project, will represent a major new long term source of high quality coking coal.
Exports from this very large coal basin in Russia to China are expected to provide substantial transit freight volumes for both the Erdenet to Ovoot railway and the Trans-Mongolian Railway.
In September, Mongolia reached a rail agreement with Russia that included a study into an extension of railway from Erdenet, past Ovoot and linking into the Russian rail system.
This means that the Northern Rail Line is no longer solely dependent on freight volumes from the Ovoot Project alone with potential for Russian transit freight volumes improving its economics.
Mongolia also reached agreements with China that provide Ovoot with more efficient transport across border points; allow negotiations for rail access to a number of Chinese North-Eastern seaports; and potentially access Chinese financing.
Ovoot Coking Coal
The Ovoot Coking Coal Project in northwestern Mongolia has a JORC Resource of 255 million tonnes and is the country's second largest coking coal reserve behind the government-owned Tavan Tolgoi project.
Initial production is estimated to commence in 2018, producing 5 million tonnes per annum of saleable coking coal and increasing in subsequent years to achieve full scale production of up to 10Mtpa from both the open pit and underground operations.
Capital costs to achieve initial production is estimated at US$144 million with operating costs of between US$76 and US$86 per tonnes Free-On Rail at the Chinese border for the first two years of operation, and between US$82 and US S$92/t over the first five years.
The project – along with the Tavan Tolgoi – has also been recognised as one of the key potential coal suppliers to Mongolia's Sainshand Industrial Park.
Current offtake interest in Ovoot coking coal exceeds targeted production with MoUs signed for up to 7.4 million tonnes per annum, or 148% of planned initial production.
It has also signed a non-binding MoU to sell up to 250,000 tonnes of oxidised coal per annum to Zavkhan Power Station about 70 kilometres south of Ovoot.
This provides a potential revenue stream from a product that would otherwise have been considered a waste material.
The MoU includes the construction of transmission infrastructure that will allow the supply of 35 megawatts of power per year to Ovoot.
The execution of the EPC framework agreement is a milestone for Aspire Mining and takes the key Erdenet to Ovoot Railway a step closer towards development.
In addition, China Railways Construction Corporation is a Fortune 500 company and one of the world's largest international rail engineering construction firms.
This provides a strong endorsement and vindication of the project.
The rail line is a key requirement to unlock the value of the Ovoot Coking Coal Project and future earnings from mining and production from the project for Aspire.
Proactive Investors continues to maintain a 6 – 9 months share price target of $0.125 per share subject to the Northern Rail Line concession being granted for NRL.
Aspire had $4.27 million in cash as of 30 September 2014.
TRQ down -3.37% to US$3.15 Wednesday, with -4.12% correction on Tuesday erases gain made in previous 3 days to +1.28%
Turquoise Hill to Announce Third Quarter Financial Results on November 10, 2014
VANCOUVER, BC--(Marketwired - November 05, 2014) - Turquoise Hill Resources will announce its third quarter financial results on Monday, November 10, 2014 before markets open in North America.
The Company will also host a conference call and webcast to discuss third quarter results on November 10, 2014 at 11:00 am EST/8:00 am PST. The conference call can be accessed through the following dial-in details:
North America: 416 340 8530 | 800 769 8320
International: +1 416 340 8530 | +1 800 2787 2090
The conference call will also be simultaneously webcast on Turquoise Hill's website at www.turquoisehill.com. An archived playback of the call will be available on the company's website.
MSE News for November 5: Top 20 +0.65% to 15,499.17, Turnover ₮4.1 Million
Ulaanbaatar, November 5 (MONTSAME) At the Stock Exchange trades on Wednesday, a total of 3,350 shares of 7 JSCs were traded costing MNT four million 101 thousand and 640.00.
"Genco Tour Bureau" /3,000 units/, "Makh Impex" /140 units/, "Material Impex" /99 units/, "Darkhan Nekhii" /47 units/ and "Tavan Tolgoi" /40 units/ were the most actively traded in terms of trading volume, in terms of trading value were "Material Impex" (MNT one million 643 thousand and 400), "Darkhan Nekhii" (MNT 823 thousand and 600), "Atar Orgoo" (MNT 612 thousand), "Makh Impex" (MNT 518 thousand and 140) and "Genco Tour Bureau" (MNT 259 thousand and 500).
The total market capitalization was set at MNT one trillion 549 billion eight million 919 thousand and 901. The Index of Top-20 JSCs was 15,499.17, increasing 99.66 units or 0.65% against the previous day.
₮4.5 Billion Treasury Bills Successfully Traded on MSE
November 5 (infomongolia.com) In accordance with the Financial Regulatory Commission Resolution No.389 dated from October 21, 2014 and the Decree No.169 of CEO of Mongolian Stock Exchange dated from October 23, 2014, Government bonds worth 4.5 billion MNT (Tugrug) were successfully traded at Mongolian Stock Exchange on November 04, 2014.
Mongolian Ministry of Finance approved supply of buy orders of 12-week Government bonds worth 4.5 billion MNT with 15.795 % annual interest rate on primary market bond trading at Mongolian Stock Exchange.
Bellow member brokerage companies participated in the bond trading are as follows:
Golomt Securities 5,353
TDB Capital 5,315
Gatsuurt Trade 5,000
Tenger Capital 3,109
Deu Securities Mongolia 1,000
Tulgat Chandmani Bayan 509
Standard Investment 464
Asia Pacific Securities 10
Mogi: looks like with new 2010 comparison methods, 2011, 2012, 2013 GDP was adjusted to 17.3%, 12.3%, 11.6%, from 17.5%, 12.4%, 11.7%
Mongolia GDP Increases 7% in First 9 Months
Ulaanbaatar, November 5 (MONTSAME) The Gross Domestic Product of Mongolia amounted to MNT 11,093.5 billion by the first nine months of 2014 in an assumption of comparable prices from 2010, showing an increase of seven percent against the same period of 2013.
The National Statistics Office reports further, that this increase reflected positive changes of 15.4- percent in agricultural sector, of 15.3-percent in the industrial and construction sectors, and consists of rise in mining and expiring sectors (5%), agricultural industries (1.8%), and in other service industries (0.2%).
