Market study says Russian coatings market boasts solid growth rate, expansion opportunities

Citation

(2004), "Market study says Russian coatings market boasts solid growth rate, expansion opportunities", Pigment & Resin Technology, Vol. 33 No. 3. https://doi.org/10.1108/prt.2004.12933cab.024

Market study says Russian coatings market boasts solid growth rate, expansion opportunities

Market study says Russian coatings market boasts solid growth rate, expansion opportunities

A new market report from Information Research Ltd. (IRL), London, estimates 2003 coatings demand in the Russian Federation at 880,000 metric tons, with domestic production accounting for 70 percent of the total and imports supplying the remaining 30 percent. The first edition of “A Profile of the Russian Paint Industry” reports that most of the Russian Federation's markets are experiencing coatings demand growth of 6-8 percent annually.

The study says the Russian coatings industry is dominated by five companies that command a combined market share of approximately 47 percent, with Spektr Industrial Group's Yaroslavl and Russkiye Kraski businesses owning the leading positions with a 23 percent share. New Community Financial-Industrial Group holds a 14 percent share, and Teks Holding is reported to hold a 10 percent share.

The report describes the domestic coatings sector as offering significant opportunities, due to the industry's “outdated technology” and “limited range of raw materials.” The industry also possesses “considerable room for globalization – when Russia can escape from the shadow of China,” IRL said in announcing the study's release.

“New technologies are required to help companies differentiate their products and the performance benefits they bring,” IRL said. “Many are looking to the West for industrial equipment, but licensing could prove lucrative to the industry itself.” In addition, IRL said, Russia and its 10 neighboring countries offer an opportunity for coatings manufacturers to reach other markets that “are also struggling with otherwise old technology”.

The report's sections address the Russian paint industry; Russian paint production, trade and consumption; market data; end-user industries; a market forecast; and associations and organizations. Also included are detailed production figures for 2002 and a directory of Russian coatings manufacturers.

The study is offered for £2,000 (approximately $3,666), with sections available individually for purchase online. More information is available from the IRL website, available at www.informationresearch.uk.