Construction Industry In Kazakhstan Fostered By Government-initiated Programmes

One of the most prominent programmes prepared by the government is the State Programme on Forced Industrial-Innovative Development for 2010-2014, the main aim of which is to diversify the economy and increase its competitiveness. The programme calls for the expansion of several sectors, such as chemicals, nuclear and manufacturing, and to this effect, numerous investment projects are being implemented. Within the programme, 227 industrial plants and facilities have already been completed, at a total cost of $6.2bn. In turn, within the Road Map programme, 1,535 social system facilities were renovated in 2009-2010 as well as 2,634 educational facilities, 764 healthcare facilities, 119 sports facilities, and 361 cultural facilities. This led to an 18.6% increase in the value of renovation and reconstruction works in 2010.
However, government support was not sufficient to counterbalance the reduction in volumes of private sector investment. As a result, there was a reduction in the volumes of both residential and non-residential buildings, with housing construction being the most severely affected. The share of residential construction work as a proportion of the total volume of construction output in Kazakhstan fell from 19.3% in 2007 to 5.8% in 2009. In 2010, there was a slight increase in housing construction value, but the figure was still 62% lower than the figure in 2007, when this market area reached its peak. Overall, construction output grew by 1% last year and a similar growth rate was seen in the first half of 2011.

The total value of investment in residential construction decreased by 2% in 2010, though this could be considered mild in comparison with the 41% decline observed in 2009. State support continues to be provided and, coupled with increased volumes of loans, hope of a recovery on the residential construction market in Kazakhstan is strong. In the first half of 2011, the value of capital investment in the sector increased by 24.3%, with almost half of the total investment coming from the Kazakh people. Another positive sign of an ongoing revival on the residential market is that the number of buy/sale transactions has increased substantially, which indicates that demand for housing is back and strong. Housing development will also continue to be supported by the government and substantial amounts have been allocated for this purpose through the 2011-2014 housing construction programme.

This press release is based on information contained in the latest PMR report entitled Construction sector in Kazakhstan 2011 – Development forecasts for 2011-2013.

For more information on the report please contact:
Marketing Department:
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e-mail: [emailprotected]

Russian Construction Market Resumes Robust Growth

Interested business people can review this statistics, along with expert analysis and forecasts for the period to 2014 in PMRs report, Construction sector in Russia H2 2011, Development forecasts for 2011-2014.

This comprehensive document reveals all the details on market segment values and shares, trends and legal events, and volume of new roadways and residential apartments slated for completion during the forecast period. It also provides analysis of Russian macroeconomic conditions, levels of foreign and domestic investment, and sources of funding related to various government programmes.

Just as we had predicted in the previous edition of the report, the Russian construction industry http://www.constructionrussia.com/ has recently resumed growth, with the value of construction output up by 17.6% in July. Such vibrant growth was last seen more than three years ago during the construction boom. The upcoming months will show whether this positive trend is sustainable. However, another optimistic development has been the long-awaited recovery in residential construction, where a 19% growth was reported in July. Construction activity in the country is also being boosted by infrastructure development, particularly in the area of transport infrastructure.

In order to locate and capitalize on new construction sector opportunities as they arise, you need direct access to the latest news, sharpest analysis, most reliable statistics and knowledgeable forecasting available. Read Construction sector in Russia H2 2011, Development forecasts for 2011-2014 today, and refer to this report from PMR on a regular basis as you monitor market expansion and contemplate new business strategies.

Readers will examine the playing field through detailed profiles of Russias top domestic and foreign construction companies. Theyll learn about their financial standings, potential projects and newly acquired and completed contracts, and projections for the future as well as corporate strategies for the period to 2014. Forecasts for the value of construction and assembly production for this period are also provided for the market as a single unit and for all segments.

This report also analyses trends that will affect market progress, such as prices, salaries, employment levels, levels of foreign and domestic investment, government programmes, cement production and macroeconomic conditions in Russia.

While preparing Construction sector in Russia H2 2011, Development forecasts for 2011-2014 PMRs expert analysts have thoroughly researched all salient aspects of the market, consulted their most reliable sources and created a market guide that answers the questions of readers on all major issues with regard to both the current status and future progression of this dynamic market sector.

For more information on the report please contact:
Marketing Department:
tel. /48/ 12 618 90 00
e-mail: [emailprotected]

Polish Road Construction Market To Grow Nearly 25% In 2011

According to the report “Road construction in Poland 2011-Development forecast for 2011-2014″ published by PMR, a market research company, following the growth exceeding 40% in H1 2011, the second half of the year will see a moderate slowdown in construction output generated by road and bridge projects. As a result, the value of roadwork projects in 2011 as a whole is expected to increase by nearly a quarter to just under PLN 31bn (7.7bn).