As for the mining sector, the exploitation of copper concentrate increased 38 percent, of gold by 10.9 percent, and of but of iron ore concentrate doubled.
In terms of annual prices, the GDP totaled 16,517.3 billion Togrog in the nine months of 2014, showing a 18.8-percent increase against the same period of 2013.
BoM MNT Rates: Wednesday, November 5 Close
October MNT vs USD, CNY Chart:
GoM Bond Auction: ₮13 Billion 3-Year Bills Sold at Premium, Average Yield 16.75%
November 5 (Bank of Mongolia) Auction for 3 years maturity Government Bond was announced at face value of 30 billion MNT and each unit was worth 1 million MNT. Face value of 13.0 billion /out of 43.0 billion bid/ Government Treasury bill was sold to the banks at premium price and with weighted average yield of 16.750%
Please find expanded information from Table.
Announced amount /by MNT/
Received bid amount /by MNT
Sold amount /by MNT/
Weighted average yield
Maximum yield of fulfilled bids
Minimum yield of fulfilled bids
GoM Treasury Auction: ₮30 Billion 52-Week Bills Sold at Discount, Average Yield 16.347%
November 5 (Bank of Mongolia) Auction for 52 weeks maturity Government Treasury bill was announced at face value of 60.0 billion MNT. Face value of 30.0 million MNT /out of 30.0 million MNT bid/ Government Treasury bill was sold at discounted price and with weighted average yield of 16.347%.
Please find expanded information from Table.
Announced amount /by MNT/
Received bid amount /by MNT
Sold amount /by MNT/
Weighted average yield
Maximum yield of fulfilled bids
Minimum yield of fulfilled bids
BoM issues ₮214 billion 1-week bills, total outstanding +2.8% to ₮561.6 billion
November 5 (Bank of Mongolia) BoM issues 1 week bills worth MNT 214 billion at a weighted interest rate of 12.0 percent per annum /For previous auctions click here/
DP's ruling National Consultative Committee has been announced for this Friday to discuss electing new party chairman
Mongolian Premier Altankhuyag Ousted in No-Confidence Vote
By Michael Kohn
November 5 (Bloomberg) Mongolian Prime Minister Altankhuyag Norov lost a no-confidence vote over his handling of the economy and will step down along with the rest of his cabinet.
Resource-rich Mongolia ousts prime minister amid economic downturn – Reuters, November 5
Mongolia prime minister ousted as economy reels – FT, November 5
Mongolian prime minister ousted by parliament amid turmoil – AFP, November 5
Parliament of Mongolia Resolves to Dismiss Prime Minister N.Altankhuyag from Office – InfoMongolia, November 5
Prime Minister resigned – Montsame, November 5
PM Altankhuyag is stepped out of his position by SGK vote – business-mongolia.com, November 5
Reform Government ousted with a 54.4 percent vote – news.mn, November 5
MPP suggests further cuts to 2015 budget bill
By Ch. Khaliun
November 4 (UB Post) During a two-day meeting, the Mongolian People's Party (MPP) discussed the draft on the 2015 state budget and other related drafts, agreeing that reductions to extra expenses were called for.
Deputy Head of the MPP D.Oyunkhorol believes that the budget's current expenses should be mitigated by 150 billion MNT, the grant of 20,000 MNT issued to every Mongolian child should be raised to 30,000 MNT, and that minimum wages and pensions should be increased by 30 percent.
The MPP believes that costs for these increases can be covered by decreasing the expenditures of the government's special funds. There are 41 special funds totaling 2.5 trillion MNT. By amending drafts on ten of these special funds, the party feels that 135 billion MNT could be provided to the state budget, and cut government expenditures as well.
The MPP opposes an increase to internal mission expenditures, and is calling for a 10 percent reduction in the number of state employees. These measures would make it possible to save 11 billion MNT and 8 billion MNT respectively, according to the MPP.
MP and head of the MPP working group on budget, Ch.Khurelbaatar said, "The MPP does not see the state budget for 2015 as a budget for overcoming the financial crisis.
"The draft on 2015′s state budget states that current expenses will be increased by 800 billion MNT, and investment will be mitigated by 500 billion MNT.
"We were facing an economic crisis in 2008, and overcame it in 2009. At that time, we reduced expenses by 25 percent and solved this problem without reducing investments. But this time, the government is doing exactly the opposite. They are reducing investments and increasing expenditures," added Ch.Khurelbaatar.
Ch.Khurelbaatar strictly voiced his objection to the draft, stating that it will compromise budget revenue by quadrupling revenue from fines and interest. "This means that inspection, control, and state bureaucracy fines will increase by four times," added Ch.Khurelbaatar.
In previous years, 58 billion MNT was earned from fines, but the current draft on budget states that over 200 billion MNT will be generated from fines.
The MPP is critical of other issues in the draft, including a call for service expenditures for the reception of foreign guests and representatives to be increased by 10 billion MNT.
The MPP has suggested many changes to the 2015 state budget and says that it will cooperate with the government and Ministry of Finance on implementing those changes.
Private sector calls for action from Parliament on economy, proposes measures
By B. Mendbayar
November 4 (UB Post) Representatives of several private sector organizations have issued a declaration urging Parliament members to take into account public suggestions on the means to overcome ongoing economic difficulties.
As the draft bill on the 2015 state budget and guidelines for next year's state monetary policy have been submitted to Parliament for discussion, private sector representatives have remarked that listening to the public's suggestions is an appropriate means to resolving the current economic crisis.
The Mongolian National Chamber of Commerce and Industry, Mongolian Employers' Federation, National Council of Private Sector Support, Mongolia National Mining Association, and Business Council of Mongolia worked together on the statement submitted to Members of Parliament.
The declaration said, "Judging from the budget and monetary policies for 2015, no positive prospect can be observed regarding the means to resolve current economic difficulties, support the private sector, and create economic growth. The monetary policy is too general, tending to evade responsibility, and includes clauses that are not included in relevant laws (maintaining macro-economic stability is not Mongol Bank's role); whereas, the budget policy is based on export prices of mining products, as usual, and insufficiently focused on expanding and increasing domestic manufacturing, especially non-mining exports."
The private sector organizations have proposed that parliament members take the following measures:
- Take decisive measures on reducing the underground economy, boosting the nation's treasury fund by immediately approving the Economic Transparency Law and Tax Amnesty Law before the end of the year, boosting investment through reviving economic growth and business stimulus.
