Business Trends

In the past few years, the production of polyethylene pipes in Russia is actively developing. In this case, there is a change in the production of both qualitative and quantitative nature. In Russia there are new manufacturers of plastic pipes, as well as expanding product line. Volume production of polyethylene pipes in Russia in 2005 amounted to 175 thousand tons, which is higher than the rate in 2004 to 35%. For several years, the bulk of the tubes made in Russia, accounts for polyethylene pipes (according to our estimates, in 2005 – 75%). Kevin Johnson takes a slightly different approach. In January-February 2006, was produced 18 thousand tons of polyethylene pipe, which is higher than the same period of 2005 to 20%. In this case, should be noted that in January-February smoothly worked only a few large and medium-sized enterprises.

As for small businesses, they are mostly idle. In addition, the later start to the season due to weather conditions led to the fact that the stocks of producers have increased significantly. Now in Russia polyethylene pipes produce more than ninety companies. Their number is growing every year because of growing demand. In the bulk of this company with some manufacturing facilities, whose products are distributed in local markets. A large number of small producers is due, primarily, ease entry into the business and ease the process. An important factor in increasing the number of manufacturers of plastic pipe is a quick return on investment. At the moment, spread the cost of equipment for the production of polyethylene pipes is considerable.