Ufa is the capital town of the Russian Federation. It is located on the bank of the Belaya (White) River, which is in the North of Bashkortostan, in the foothills of the Caucasus Mountains. In the ancient times, it was the largest city located here, Bashgirdt
The first people arrived to the place in the thirteenth century and the beginning of their settlement can be traced back to the sixth through the thirteenth centuries. There were a number of settlements here until the fourteenth century, when there were two fleets that stopped over here: one from the Caspian Sea (the route to Asia Minor) and another one from the Black Sea (the route to the Middle East). At that time, the population consisted of around a hundred thousand people, which gradually increased to a hundred thousand people during the fourteenth century to about a million people by the end of the sixteenth century.
The main sources of Ufa’s revenue are its enormous stockpile of oil and gas. In the last few years, the gas and oil prices have shot up to some very high levels, making the profits of a venture like UFA quite impressive. The revenues of UFA hardly budge with the high oil and gas prices; so, other sources of income are necessary to keep this place going strong. One of these sources of income is UFA’s customs.
The UFA customs consists of a variety of products that include some of its most important exports such as oil, machinery, textiles, leather goods, and timber. At the last count, there are nearly three million items in inventory which represents about ten percent of its total revenue. It has been reported that in the last four years, more than thirteen thousand trucks have delivered goods worth one million dollars to clients in the Middle East. That means that, over the past four years, over two million trucks have crossed the Turkish-Kurdish border into northern Iraq.
So, it is easy to see why the people who own ufa stakes such a large part of its earnings on the Iraqi market. The Middle-Eastern clientele is eager to purchase products such as lumber, metal and aluminum because all of these products have been in high demand. One can also expect that the two-year limitation that the United States imposed will cause the price of these products to rise, forcing the UFA to purchase additional quantities from Turkey. Given these numbers, and considering the fact that the Iraqi government has offered to take care of any additional import duties that might be levied by the United States will likely lead to an increase in the price of these goods. That, in turn, will make the Turkish government grateful for the one-year “gratification” offer that the United States extended to them.
There is also no doubt that the Iraqi people are eager to have greater job opportunities. That, too, will lead to rising prices of goods and rising demand. As the price of oil continues to hover near record highs, the pressures from both domestic and international sources are increasing. On top of this, the Iraqi central government has offered to allow the sale of Iraqi oil through a pipeline stretching from the country to Turkey. This action has been praised by the Russians, who have offered a similar incentive to Turkey to build and operate a pipeline through their country. If the United States and the other world powers decide to go through with this deal, the effects on the global economy will be felt not only here in the Middle East, but all across the globe.