- Support manufacturing and businesses, and carry out tax reform through introducing the "Four 5" principle to the taxation system during the fall session of Parliament.
- Get accustomed to the practice of immediately approving – regardless of sequence – laws and regulations that are influential in improving and modernizing the business environment and overcoming economic difficulties.
- Initiate the transfer of some state functions and objectives to non-governmental organizations and professional associations. Immediately discuss and approve relevant laws and regulations.
- Implement improvements to the monitoring of excessive budget spending and allocation by introducing an independent internal budget audit system in all government organizations, starting in 2015.
- Exempt manufacturers and entities – who dared to obtain loans during this time of economic difficulty – from differences in due payments resulting from loan interest and currency exchange rate fluctuations. Direct Mongol Bank to take measures such as either having the payments paid at foreign exchange rates estimated in the budget, or extend loan terms to ten years in granting the exemptions. Approve laws and regulations necessary for these operations.
- Taking into consideration that the operations of many funds established under state ownership are unsatisfactory and that the misappropriation of property occurs often at those funds, take measures to increase the responsibility and effectiveness of the funds by transferring management of the funds to private sector organizations under contract.
- Modify government resolutions and methods for estimating the selling prices of export mineral products, upon which royalties would be imposed, in accordance with the Mongolian Minerals Law and principles accepted in international trade.
Genie Energy Reports Third Quarter 2014 Results
NEWARK, NJ — November 5, 2014: Genie Energy Ltd. (NYSE: GNE, GNEPRA) reported revenue of $46.2 million, Adjusted EBITDA* of $856 thousand, and a net loss attributable to common stockholders of $4.8 million ($0.22 per fully diluted share), for the third quarter, the three months ended September 30, 2014.
Genie Mongolia -- Oil Shale Exploration Project in Central Mongolia
In April 2013, Genie Mongolia and the Petroleum Authority of Mongolia entered into an exclusive oil shale development agreement to explore and evaluate the commercial potential of oil shale resources on a 34,470 square kilometer area in Central Mongolia. In September 2014, Genie Mongolia signed a prospecting agreement with the Petroleum Authority of Mongolia covering an additional 25,000 square kilometers in Central Mongolia. The 2014 agreement, the first to be signed under recently passed legislation, also provides a framework under which Genie Mongolia can request a commercial production agreement once a specific suitable resource and location are identified. In aggregate, Genie Mongolia currently has exclusive rights to explore for oil shale in approximately 60,000 square kilometers. In 3Q14, Genie Mongolia continued surface mapping and other geophysical evaluation work of the area.
Ulaanbaatar-Austria to collaborate on waste-to-energy project
November 5 (news.mn) Governor of the Capital City and Mayor of Ulaanbaatar E.Bat-Uul received Ambassador Extraordinary and Plenipotentiary of Austria to Mongolia Irene Giner-Reichl, and other officials on Wednesday.
At the meeting, the mayor and ambassador talked about requirements for a waste-to-energy project in Ulaanbaatar, the current development of waste management, and future plans for the central heating and power system of the city.
The Ulaanbaatar action plan for 2013-2016 outlines implementing a program to improve waste management and build no less than two recycling plants in the city.
Following the plan, waste removal processing to clear 2,000-2,500 tons of garbage at once using landfill techniques is planned for the garbage dumps of Narangiin enger, Moringiin davaa and Tsagaan davaa.
The mayor suggested that the ambassador collaborate on waste disposal; cleaning facility sediment; food, clinical, industrial, oil and agricultural waste management; and to launch a waste-to-energy project.
Ambassador Giner-Reichl accepted the city mayor's suggestions and expressed readiness to collaborate with Ulaanbaatar.
Ulaanbaatar and Austria may cooperate in waste management – Montsame, November 5
Reviewing Mongolia's first eco-industry bone processing plant
November 4 (UB Post) Vice Minister of Agriculture and Industry B.Tsogtgerel reviewed Burden Gobi LLC's bone processing plant at the company's request for assistance with necessary funds.
According to President of Burden Gobi LLC U.Baatarsuren, 65 percent of the construction work and technology provision of the bone processing plant has been completed by the company with two billion MNT, and now they need 2.2 billion MNT to begin processing several tons of bone wastes a day which will "turn bone ashes into money". The plant is located some 40 kms from Ulaanbaatar city center, in 32 khoroo of Songinokhairkhan District.
Vice Minister B.Tsogtgerel commented, "Four to five companies have started establishing bone processing plants. Having several companies will cause them to fight over the market. We can't deny potential issues concerning resource and supply issues for doing sustainable operations. Only one or two industries will be supported by the government. The government is prioritizing supporting organizations that have been operating for some time and have seen results, rather than supporting new entities."
Burden Gobi LLC was founded in 2005 for foreign trade and tourism. Currently, the company is running operations in mining, road, construction, inter-state transport and shipping services, financial intermediary, trade, and tourism. Burden Gobi LLC is aspiring towards becoming a group with complex industrial operations. To execute this objective, the company is investing in the industrial sector and begun laying foundations for the bone waste processing plant, colored stone factory, and a tailoring factory.
Burden Gobi LLC's bone waste processing plant is capable of conducting primary processing for 36 tons of bone and produce 16 tons of bone meal, a type of garden fertilizer, in a day at full capacity. This plant is expected to become the first eco-industry in Mongolia. The plant will reprocess processed bone oil, meal and bone ash to manufacture final products including soap bars, shampoo and beauty products, as well as porcelain and souvenirs.
Vice Minister B.Tsogtgerel informed about some statistics related to bone and its processed products manufactured in Mongolia.
"During socialism, Mongolia used to have a distribution network that collected and supplied all bones that became unusable [to industries]. Now, the number of livestock has increased dramatically. Considerable amounts of bone are being thrown out in relation to the population increase. It's said that 50,000 to 70,000 tons of bone is thrown away in Mongolia. This is a significant amount of resource and studies show that Mongolian bone quality is much better than other countries'. Mongolian bone meal contains high concentrations of calcium potassium and other minor mineral elements, which is probably due to feeding livestock with more organic and nutritional feed," he said.
