HOW RUSSIA’S KEY BUILDING & FINISHING MATERIALS SECTORS ARE FARING IN 2018
Russia’s enormous build and interiors industry, one of the largest in the world, is set for further growth as the rouble stabilises, providing a wealth of opportunities for international suppliers of materials and products
New house building volumes are expected to rise and large-scale projects in the civil engineering sector are forecasted to drive growth over the next two years.
We delve into the key sectors of Russia’s build and interiors materials industry for a closer look at the market.
The ceramics sector, Russia ’s largest building materials market segment in terms of imports, fared well in 2017, enjoying a healthy 3% rise in domestic consumption estimated at 180 million sqm. Imports also showed the first signs of recovery following three years of contraction, climbing to 42 million sqm (+11%).
The building materials sector is also seeing positive indicators - imports of paints have been on the increase since 2016, alongside rising imports of gravel, crushed stone and building stone. Other key materials largely imported include brick, cement, glazing, silicate boards, cement bricks, construction mixes, and reinforced concrete structures.
According to industry experts, overall sales of sanitary ware and bathroom fittings are steadily growing. This is largely due to dynamic developments on the housing market and consumers’ renovations. International companies account for 70% of sales in Russia, as consumers value high quality.
The flooring market is going strong in Russia, with a growth in sales of 3.5% predicted by the end of 2018, and continued growth expected to reach 312 million m2 by 2020. Currently, Russia’s most popular type of flooring material is tiles, but domestic production is set to show a slight decrease by 2020, leaving the door wide open for international suppliers.
The interiors sector has remained buoyant throughout the economic downturn and is due to benefit from forecasted increases in consumer spending. The mortgage market growing 30% in 2017 is set to impact Russia’s interior and DIY sectors as increased house buying fosters spending on home improvements.
Doors & locks
In 2018, growth for the door market is expected to reach 6-10% according to Nauch Forum as increased housebuilding and renovation of Soviet-era buildings continues. The door market is far from saturated and has good development potential. Russian manufacturers currently supply around 73% of the market, with 27% supplied by international manufacturers primarily from Italy, the UK, and Israel for premium quality doors, and China for doors in the lower-end of the market.
Access this promising market
A huge market with growth on the horizon, Russia is ripe with opportunities for international suppliers of materials and products.
Interested in taking advantage of this market?
MosBuild, Russia’s largest build & interiors materials exhibition, is the best market entry point for manufacturers and suppliers looking to expand into Russia.
As the largest event of its kind in Russia, it’s where industry leaders come together to discuss market prospects, meet colleagues, and most importantly to source new products and materials for their wholesale and retail businesses.
In 2018, the event saw 32,000 buyers interested in sourcing building materials and 31,000 in interior finishes.
To find out more about the show, book a stand.BOOK YOUR STAND