CIS MINING SURVEY. Market research Mining equipment analysis Market entry strategy F I N D E T R A O Y

Size: px

Start display at page:

Download "CIS MINING SURVEY. Market research Mining equipment analysis Market entry strategy F I N D E T R A O Y"

Georgina Newton
5 years ago
Views:

1 CIS MINING SURVEY Market research Mining equipment analysis Market entry strategy F I N D E T R A O Y P.O.B. 27 FIN Tampere, FINLAND tel Bank: Nordea VAT reg. no. FI Trade reg. no

2 Copyright Veikko Kärnä and Findetra Oy Tampere 2008

3 TABLE OF CONTENT INTRODUCTION... 4 KEY RESULTS AND RECOMMENDATIONS... 6 A LIST OF MAJOR PROPOSED ACTIONS POLITICS AND THE ECONOMY RUSSIAN & CIS MINING INDUSTRY EQUIPMENT ANALYSIS DISTRIBUTORS OF MINING EQUIPMENT MANUFACTURER PROFILES PERPECTIVES IN THE CIS-COUNTRIES MARKETING AND SALES SET-UP IN THE CIS LIST OF TABLES LIST OF FIGURES... 19

4 Findetra Oy.

5 INTRODUCTION This report on the mining equipment market in Russia and other CIS countries is produced by Findetra Oy. Interest in the CIS mining industry is understandable, because the CIS mining equipment market is possibly set to become one of the largest markets in the world, in view of the growing economies, and the ambitious plans of the governments for improving the infrastructure and expanding the mining, oil and gas industries, which can bring revenues to the CIS countries. The aim of this report is to present a concise overview of the development of the mining sector and mining equipment market in Russia and other CIS countries, assessing the major changes which have taken place, and those which are likely to occur in the near future. Furthermore, the purpose of this report is to create a marketing and sales concept for Russia and other CIS countries; e.g. how can a Western producer arrange its commercial presence on the CIS mining equipment market. The coverage is organised as follows: The first section includes important topics of a general background nature, such as political and economic history, current economic activity in mining and its prospects, and the general economy. The second section covers the general development of mining sector in Russia and other CIS countries from Soviet Union to Commonwealth of Independent States (CIS); e.g. from 1990 till 2008 The third section covers the mining equipment market in Russia. In this section the overall market for shovels, excavators, dozers, loaders and dump trucks is presented. The fourth section gives comprehensive profiles of the leading importers of mining equipment. The fifth section includes comprehensive profiles of the major local manufacturers of mining equipment. The sixth section draws the conclusions of the previous chapters and defines the available market and perpective customers for Western companies. The final seventh section discusses the needed marketing and sales setup in the CIS countries.

6 For the purposes of clarity the main sections or chapters of this report are quite independent. Thus, if the reader is not interested in a particular section of this report, he can jump over to the next chapter. Key results and recommendations of the survey are presented on page 6. Findetra Oy.

7 KEY RESULTS AND RECOMMENDATIONS

8 A LIST OF MAJOR PROPOSED ACTIONS Findetra Oy.

9 1 POLITICS AND THE ECONOMY This chapter covers the overall historic, political, economic and transitional development of Russia and other CIS countries.

10 Findetra Oy. 1.1 Political Background 1.2 Political system and the regions 1.3 International Relations 1.4 Geography 1.5 Climate 1.6 Population 1.7 Economic background 1.8 The rich and the poor 1.9 Mining industry 1.10 Manufacturing 1.11 Other CIS countries

11 2 RUSSIAN & CIS MINING INDUSTRY This chapter presents the overall development of the Russian Mining Industry (RMI) after the collapse of Soviet Union. 2.1 Soviet Mining Industry 2.2 The transition from state owned to private mining industry 2.3 Two contradictionary directions of development 2.4 The Russian Mining Industry today Ferrous metals: Non-ferrous metals: The coal mining industry: Other mining sectors: 2.5 The other CIS-countries Mining Industry today Kazakhstan Uzbekistan Ukraine Mongolia

12 Findetra Oy. 2.6 Current Trends in the Russian Mining Industry 2.7 International cooperation and the Russian Mining Industry 2.8 Conclusion

13 3 EQUIPMENT ANALYSIS This chapter analyses the Russian mining equipment market. The focus is on chosen equipment. 3.1 The Russian mining equipment 3.2 Shovels and draglines 3.3 Hydraulic Excavators 3.4 Crawler Dozers 3.5 Wheeled Loaders 3.6 Dump Trucks

14 Findetra Oy. 4 DISTRIBUTORS OF MINING EQUIPMENT This chapter presents the distributors of mining equipment relevant to Western importers, and studies how they have arranged their sales on the market.

15 5 MANUFACTURER PROFILES This chapter presents the main suppliers of CIS manufactured mining equipment.

16 Findetra Oy. 6 PERPECTIVES IN THE CIS-COUNTRIES This chapter analyses what are the general perspective of a Western company on the Russian and CIS market. 6.1 Mining machines available on the market 6.2 Major buyers of imported equipment in the CIS 6.3 Perspective customers hit list 6.4 Estimated market in the CIS

17 7 MARKETING AND SALES SET-UP IN THE CIS This chapter will present the alternatives for sales set-up in the CIS countries and discusses the barriers of sale. 7.1 Set-up modes available in the CIS 7.2 Suitable sales intermediates 7.3 Cooperation with mining equipment producers 7.4 Must have products for penetration 7.5 Russian sales barriers 7.6 Concluding remark Mining machinery market in Russia and other CIS countries is going to continue to grow strongly for the next 3-5 years if not longer. In the natural resources sector, even if high energy and raw material prices decline somewhat from their historically high levels, and political interference remains problematic, the Russian companies participating in the extraction business will have access to investment capital and they are interested in modernisation for both cost reduction and productivity enhancements. The inevitable modernisation of the old mining enterprises, and forthcoming auctions of large Russian and other CIS countries natural

18 resources deposits will ensure that the equipment fleet in these countries will evolve towards bigger units. Findetra Oy.

19 LIST OF TABLES

20 LIST OF FIGURES Findetra Oy.

21 About Findetra Oy Findetra provides reliable market intelligence for business professionals interested in Eastern European countries. The focus in on Russia and other CIS countries, and Findetra Oy analyses in particular the construction, mining and municipial sectors. To find out more about Russia and other CIS countries please visit

4 7 June,2019. Leading construction show. For 20 years.

4 7 June,2019. Leading construction show. For 20 years. 4 7 June,2019 Leading construction show. For 20 years. International Trade Fair for Construction Equipment and Technologies. June 4 7, 2019, Moscow www.bauma-ctt.ru Leading construction equipment show