According to B.Tsogtgerel, various types of products will be produced from bones, including high-quality fertilizers, which will later be inserted into animal feed.
"Burden Gobi LLC's plant claims to process 36 tons of bone a day. In a year, they will process 7,000 to 8,000 tons of bone. If Mongolia sets to export 50,000 to 70,000 tons a year, two to three plants are enough for procurement since Mongolia has adequate raw materials. For starters, bone oil, meal and ash can be exported. Although bone is expensive at the moment, it becomes almost free waste. Transportation network is poor for procurement. It would cost less and with less waste if networks for supplying raw material are used. Bone is useful for all sectors and can be used in pharmaceutical preparations in the future," said B.Tsogtgerel.
Bone processing plants make it possible to completely utilize Mongolia's valuable resource and raw material of animal origin. It is also significant for manufacturing products to replace imports and even for exporting it to boost foreign exchange reserves.
Strict state policy is needed to support traditional livestock industry
November 4 (UB Post) Mongolians have been engaged in the livestock industry for many years and we have benefitted from it. But in recent years, many unskilled herders have lacked knowledge about breeding livestock and how to communicate with nature, herding sheep and goats with motorcycles.
Even if three million Mongolians like to eat meat, unfortunately, there are very few herders who are very skilled in caring for livestock.
Looking at recent research, 170,000 herder households had 349,000 herders, out which 157,000 were young herders, from the ages of 16 to 35 in 2009. But at the end of 2012, the number of young herders decreased dramatically by 53,000. Experts concluded that if the state doesn't do anything to support the young herders, Mongolia will lose young herders after 20 to 30 years.
The Mongolian University of Agriculture offered a herder class in 2012, and 35 students graduated from it. But the following year, only nine students enrolled and the class was closed.
Fifty percent of our herders are around 34 years old, but they don't have knowledge about tending livestock or pasture vegetation. In total, 113 million hectares can be used, but hay cutting is done on only 1.8 million hectares.
A total of 300,000 tons of meat and 500 to 600 million liters of milk are prepared each year in Mongolia. In addition, leather, wool and cashmere products valued at over 20 million USD are able to be produced in Mongolia. Unfortunately, domestic products don't have a wide reach and herders don't think about producing such large quantities. Specialists blame this on Mongolian "laziness".
The livestock industry makes up over 20 percent of our GDP. Even if other sectors drop, the livestock industry can survive alone. So, the participation of herders is very influential.
But nowadays, herders only think about receiving support from the citizens of Ulaanbaatar and lose the old tradition of preparing hay in the summer and fall. Instead of celebrating holidays all summer, it would a better to be prepared for winter's harsh conditions. Many have become used to asking us for candles and matches as soon as winter comes.
Of course, state policy requires supporting herders.
The Ministry of Labor and the Center for Employment Services provide the following services:
enhancing livestock tending skills, increasing herder income, organizing groups and committees, and offering financial support. As a result, 900 residents from 450 herder households in 90 soums have become involved in this program and have maintained their livelihoods.
Sixty five percent of 482 people who were eager to establish state supported SMEs were herders, and 1.5 billion MNT in loans were issued to them. These herders were enrolled in guaranteed health insurance, received national identity cards, and got wool and cashmere subsidies. But the funding for the National Mongolian Livestock Program (Mongol Mal) is decreasing year by year.
To compare herder households by their number of livestock, 67 percent of them have up to 200 livestock, which means one in every three households has less than 50 cattle.
In recent years, the number of households with 100 cattle or less decreased, and households with more than 200 cattle increased. This suggests that households with fewer cattle sell off their livestock and move to the city.
The state needs to work out concrete and unwavering policy to keep herders in business.
Ulaanbaatar Hosts Mongolian Entrepreneurs Forum 2014
November 5 (infomongolia.com) The School of Business, National University of Mongolia in collaboration with the Ministry of Labor, Startup Mongolia NGO, and with support of the Mongolian National Chamber of Commerce and Industry, United Association of Mongolian Employers NGO, and JCI Mongolia are organizing Mongolian Entrepreneurs Forum 2014 at Chinggis Khaan Hotel in Ulaanbaatar on November 10-11, 2014.
The Forum is expected to be a platform for promoting knowledge about entrepreneurship, to take entrepreneurship education (courses and research) to a new level, improve the legal environment for new businesses, build a national strategy to develop entrepreneurship, to link organizations in the field, and to seek ways to solve challenges for Mongolian entrepreneurs.
At the Forum presentations will be delivered by Empretec Programme officer Alejandro Rubias Hernandez, Head of the International Business Leaders Forum (IBLF) Russia, "Youth Business Russia" Programme Manager, Boris Tkachenko and Executive Director at the Center for Entrepreneurship Development in Japan, Kikuko Harada.
- Empretec is a United Nations Programme established by UNCTAD's Division of Investment and Enterprise.
- Founded by HRH The Prince of Wales, the IBLF Russia is an independent, not-for-profit organisation currently supported by over 100 of the world's leading businesses.
- Center for Entrepreneurship Development in Japan is established under Global Entrepreneurship Week (GEW) as an international initiative that introduces entrepreneurship to young people in six continents.
Lots of Ideas, But No Money: Mongolia's Innovation Setback
By E. Zorigt
November 5 (Mongolian Economy) There were 30 sessions at last month's Mongolian Economic Forum, covering a wide range of topics pertinent to the country. There were a number of well attended sessions, including "Innovation is a Solution," which revealed a community with a thirst for entrepreneurship and innovation that is stifled by an inadequate Innovation Law.
Four years ago, the Innovation Law was first developed to put into practice the knowledge offered by Mongolian scientists and foster their global recognition. This law is seemingly still in the draft phase. Meanwhile some of the regulations that would be required to enforce the Innovation Law simply do not exist.
"Some 10 regulations need to be released for the enforcement of the Innovation Law," said B. Lkhagvadorj, officer at the Ministry of Education and Science.
Three key regulations are awaiting approval, said Lkhagvadorj, which would provide the solution to several issues, such as the foundation of the Innovation Council and tax exemption for start-ups.
The Innovation Fund was supposed to be established under the Innovation Council by the government, according to the law, but no such council has been formed. Another issue is the absence of regulations for the enforcement of the Innovation Law. The law has a number of clauses supporting innovative business requiring the development of the Fund and Council.
