News
13.04.2017

Ukraine loses 1 billion hryvnas on purchasing metal structures that it could produce itself

Ukraine is in the top 10 countries producing metal, but wastes its opportunities. 80% of Ukrainian metal are sold abroad as raw materials, and only 20% are used to produce more complicated products such as construction metal structures.

Our country has all the conditions to increase volumes: an excess of raw materials for production (it is just 500% of raw steel remained after domestic consumption), the strong production capacity and the convenient country’s location in terms of main potential sales market. Instead, we import metal structures for construction from other countries spending more than 1 billion hryvnas annually.

One of the reasons for this situation is a clogged and outdated regulatory framework. For example, the standards still contain instructions to use enamels and primers, which have been took out of production long ago. The BRDO experts collected all regulatory gaps of the metal structures market and the analysis of their causes in a research study – Green Paper “Rolling review of the state regulation of the Construction metal structures market”.

The experts of the BRDO’s Construction sector believe that regulatory changes should be the basis to simplify the market access for business representatives and introduce modern technological solutions in construction. Harmonization of the national legislation with the European one will allow to start using international technical regulations, and reduce non-tariff barriers to develop export-import operations. As a result, the change of rules will provide the opportunities for production and construction of modern infrastructure facilities: bridges, railways, ports; technological industrial buildings; high-rise residential and commercial buildings: shopping centers and residential buildings. These products will be both on the domestic market and for export.

We start a Public dialogue, the first stage of which – online consultations with all stakeholders in the sector of metal structures. The results of public consultations will form the basis of proposals on legislative changes in the market.

Learn about the study results in the Green Paper “Rolling review of the state regulation of the Construction metal structures market” and leave your comments.

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