Transcript of the beginning of the meeting:

Vladimir Putin: Mr President, we have discussed issues that have long been on our agenda. I remember how we planned these plants and how it all began. I am happy that our plans are being implemented despite problems and difficulties.

This is a positive sign for the country's economy and for your republic because it implies the creation of jobs and the production of more competitive goods. As we discussed, these are a different level of jobs because they stipulate higher skills and a higher salary.

I am pleased. I congratulate you and everyone who was involved in these projects. However, we must not stop here. The republic has many more plans that have not yet been realised. Let's talk about them.

Mintimer Shaimiyev: First I would like to thank you for finding the time, a commodity that is always in short supply, to come and review our plans, especially after a very difficult year that was complicated by the economic and financial crisis. When you last were here in December 2008, we were worried about Kamaz. You listened to the concerns and saw people's worried faces.

The decisions we took then were accepted with concern, because the crisis has hit even such giant enterprises as Kamaz. What were we to do?

We have reviewed the situation again today. More investment was provided for Kamaz, and joint ventures with foreign truck producers have begun operating.

On the social side, I cannot say that we have managed to avoid problems, but the government created social jobs, which some 30,000 out of 50,000 people have taken advantage of one way or another, keeping over 60% of their salaries and also getting paid for doing social work. Therefore, we have cushioned the social impact of the crisis. You have met with people today and seen that they are grateful for this.

This means that we took the right decisions. It was a difficult choice, because we had to increase the state order and to buy these trucks. But what else could we do? Even export demand had declined at that point. But Kamaz is now emerging from the crisis as a new company.

In short, we addressed the problem long ago. This is the second time you have saved Kamaz. The first time was when we held talks with the Japanese prime minister. Kamaz owed more than $1 billion then and badly needed to restructure that debt. Thanks to those decisions and agreements, we received a machining centre then.

It was hard work saving a giant company with 5,000 personnel. But we did it, and now Kamaz is one of the world's top ten truck producers, and it continues to gain strength and competitiveness.

Vladimir Putin: I see that your oil and gas processing plants are also developing fast.

Mintimer Shaimiyev: Oil prices plunged during the crisis. Our oil group, Tatneft, continues to invest in production; it has invested as much as 200 billion roubles ($7 billion) of its own funds and with borrowed money. Russia's Investment Fund is also contributing to its projects.

You ordered the construction of the oil pipeline then, and now you see that it has been finished. The last seams will be welded today.

Vladimir Putin: I know.

Mintimer Shaimiyev: The 118-km (73-mile) pipeline has a throughput capacity of 14 million metric tons of oil. And we have also completed the railway project financed from the federal budget.

We are carrying out a challenging project, which stipulates building a cutting-edge petrochemical plant on an area of 400 hectares (988 acres). This will create more added value.

In a few years, this project will increase the republic's revenues and deductions to the federal budget by 40%.

Vladimir Putin: I see. And what is the general situation in the republic? This difficult year has almost ended. How do you assess the results of your work?

Mintimer Shaimiyev: We have just visited Nizhnekamskneftekhim, a group of ten petrochemical plants, which continues to implement its investment programme.

Some questions need our combined attention, and we discuss them daily with the federal government and your deputies. You also took the decision on Kazanorgsintez, and Mr Shuvalov (Igor Shuvalov, First Deputy Prime Minister of Russia) and Mr Sechin (Igor Sechin, Deputy Prime Minister of Russia) are consistently working at this. This is not easily done, because we needed to restructure its debts to foreign companies and Russian banks, which amounted to some 29 billion roubles ($1 billion).

Sberbank is now lending to the enterprise. We have solved some of its problems, in particular regarding the amount and value of the raw materials the company needs. I hope you will help resolve its issues, and then our largest enterprises will have no problems we cannot handle.

As for production, we hope to finish the year on an up note. Industrial production resumed a growth trend in October, by 10% year on year. In terms of volume, we have nearly approached the 2008 level of industrial production and gross regional product, 1 trillion roubles ($35 billion). This is a considerable sum, and the Russian industry also depends on us to a considerable degree. Industrial production index in the republic will be 90% of last year's level, but it has resumed growth, as I said.

Tatarstan continues to promote its exports. Some 60% of the export products you have seen, as well as nearly all types of synthetic rubber are supplied to Europe from Nizhnekamskneftekhim and other petrochemical plants in the republic.

Vladimir Putin: I know they account for 30% of global production for one of these rubbers.