"Mongolia never used to manufacture vegetable oil, but now it is being manufactured by our company," said D. Ganbold, chief executive at Mongol Altan Khos. "Our production is considered to be innovative in the food sector of Mongolia. Unfortunately, there is still no clear response from officials at the Ministry of Economic Development because they are divided into two groups as they are arguing with each other about whether our production was innovative."
Lots of Ideas, but No Money
Entrepreneurial dreams can often translate into profitable businesses. Innovative ideas, if they are good, will be financially rewarded. Some entrepreneurs who attended the innovation session were saying that they did not have the financial backing for their ideas. For example, research and development company Monchemo initiated a few projects such as the "Horse" project, a device that extracts calcium from horse bones. These projects have not gone ahead due to a lack of funding.
"Good innovation cannot survive in the market if financial issues have not been tackled. So, the government needs to focus on funding the innovation projects that will raise its reputation globally," said M. Ariunaa, general director at Monchemo.
During the session, some manufacturers faced comments suggesting that they should not wait for money to come from the government. Those who criticised them said that the manufacturers should expose themselves to the capital market to attract investment. Some domestic manufacturers are not interested in sourcing their own funding as they lack knowledge of the market.
Some believe the only hope for innovation is the government.
"Socks and gloves manufacturers are funded by the proceeds of bonds under the name of contributing manufacturers to replace imported goods," said Ariunna, "but we cannot be supported by the government even though we manufacture innovative products. If there was an innovation-minded person in a working group that selected the projects to be funded from the proceeds through tender, Mongolians' dreams could come true in the future."
A huge sum of money is needed to fund innovation in various sectors. But if done so, comapnies could profit by providing Mongolian consumers with high-quality goods that outperform imports.
"As rapidly as Mongolia's economy develops, mining-led domestic sectors are purchasing large volumes of goods from abroad. So, it can be said that some 30 percent of total purchases should be made in terms of offset. This will create a condition that will bring industry and service to the country, which would be equivalent to 30 percent of total purchases", said D. Nergui, director at the School of Economics and Business Management at the Mongolian National University.
The Path to Opportunity
"Mongolians have the opportunity of being recognised globally. Why would we not conquer the global market through the production of our own chip design," said Ts. Natsagnyam, a state prize winner and young engineer and the session's chair.
Mongolian scientists unanimously agreed at the forum that Mongolia could development computer chips using local expertise and raw materials. One question brought up was whether the current market system somehow actually suppresses innovative businesses in Mongolia. According to Natsagnyam, Mongolia will have to make the best of the domestic markets first if it hopes to move forward to foreign capital markets.
The innovation session revealed that there is a thirst for entrepreneurship but some would rather remove competitors rather than directly compete with them. Finding a balance between government support – perhaps in the form of subsidies or tax breaks – may be what the country's budding innovators need to release their product to market. But firstly, finalising the Innovation Law may help the industry gain some momentum.
Responsible Mining and Rehabilitation: Case of MNO in Zaamar
By S. Batzaya
November 4 (Mongolian Economy) The Mongolian countryside extends in every direction, a beautiful expanse of grassy steppe—flowers dot the ground and trees line the hills. Could this really be the site of a former mine in operation only several years ago? "The field was rehabilitated. Now the grass and plants have grown so fast," remarks a representative from Mining National Operator LLC, at the site of their recently reclaimed mine in Zaamar soum, Tuv aimag. "Right after exploitation, we start the rehabilitation process."
Mining National Operator (MNO) has operated a gold mine in Baga Khailaast and Bayangol since 2010. The mining territory is surrounded by mountains, where pine and elm grow in a forest. To the north is grass and various wild plants.
In September 2014, Mining National Operator handed over the former mining territory to the local authority after completing a years-long restoration. First in 2010 they restored 28.1 hectares of an initial field mined in Zaamar. And now again a rehabilitated field mined in 2012 has been returned to the local community of Zaamar. The locals are very content with the MNO's work.
MNO's recent accomplishments show technical rehabilitation of 61.9 hectares and biological rehabilitation of 71.75 hectares for the former Bagakhailaast and Bayngol mines. Restoration was completed in September 2014.
MNO plans future for rehabilitation before ever breaking ground on a new mine. Fertile soil is removed from the ground, to be later reused in the rehabilitation process. In mountainous areas, fertile soil is about 70-80 cm thick; in other areas the thickness ranges from 20 to 50 cm. MNO performs the rehabilitation process in a very short amount of time. After the technical rehabilitation process, a biological reclamation is performed. MNO grows over 10 different types of plants and flowers. To help the process, MNO often leaves certain patches of land in the mining field untouched. When rehabilitating, the untouched patches help convert the mine back to its former natural state.
Reviving the ecosystem of a mined field requires hard work and plenty of money. In the first year of rehabilitation, MNO protects the field from animals and grazing cattle. They also install a drainage system to protect the plants from floods. After a period of diligent work and observation, the local herders are allowed to graze again. MNO also uses standard mining management practices from Australia and Canada that involve the community. They provide local residents jobs through the establishment of the Zaamar Arvijikh cooperative, and employ forestation students from vocational training centres. Locals and students have cooperated in building roads, landscaping and planting trees. Recent accomplishments show technical rehabilitation of 61.9 hectares and biological rehabilitation of 71.75 hectares for the former Bagakhailaast and Bayngol mines. Restoration was completed in September 2014.
Safety and social responsibility
"Don't be hasty", "Hello" and "Caution. Caution. Don't hurry". These words are on printed stickers attached to the vehicles and equipment of the workers, calling for a safe working environment. Safety is the MNO's primary principle.There is a hospital onsite. Facilities also include a laboratory, a vehicle service centre, and employee rest and recreation houses that were developed in Canada. Mining National Operator likewise believes in social responsibility. MNO has completed numerous construction projects in Zaamar soum, and supports local business and enterprise. Last year, MNO invested more than MNT 100 million in the region. "We are presenting what we have accomplished to the local residents, so that they have the right perception of the MNO's operation. This is the second time we have organised such a presentation. It is very important for us that locals have a good understanding about what we do," said Sh.Lhamsuren, Executive Director of Mining National Operator.
