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Russian Plywood Coming Upon The World Market

June 10, 2015

A popular misconception than the Russian economy is totally resource-based is contradicted by the real facts of our country's leadership in exporting some high value added products. For instance, Russia is one of the world's biggest plywood exporters after China, Malaysia, and Indonesia: only in 2014 Russia exported over 2,041,873 cubic meters of plywood. Production of such a demanded material requires a combination of the cutting-edge technology, a high corporate culture, and state-of-the-art management techniques.

While the domestic market is contracting, the Russian plywood industry keeps conquering the global market. The industry's powerhouse is made up of large business structures that have long and successfully operated both in Russia and abroad. The flagship is certainly SVEZA, the world's leader in birch plywood manufacturing.

The company's six mills are located in the regions richest in birch forests. Today, SVEZA holds the leading positions bot on the domestic market (28%) and globally (21%). The company's products consumers come from 70 countries. Over 50% of export falls upon the European countries where buyers impost strict requirements to the product quality and supply conditions.

That's why the appearance by Andrey Immoreyev, head of SVEZA group sales and marketing at the industry's top forum "Russia's Timber Complex 2015" drew great interest. The forum was held in mid April in Moscow. Andrey Immoreyev told how to work successfully under changing market conditions without reducing investments, but still increasing export.

The key leadership drivers that lead a company to success on the global market, to Andrey Immoreyev's opinion, are persistently high supply volume, a wide product range, and optimized logistics. This is why SVEZA's products are widely used in construction of important projects all over the world. For example, at Olympic venues in London, Mercedes-Benz Museum in Stuttgart, La Scala theater reconstruction, Kuwait's tallest skyscraper Al Hamra Firdous, Panama Canal modernization. SVEZA is used in German-made Schmitz Cargobull trailers manufacturing, and high-end speakers from the famous American HARMAN company. Among other areas of use furniture industry should be noted, as well as flooring production.

Leadership is impossible without great effort. SVEZA pays careful attention to new product development. For example, in 2015 a patent was registered for special SVEZA Deck 350 plywood with mark-out grid that allows to reduce formwork installation times at cast-in-place construction. This product is now sold not only in Russia, but also abroad.

Under the increasing competition conditions, the company is actively investing in its main production. In two next years, SVEZA is going to invest several billion rubles to upgrade its mills, which will allow to both increase production volume, broaden the product range, and also reduce costs by optimizing its facilities' energy efficiency dramatically.

Today SVEZA produces 1,260,000m3 of wood board a year. Active customer communication allows to improve the product range and acquire new room in the market. Being a leader of the world's market in one's industry is quite familiar to the Russian businessmen. That's why the leading manufacturers' experience becomes even more valuable, because a successful competition on the global scale requires many years' experience, developed competences, and strategic vision.

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