Economic structure

The four main economic sectors in North Karelia

·                  Forestry (54,5 % of production is exported)

·                  Metal industry (21,9 % of production is exported)

·                  Plastic, rubber and chemical industry (15,5 % of production is exported)

·                  Stone industry (3,6 % of production is exported).

The main export area of the region`s products is the old EU-15 member states, accounting for 60 %.

Forestry is characteristic for North Karelia and one of the centres of expertise is based on advanced technology in forestry and wood-processing. Moreover, the industrial base has been developed in other centres of expertise towards the manufacturing of advanced metal and plastics products related to the ICT industry. Furthermore, there are expanding companies developing GIS-software and related tools for analysis and planning. The most central opportunities for the region`s future development are related to the region`s know-how and human capital, as well as to the capacity of applying different sectors of know-how.

The regional economy and prerequisites for business activities are threatened by the centralisation of research and development activities, as well as product and production innovations to southern growth centres. North Karelia is about to become an "In-betweener" in the application and development of modern technology, if it is not able to meet the requirements of the information-based economy.