Source: |
STAT-USA on the Internet
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In 1997, domestic production in construction materials industry amounted to $1.2 billion. However, these volumes are 3-4 times lower than during Soviet times. According to the State Statistical Committee of Ukraine, approximately 42% of Ukraine's construction enterprises worked at a loss in 1997.
During 1997-1998, many sub-sectors of the building material industry (i.e., wall materials, building bricks, prefabricated reinforced concrete, building metal constructions, construction joinery goods, gypsum, ceramic tiles, and glass) saw declines in production ranging from 10-20%. Production of building bricks, linoleum, and ceramic tiles declined by approximately 30%.
The State Statistics Committee of Ukraine reported that on average, the production of building materials in the first half of 1998 increased, compared to first half of 1997. Production of facade ceramic tiles, pipes, and silicate increased by 31-48%, production of cement, ceramic bathroom fixtures, ceramic sinks, wash basins, baths, and glazed ceramic tiles for interior design - increased by 12-19%, and production of bricks and ferroconcrete constructions - increased by 5%. At the same time, production of linoleum, soft roofing materials, and construction glass decreased by 13-17%. Crushed stone, granite, cement, kaoline, and ceramic bricks are the main building materials exported to Russia and the bordering countries of Ukraine.
Unfortunately, the State Statistics Committee of Ukraine does not have detailed information on imports of building materials. The only export/import data available is for stone, gypsum, cement, glass, asbestos, and ceramic tiles. This information does not show the real volume of all export/import transactions. It is estimated that an average import of building materials is approximately US$100 million, while an average export equals approximately US$70 million.
Market Size Data (in US$ Millions)
1997 1998 1999 A. Total Market Size n/a n/a n/a B. Total Local Production 1.2 billion n/a n/a C. Total Exports 70 n/a n/a D. Total Imports 100 n/a n/a E. Imports from the U.S. n/a n/a n/a
EXPORTS AND IMPORTS BY PRODUCT LINE (Jan.-Mar. 1998)
Exports Imports Share in the
Product Line from Ukraine to Ukraine Average Volume of
(in US$ thousands) Exports / Imports
----------------------------------------------------------------
Stone, gypsum, 26,564.37 35,364.40 0.97 / 1.00
cement, glass,
asbestos
to include: stone, gypsum 8,619.46 8,519.28 0.32 / 0.24 ceramic tiles 10,200.82 12,464.08 0.37 / 0.35 glass 7,744.09 14,381.04 0.28 / 0.41
Source: Ukrainian State Committee on Statistics
EXPORTS TO UKRAINE (in US$ thousands):
---------------------------------------------------------------
Product Jan. - Jan. - 1997 1996
March March
1998 1997
Articles of 117 463 1,441 602 stone, plaster, cement, asbestos, mica
Ceramic 59 93 697 146 products
Glass and 38 88 339 245 glassware
Source: U.S government official statistics
IMPORTS FROM UKRAINE (in US$ thousands):
--------------------------------------------------------------
Product Jan. - Jan. - 1997 1996
March March
1998 1997
Articles of 28 13 76 37 stone, plaster, cement, asbestos, mica
Ceramic 10 0/1 0/1 31 products
Glass and 62 36 357 303 glassware
Source: U.S. government official statistics
There are no official statistics on the Ukrainian market for building materials, however, it can be estimated by calculating an approximate consumption of building materials by two major end-user groups: general consumers and contractors. According to a survey conducted by the Project Consulting Group, on the behalf of Perry and Associates, the average purchase per household can be estimated in the following way:
Households Average expense Total 1,100,000 US$ 85/year US$ 93.5 million/year
This figure was adjusted for renovation of residential property in Ukraine in line with the Kyiv region's population and economic weight:
Sales in US$/year:
Overall market for building 610 million materials in Ukraine (Taken from market figure for renovation of residential property)
divided by 51 million 12
(per capita figure)
weighted by wealth *(2x) and by population (3.5 million) building materials market in Kyiv and Kyiv oblast 84 million ----------------------------------------------------------------
* Note: Estimates put the real average monthly salary of Kyivites at twice the average wage. This takes into account earnings from the "shadow" or informal economy.
The Project Consulting Group estimates the contractor market size in accordance with the number of contractors operating in the market and the volume of purchases they make for providing high- quality construction services. The contractor market (residential and non-residential construction for Ukraine) can be estimated at US$4,600 million in sales a year.
Official estimates on local production, export, and import of building materials for 1999 are not available at this time. Industry specialists are forecasting that domestic production will increase by approximately 10% due to the increase in joint manufacturing of building materials in Ukraine.