The value of projects completed by the road construction industry will peak in 2011 and the sector will report steady declines of several percent starting from 2012, which will be due to a lower number of motorway and expressway sections under construction. PMR researchers anticipate that the road construction sector will bottom out in 2014 when its output is expected to be a little more than PLN 19bn (4.7bn). However, construction output generated by road projects can start to grow again from 2015, partly driven by the positive financial perspective for 2014-2020 benefitting Poland and at least one PPP motorway construction project planned around that date.
Due to numerous delays in the implementation of expressway and motorway construction projects, GDDKiA’s plan providing for expenditure of PLN 33bn (8.2bn) in 2011 is highly unfeasible. Accordingly, part of payments will be put off until 2012 and 2013. As a result of delays in the implementation of road projects, the road construction market will be less exposed to a shock resulting from a fall in the number of new large road construction contracts expected in 2013.

According to PMR researchers, it is rather unlikely for expenditure on national road construction in Poland to fall back to levels recorded before 2007 when GDDKiA’s spending was less than PLN 10bn (2.5bn) annually, partly due to many legal incentives facilitating project preparation introduced ever since and more possibilities for obtaining EU funding. Investment projects gained so much momentum in the last three years that there is hardly a way to stop them at this point”, says Bartlomiej Sosna, Senior Construction Analyst at PMR and the author of the report.

In addition to GDDKiA’s dwindling budget, in 2011 the road market will be adversely affected by investment projects undertaken by licencees, which will fall to virtually zero in 2012 (two large PPP projects are scheduled for completion by the end of 2011). New projects by private licencees will not start earlier than 2014, depending on the success of negotiations concerning the construction of a 140 km Tuszyn-Pyrzowice section of the A1 motorway.
Since spending on national road investment projects is anticipated to fall after 2012, funds expended under the local road reconstruction programme, which will be continued in 2012-2015, will gain more significance as a source of funding for road projects. The fact that the programme will go on is very good news, especially given the anticipated reduction in the number of large road construction contracts. It is possible that local contracts will increasingly attract large construction companies which have access to free capacity in a given region.

We are also of the opinion that the standing of smaller companies involved in road work can improve on the back of the expected increase in investment spending in the power construction industry, which is expected to be the key growth driver for the civil engineering construction market in Poland in the future. A large number of power construction projects scheduled after 2013 would greatly enhance books of orders of the major civil engineering construction companies. As a result, these companies would be able to employ medium-sized providers of road construction services as subcontractors in future road work contracts. However, if power projects are not launched or if there are any delays in their implementation, the large contractors will perform nearly all future road work contracts exclusively using their internal resources, as they will have to face thinner books of orders and maintain workforce numbers. Were this scenario reality, it would be put an end to many medium-sized companies operating in the road construction market”, adds Bartlomiej Sosna, Senior Construction Analyst at PMR and the author of the report.

This press release is based on information contained in the latest PMR report entitled “Road construction in Poland 2011-Development forecast for 2011-2014”.

For more information on the report please contact:
Marketing Department:
tel. /48/ 12 618 90 00
e-mail: [emailprotected]

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Russian Construction Industry Is Set To Resume Growth

Whereas Russias economy is believed to have recovered already from the crisis, the construction industry is set to resume growth in the upcoming months, which is evidenced by the growing value of construction contracts signed. While the residential and non-residential markets remain subdued, construction activity in the country is being boosted by infrastructure development. In the short term, projects related to the Sochi Olympics and the Vladivostok APEC Summit are of greatest importance, and in the medium and long term, the construction sector will be fostered by the need to build stadiums, hotels and the necessary transport infrastructure for the 2018 FIFA World Cup.

In order to capitalize on new opportunities driven by the current expansion and upcoming events in Russia, you need direct access to the latest news, sharpest analysis, most reliable statistics and knowledgeable forecasting available. Read Construction sector in Russia H1 2011, Market analysis and development forecasts for 2011-2013 today, and refer to this new report from PMR on a regular basis as you monitor market expansion and contemplate new business strategies.

In depth analysis of all the latest developments in residential, non-residential and civil engineering construction, current assessments of market size, value, prices of equipment and materials, legal conditions, planned contracts and investments can be found within these pages, along with the trend analysis and forecasts essential to success in the coming years. Wide in scope and unique in origin, this document takes readers inside the world of Russian construction for a close up view of the market regardless of their country of origin.

Major market players are brought to life with detailed profiles of the largest and most active participants. Recent contracts, financial status, and strategies for the future are covered. Governmental influence is chronicled in reporting on issues destined to affect the market and the profits and procedures of investors, and contractors who build the apartment buildings, warehouses, roads and railways, stadiums and hotels needed to meet demand.

While preparing Construction sector in Russia H1 2011, Market analysis and development forecasts for 2011-2013, PMRs expert analysts have thoroughly researched all salient aspects of the market, consulted their most reliable sources and created the ultimate guide to both the current status and future progression of this dynamic marketplace. Your copy is just a phone call or an email away!