Mongolia has witnessed rapid development in mining in recent years. There are companies that take treasures out of the ground and leave nothing but unproductive holes, eyesores, and an angry local community. On the contrary, there are leaders like Mining National Operator that work hard to return nature to its original state, while supporting local initiatives. Responsible mining and rehabilitation are positive trends that must see continued implementation and development in Mongolia.
What do residents of Zaamar soum think of Mining National Operator's work?
Nyamdorj, head of the Zaamar soum Council
"Mining National Operator, which conducts mining in the region of Zaamar soum, has presented what they have done. They successfully organised 'National rehabilitation training' in 2013. The company is one of the best in implementing rehabilitation according to the highest standards. It cooperates closely with local residents and administrators. In the scope of this cooperation, MNO invested over MNT 100 million in the soum for the 90th anniversary of its establishment. In addition, a mutual agreement was signed to cooperate in agriculture. In order to build infrastructure, 20 families were included in creating an example district. There are 23 enterprises operating in mining in Zaamar soum. Mining National Operator has been conducting rehabilitation on time and with great responsibility. We, as a council, are satisfied with their work."
Ch.Bayartsetseg, Deputy Mayor of Zaamar soum
"Mining National Operator has been operating actively in Zaamar since 2011. Besides cooperating with the locals, it is one of the companies that have accomplished a great deal of technical and biological rehabilitation in the region. It was wonderful to see them presenting their work to the residents. MNO should be a role model for other mining companies. We are very satisfied with the way rehabilitation is done after exploitation."
Smog, horses and architecture
Tanja Smith from Gradon Architecture has her eyes opened at the start of a three month work stint in Mongolia
November 4 (Building Design) UB is the cool – and much quicker – way of saying Ulan Bator, a fact I've learned in my first week of a three-month work secondment to Mongolia's capital.
On first impressions, the city is enormous and truly awe-inspiring. Dilapidated Soviet-era buildings and crumbling infrastructure sit alongside sleek modern high-rise blocks; while Ger villages dot the landscape acting as a reminder of the city's cultural roots.
Temperatures here can also plummet to a minus 30 degrees. People living in Ger villages burn raw fuels, or pretty much anything they can find, in their stoves just to keep warm. It causes a bitter smog-soup that clings to the city and leaves a bitter taste with every breath.
All of this comes as a bit of a shock at first. But what we've found is the city and its people have a huge appetite for change and if I'm honest, it can't come soon enough.
Mongolia may be recognised as one of the fastest growing economies in the world but it also faces some acute social and environmental challenges – not least in UB.
As one of the most heavily polluted cities in the world, UB is over-crowded and in need of widespread regeneration – with many of its communities living in appalling conditions.
Gradon Architecture identified that Mongolia offered the practice an opportunity to expand overseas.
There is a genuine need to raise standards of quality across the built environment and improve conditions for all – not least, the deprived Ger communities which have been earmarked by the government as a long-term regeneration priority.
Already we've forged ties with local developers and the Department of Construction and Urban Development. We've submitted designs for sustainable solutions to some of the country's housing problems, in particular the challenge of replacing ill-maintained building stock that lacks even basic polystyrene insulation.
By designing sustainable environments with energy-efficient, socially responsible buildings we have the potential to improve lives for those that need it most.
This experience isn't for everyone but it's amazing how quickly you can build relationships in an alien environment – especially through the common language of design, drawings and a trip down the pub.
Despite the fast pace of change, where tower blocks are sprouting up as if fed with Miracle Grow, there is still so much to be done and that's in part why I find this adventure so appealing. There is a buzz about the place that makes me excited to call it home.
The country's officials are really up against it to keep up with the demand for better housing, better roads, better lifestyles… better everything. My first week here has passed in a blur of meetings, some full of promise, some a little bizarre, but as a whole I've been met with warm smiles and genuine interest. The hunger for Western knowledge is so great it's a little overwhelming but it's a reflection of just how highly regarded British architecture is out here.
What is encouraging is that the people responsible for engineering this change seem, on first impressions at least, full of enthusiasm and drive. I hope this doesn't wane in the months ahead as a can-do attitude is vital if the country is going to reach its goals.
After a non-stop first week, I did as many UB natives do and left the chaos of the city behind and headed for the countryside. Away from the traffic and smog, Mongolia really comes into its own. I grew up in South Africa, so have experienced the majestic beauty of open plains and mountain ranges, but even so Mongolia didn't disappoint.
The Land of the Blue Sky certainly lives up to its name. The landscape is dramatic and appears endless. It rolled out in front of us as far as the eye could see, the grassland dotted with herds of the famous Mongolian horses.
Revived from the countryside, next step was to familiarise myself with the supermarket. Horse meat is readily available and there's not even a whiff of scandal attached to it. In fact, it has its own counter. There are so many varieties of tea I don't know where to start, while the vegetables all look like they've travelled as far I have and are just as jetlagged.
With my feet found and the basics in hand, I'm hoping to now integrate and entrench myself in the country as much as I can, soaking up the culture and values. After all, it's only once you have understood what is truly important to local people that you can develop meaningful architecture that has the potential to change lives.
Drivers who fail to pay fines will be banned says authority
November 4 (news.mn) The National Transport Authority has announced officially that it will restrict drivers who fail to take their vehicles to state inspections, or those who do not pay fines for violations of traffic rules, from driving.
The Metropolitan Traffic Police Department has registered over 580,000 vehicle and traffic violations. Traffic police officers fine approximately 600 to 700 drivers a day for traffic violations, and it is reported that up to 170 of the fined drivers have not taken their vehicles to state inspection centers.
The payment of fines is now 60 percent, according to officials.
The National Transport Authority has warned that drivers who do not pay fines for traffic violations and do not get their vehicles inspected will be punished, according to the Administrative Law of Mongolia.
City Solution Forum seeks to tackle Ulaanbaatar's traffic congestion
November 5 (news.mn) With support from the non-profit, worldwide community JCI, Ulaanbaatar 's young and active community members will take part in the City Solution Forum, which will be organized in Ulaanbaatar, on November 14th, 2014.
City Solution Forum, calling for "One issue, one experience and one solution", will create a platform to raise a discussion on reducing traffic jams in the city, and seek solutions to the problem.
