Eastern markets an opportunity for Polish construction industry?

Thinking of Eastern markets as the first arises mostly Russia as with the huge
Thinking of Eastern markets as the first arises mostly Russia as with the huge
Russia, Kazakhstan, Belarus and Moldova may be the perfect business environment for the Polish construction industry.

Is the Polish construction sector can benefit from cooperation with eastern markets, such as Russia, Kazakhstan, Moldova and Belarus? Political turmoil, unstable social environment, legal and cultural differences and different business practices - all this may discourage domestic entrepreneurs. Is it correct? For this and many other questions to answer experts participating in the conference about potential of eastern markets for the Polish construction sector, which will be held in September 2014. During the fair Warsaw Build in collaboration with the Institute INTL (Institute of Innovation and New Technologies in Logistics Ltd.)

The huge potential of Russia

Thinking of Eastern markets as the first arises mostly Russia as with the huge, prestigious market, which is often underestimated by Polish entrepreneurs. The reason is largely prejudices, but also the actions of Russia, through which the country is perceived as a closed, hostile and backward. Developed by Polish businessmen to expand into this market, it is necessary to reject the historical and political perspective.

Polish investors are present more in the Russian manufacturing industry and financial services than in the construction sector, according to data from the Institute INTL. This is not a good trend, because along with the stabilization of Russia's economic development followed the construction industry, which translates to, inter alia, to strong demand for construction materials.

Where in Russia are present Polish entrepreneurs? As for Russia, Polish investments focus mainly on three areas - 82 percent of them are located in the regions of Moscow, Leningrad and Kaliningrad. Only these three regions accumulate approx. 26 million customers - explains Anna Zurek, Manager. Trade and Marketing from the Institute of INTL. Thus, the Polish entrepreneurs forget about the rest of the Russian market, with its great potential and a customer in the number of approx. 120 million. One of the "forgotten" and neglected regions rich region of Siberia, where there are several large, millions of cities, such as Jekatierinburg (approx. 1.4 million inhabitants), Omsk (1.2 million inhabitants) and Novosibirsk - the largest city in the region Siberia, with a population of 1.45 million inhabitants - he adds.

It is worth mentioning that in the nearest future Russia will host two major sporting events, i.e. Hockey World Cup in 2016 and the FIFA World Cup 2018. These events are a great opportunity for construction companies as it is necessary to create the infrastructure and construction of new facilities.

Attractive markets

Native entrepreneurs should pay attention to, besides Russia, also for other developing Eastern markets such as Belarus, Kazakhstan and Moldova. INTL Institute experts also point to Mongolia, which in the long term may surprise its potential.

More about the opportunities for Polish construction industry in the context of the eastern markets will tell the conference participants, which will be held on September 19 current year in the Warsaw International Expocentre EXPO XXI Warsaw during the fair Build 2014. Moderators will introduce the specificity of countries such as Belarus, Ukraine, Russia, Moldova and Kazakhstan, and Uzbekistan. There will also be discussion, among others, on planned infrastructure investments in the region, as well as issues related to the financing of the activities in the eastern markets. During the conference, also will be carrying out case studies presenting the activities of Polish companies in the construction sector in the east.


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