The accounts concur. They were solemn, amiable individuals, yet somewhat reserved in their demeanour. They never caused any trouble and exhibited extraordinary manners. This was the era when seafarers from the Soviet Navy (Naval armed forces of the USSR) were serviced by workers of Sovhispan, a firm situated in Anaga Residential. But, were they merely employees or operatives of the KGB? Were they permitted to freely explore Tenerife?
On the 3rd of July, 1971, in Barcelona, the Spanish-Soviet enterprise Sovhispan came into being. The objective was to streamline the supply process for Soviet vessels – their navy was one of the most prominent globally – each time they fished in the vicinity of the Canary Islands. The ports of Santa Cruz de Tenerife and Las Palmas de Gran Canaria would derive significant advantages since the arrival of these vessels would facilitate highly profitable commercial activities.
The registered headquarters would be situated in Santa Cruz de Tenerife, and the operational base would be at the port of Las Palmas de Gran Canaria. In this peculiar alliance between Franco’s Spain, which continued to govern a nation that, once more, was striving to avoid isolation in a world dominated by the Cold War, and the Union of Soviet Socialist Republics, the Canary Islands found themselves favoured by the establishment of a firm that, in its inaugural year alone, brought 923 fishing boats to the Islands.


The USSR had made a substantial investment, using public funds, in its fishing fleet, with an emphasis on the Saharan and sub-Saharan bank due to its ample resources, making the Canary Islands an ideal choice, as explained by Irina Yanisev Neterova, a History scholar and the author of a remarkable book titled Canary Islands in Spanish-Soviet relations 1965-1991 on the program Episodes Islanders of Canary Radio: “The Islands served as a fairly convenient supply point from a logistical standpoint, but with no existing relations between the two nations, a maritime treaty was signed between Spain and the USSR in 1967. Only two years later, another treaty was concluded to enable the arrival of these vessels in the Canary Islands, culminating in the formation of the joint enterprise Sovhispan in 1971.”
Sovhispan’s Commercial Endeavours
The pact, as reported by ABC, entailed the circulation of 15,000 Soviet sailors and 200 technicians in exchange for 20 million dollars to Spain and complete immunity for the USSR personnel. Many of these workers began to arouse suspicion quite early on, particularly from the late 1970s onwards: were they truly spies?


It is a fact that commencing from the Canary Islands, these ships traversed from Mauritania to Namibia, encompassing nearly 6,000 kilometres of coastline, with the African continent being the principal location where KGB (State Security Committee) operatives predominantly operated, although espionage became an issue affecting the Canary Islands and Spain. Everything began to unravel in the late 70s, when on the 5th of March, 1977, Yuri Pivoravov, a representative of the corporation, was expelled from the country upon discovery of his involvement in procuring information on weaponry and heavy industry.
The predicament arose from the fact that these crews, in addition to the agreed amounts between various governments, injected a substantial amount of money into the economy of the Canary Islands. It has been estimated that each crew member spent a total of two million pesetas on purchases such as clothing, electronics, or alcoholic beverages, which at times led to a preference for turning a blind eye. We are referring to crews that tripled the typical size of those seen in Spain. “Their fishing vessels operated for six months, manned by crews of 80 individuals (Spanish vessels at the time had 30) working in three eight-hour shifts,” as conveyed by the former director of the Spanish-Soviet shipping company, José Luis Puriños, to Theagos.
During the late 20th century, the ports of Santa Cruz de Tenerife and Las Palmas saw a significant influx of commerce. Signs in Cyrillic script were a common sight in these areas, aimed at attracting sailors to local businesses,” reminisces Irina Yanisev Neterova. She adds, “I had the opportunity to interview Sovhispan workers, who spoke highly of their experiences there, praising the working conditions and overall atmosphere.”
To improve connectivity, direct flights were established between Tenerife, Gran Canaria, and Moscow, which also boosted tourism during that period. This facilitated the access of Tenerife residents to high-quality goods at affordable prices, including clothing, footwear, and cameras.
However, the smooth operation of Sovhispan was marred by espionage issues that couldn’t be ignored. In 1981, Yuri Ivanovich Butchkov, the Soviet general director living in Santa Cruz de Tenerife, was ordered to leave the country for “jeopardizing national security.” The Spanish media at the time was rife with speculations regarding espionage activities. While focusing on the economic and business aspects, Yanisev Neterova acknowledges the widespread concerns but underlines the importance of relying on primary sources for historical research.


Despite political tensions, Sovhispan continued its operations. Between 1977 and 1983, up to 12 individuals associated with Sovhispan were expelled from Spain, some of whom were residents of the Canary Islands. Reports from DIARY NOTICE on March 8, 1981, indicated that the Spanish government was monitoring 108 “potential KGB spies.” It was believed that around “150 Russian agents” were active in Madrid and the Canary Islands, with 79 of them linked to the embassy in Madrid and the Canary Islands, particularly close to Sovhispan.
The chapter of this intriguing company came to an end in 1991. Spain’s entry into the European Economic Community in 1986 and the rise of Mikhail Gorbachev and his Perestroika were pivotal in Sovhispan’s dissolution. The privatization process, along with the withdrawal of state support for large public enterprises and the division of the Soviet fleet among different nations, particularly contributed to its closure.
Following Sovhispan’s closure, the landscape of Anaga Avenue and other parts of Santa Cruz de Tenerife changed. The once familiar Cyrillic business signs disappeared, and the practice of bartering with sailors, who were known for being well-stocked with caviar and crab, ceased. The alleged KGB spies had long departed the Canary Islands.