The project aims to solve a problem that the city takes on every year, raise public awareness and increase civic involvement, generate diverse positive impacts on communities, call for young citizens' participation through social networking, collaborate with state and non state agencies, and bring the best foreign experiences to focus on UB's issues annually.
This year, the project is focused on helping the public, businesses and communities pay attention to how to reduce traffic congestion in the city.
The forum will discuss city practices for reducing traffic jams and their results, international practices to ease traffic congestion, initiatives and ideas, and expert studies and solutions.
The project is sponsored by JCI Mongolia, the City of Ulaanbaatar, Mongolian National Chamber of Commerce and Industry, the Ministry of Roads and Transportion, Traffic Police Department, investors, businessmen, public transportation companies, taxi services, the Asian Development Bank, and local media outlets.
Illegal construction in Zaisan Buddha Parks raises concerns
November 4 (UB Post) Since the disorderly assignment of land in Ulaanbaatar, people have started to build what they want, wherever they like. The latest example is an interesting building that began construction in the center of Buddha Park.
The capital city, Ulaanbaatar, is situated between four mountains and has a more than 300 year history. The most auspicious place, Bogd Khan Mountain, has become a popular and expensive location for homes and businesses.
Historic and spiritual sites like the Zaisan Memorial and Buddha Park, in the area of Zaisan Tolgoi, are surrounded by a metropolis of modern buildings.
The new fountain that opened at Zaisan Hill Complex this summer makes the area more attractive. It feels like the city council has started to pay more attention to city planning and a building's architectural design, now that so many construction projects have sprung up in the city.
One hundred meters from Buddha Park, to the west of the Zaisan Hill Complex, there is a building housing drinking water tanks. The land is under state protection and the building has been there for ages, which is why the Zaisan Hill Complex and Buddha Park didn't encroach on its land.
The drinking water storage tank building, which protects the groundwater resources of the Zaisan area, has long been affiliated with Mongolian State University of Agriculture. Since the time a former president of the university gave the land to an individual, problems have arisen.
When we went to the construction site to get some information, a few guys there told us that the construction work is taking place under a person named Batbaatar. Residents in the area say that Batbaatar is building a private home. Since the construction was taking place on a protected area, authorities and officials halted construction on October 21. But after eight days, the construction work resumed.
The State Professional Inspection Agency even forbade construction, yet it is interesting to note that Batbaatar has permission to finish the work by December.
Every construction project must follow regulations and meet safety and building standards. At illegal construction sites, workers are often not professional builders. As a result, they do not follow the standards for safety.
Moreover, the appearance of any building is important to the city's landscape, and when we asked to see plans for the building, the people on the site had none.
Generally, to construct any type of building, the plan must be approved by the authorities. But it appears that the construction law of Mongolia does not apply to Batbaatar and his house.
What kind of person is Batbaatar, who continues to build his building even after state officials have forbidden it?
Many new, attractive buildings can benefit the city's landscape, but there is no city planning policy that provides for the safety and comfort of citizens before developers.
Moreover, there is lack of public space in the city, where children and seniors can spend their free time. It is troubling to know that some people are able to build private residences on what little protected land is left in Ulaanbaatar.
Mongolian, German Foreign Ministries Hold Consultative Meeting in Ulaanbaatar
November 4 (infomongolia.com) A consultative meeting between the Foreign Ministries of Mongolia and the Federal Republic of Germany was held in Ulaanbaatar on November 03, 2014.
Mongolian part was chaired by State Secretary at the Ministry of Foreign Affairs and Economic Cooperation, Bat-Amgalan BOLDBAATAR and the German side by Regional Director of the Foreign Office for Asia and the Pacific, Ambassador Peter Pruegel.
At the meeting, parties reviewed the current state of bilateral collaboration in the fields of politics, economy, culture, education and science, deliberated further goals and shared views concerning regional and international issues.
During the meeting State Secretary B.Boldbaatar recalled that a wide range of events and activities were successfully organized on the occasion of celebration the 40th anniversary of the establishment of diplomatic ties and requested Germany to assist Mongolia as the country to participate in the ITB Berlin 2015 as a Partner Country and in the organization issues of the V Online Freedom Conference Ulaanbaatar in May 2015 and the ASEM Summit in Ulaanbaatar, Mongolia in July 2016.
The sides welcomed outcomes of the third meeting of the Mongolia-Germany intergovernmental working group for the development of bilateral cooperation in the areas of mineral resources, industry and technologies held late October 2014 and the fourth meeting of the Mongolia-Germany economic commission and talked about largest projects to be carried out by the sides in the fields of mineral resources and infrastructure.
Mongolia and Germany held consultative meeting between Foreign Affairs Ministries – news.mn, November 4
President's Office Receives Swiss Development Agency Delegation
Ulaanbaatar, November 5 (MONTSAME) Chief of Staff of the Office of the President P.Tsagaan met on November 4 with representatives of the Swiss Agency for Development and Cooperation (SDC).
The head of the delegation--the Vice Director of SDC Mr Deepak Elmer--said SDC implements number of good projects in Mongolia and underlined successful initiatives of the President Ts.Elbegdorj in direct democracy, civil participation promotion, and budget transparency. He also stressed that he will continue working in close cooperation to support the President's initiatives.
In response, Mr. Tsagaan noted that the leader of the country launched many fruitful initiatives, and said that, in the scope of civil participation and budget transparency initiatives, the President had submitted to parliament the budget transparency law and it will take into effect from January of 2015 onwards. "We are truly pleased with all the projects and works implemented by SDC in Mongolia and we look forward to more close collaboration," he said and wish the organization successes in its future endeavors.
Mongolia Elected as Executive Member of Assoc. of Asian Election Authorities
November 5 (news.mn) The General Election Commission of Mongolia has been elected as an Executive Member of the Association of Asian Election Authorities (AAEA).
The decision was made at the General Assembly of the Association of Asian Election Authorities in New Delhi, India, on October 29, 2014. The General Assembly of the AAEA made changes to the rules of the association and admitted the Russian Federation, Maldives, and Uzbekistan as new members.
According to its rules, the Association of Asian Election Authorities elected the Election Commission of India as chair of the organization for the next two years, the Philippines as Vice Chair, and Mongolia, Bhutan and S. Korea as Executive Members.
The General Election Commission of Mongolia will act as an Executive Member until the next General Assembly meeting of the AAEA in 2016.
Mongolia was represented by Secretary of the General Election Commission of Mongolia B.Altanjargal and other delegates at the General Assembly meeting in New Delhi.
Election committee becomes AAEA Board member – Montsame, November 5
WHO delivers Ebola testing kits to Mongolia
November 4 (UB Post) The Ministry of Health (MOH) received 100 Ebola virus testing kits from the World Health Organization (WHO) on Monday.
The tests were made in Germany and use a technology called polymerase chain reaction (PCR), to detect Ebola infection. The cost of the each test kit is 1,500 EUR.
WHO Mongolia Representative Dr. Soe Nyunt-U highlighted that Mongolia has become the first nation in Asia to receive the testing kits from the WHO, and reminded the authorities to keep up preparedness efforts, even though the virus hasn't broken out in the country.
WHO officials promised to keep assisting Mongolia in prevention against Ebola and assured that the tests are able to detect infection with 97 to 100 percent accuracy.
The MOH has ordered hazardous material suits that will be delivered to Mongolia shortly, according to Minister N.Udval.
The government has so far budgeted over 400 million MNT for measures to prevent the outbreak of Ebola in Mongolia.
Ministry officials also denied the rumor on social media that there was a case of Ebola virus infection in Mongolia, and reminded the public to seek accurate and updated information from the official website of the ministry.
Standing Committee Backs Bill on Childcare Services
Ulaanbaatar, November 5 (MONTSAME) Parliament's Standing Committee on social policy, education, culture and science supported on November 4 this draft with 78.6 percent approval vote of total 13 members.
The law was initiated by the President Ts.Elbegdorj and submitted to the Speaker last Friday. Considering this law as one of the most pressing issues of today's society, parliament discussed it immediately. The Government, Union of Mongolian Production and Service Cooperatives, also children's rights organizations and NGO's have already expressed their full support for the Law on Childcare service.
Dornod, Khentii Aimags battle alcoholism
November 4 (UB Post) Dornod and Khentii Provinces have started taking measurements against alcoholism.
The Minister of Health recently started developing a new bill and program to bring effective measures against alcoholism and change the public understanding about vodka. The Anti-Alcoholism Law is being revised, and appendix law and clauses on the fight against non-communicable disease are being developed as part of the national program to reduce alcoholic beverage consumption.
In order to reflect ideas of the rural area representatives on the bill and program, to introduce information about the bill, and to create a comprehensive content for the program, the Ministry of Health organized several discussions throughout provinces and a regular discussion was held in Choibalsan of Dornod Province at the end of last month.
According to latest statistics, Dornod and Umnugovi Provinces had the highest alcoholic beverage consumption per person in Mongolia.
A.Enkhtuya, State Secretariat at the Ministry of Health, B.Byambatogtokh, expert at the Policy Implementation Regulatory Department of the Ministry, G.Tsetsegdari, advisor at the National Social Health Center, Kh.Khulan, Head of the Health Department of Dornod Province, S.Ganbat, Governor of Dornod Province, administers of Dornod Province, and representatives of police exchanged their views on alcohol usage issues during the regular discussion.
After the introduction on steps to reduce toxic usage of alcohol, the representatives shared their ideas on the most important issues that should be reflected in the bill.
Alcohol free Dornod program
The administers of Dornod Province have organized the Alcohol Free Dornod program since last April, based on the Alcohol Free Khentii program, which influenced over 258 citizens whose lives were dependent on alcohol. The program helped 193 people recover from alcoholism. The Alcohol Free Khentii program, which cost 50 million MNT, is said to have reduced crime rate in the province by 32 percent.
The Alcohol Free Dornod program enrolled over 50 people to treatment, with support of the Health Department and NGOs in Dornod Province. The Citizen's Representatives Meeting of Dornod allocated 21 million MNT to the program.
In accordance with the guidance of the State Specialized Inspection Agency and Police Department, seven restaurants, 20 cafes, 22 bars, and 105 shops were involved in an inspection, out of which, 51 entities received precaution, and the special alcoholic beverage sale permit of nine entities were terminated.
Speaking about the new bill against alcoholism, Ministry expert B.Byambatogtokh said, "The law and resolutions against alcoholism were mostly on fighting against alcoholism after a crime has been committed, but in the new program, there are more clauses on preventing crime. The reason why we chosen Dornod Province to hold the regular discussion is that Dornod leads the per capita alcohol usage in Mongolia and the administers of Dornod are implementing the Alcohol Free Dornod program."
"During this regular discussion we considered effective measures to implement the alcohol free program in rural areas and we plan to sum up the results of the discussion and establish a National Committee. After that, we will process the program again and summit it for approval before the New Year," B.Byambatogtokh added.
Dornod Province's police officer B.Ariunsanaa said, "Even though crimes committed under the influence of alcohol decreased, alcoholism didn't drop in our province."
After the regular discussion, the Health Department of Dornod started conducting detoxification and dependence reduction treatment for free, and a psychiatrist gave lectures on the toxic usage of vodka and its damage.
In relation to the new foreign policy with Russia and China, the alcoholism rate in provinces with border points are expected to increase due to the expanded economy and trade relation, say experts.
Mongolian Fine Art Exhibition Opens in Neuchatel, Switzerland
Ulaanbaatar, November 4 (MONTSAME) Grand opening of the Mongolian Fine Arts exhibition in Neuchatel of Swiss Confederation took place November 1.
The action ran in frames of the celebration of the 50th anniversary of the establishment of diplomatic relations with Mongolia, which falls this year. The exhibition has been co-organized by the Permanent Mission of Mongolia to Switzerland, Ulysse Nardin and Banca Popolare di Sondrio (Italy-based Bank). The opening was addressed by Dimitri Consoli, a director of the Bank, and by G.Jargalsaikhan, the Mongolian Ambassador to Switzerland.
The exhibition is presenting the artworks of Mongolians, namely, L.Bumandorj, Ts.Naranmandakh, B.Nomin and T.Regzen. It will be open until January 31 of 2015.
6th Floor, NTN Tower
Baga Toiruu, Chingeltei District 1
Ulaanbaatar 15170, Mongolia
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