Metal-Expo Organizing Committee to Accentuate Priorities in the Program of Metal-Week in Moscow

The meeting of the Organizing Committee of Metal-Expo’2009 was held on May 21, 2009 at Zurab Tseretely’s Art Gallery in Moscow. Heads of unions and associations of the steel industry, machine-building, and construction such as Ministry of Industry and Trade of the Russian Federation, Russian Union of Industrialists and Entrepreneurs, Russian Chamber of Trade and Commerce, Russian Union of Metal and Steel Suppliers, Russian Builders’ Association, International Metallurgists Union, Russian Union of Metal Exporters, Tsvetmetobrabotka Institute, TSNIICHERMET, GINTSVETMET, VNIIMETMASH, TSNIITMASH etc. took part in the meeting. Members of the Organizing Committee discussed the state of things and prospects of the development of the steel and related industries as well as the program of events at Metal-Expo’2009.
The exhibition industry changes, some projects can not stand the competitiveness in the market. V. Semyonov, Co-Chairman of Metal-Expo Organizing Committee, Director of Basic Industries, Ministry of Industry and Trade of the Russian Federation pointed out that the Organizing Committee needed to explain top management of companies that it was unreasonable to save money on participation in such efficient in terms of companies and products promotion events. Characterizing the state of things in the steel industry he noted that the demand for steel retained in the power machine-building and oil and gas complexes whereas consumption in machine-tool industry and heavy machine-building was very low. He also reminded that Metal-Expo had always helped market participants find solutions to problems and Metal-Expo’2009 would not be an exception. The exhibition clearly showed possibilities and demands of steelmakers and guided their partners. Joint interests of different industries enabled to get multiplicative effect.
A. Romanov, Co-Chairman of Metal-Expo Organizing Committee, President of Russian Union of Metal and Steel Suppliers presumed that the 2009 exhibition would host some 30 thousand professionals who would visit it to sum up the year, understand trends, get information and guidelines and exchange opinions with other market participants.
The Organizing Committee discussed program of events of the Metal Week in Moscow consisting of conferences, seminars, and round tables adjusting it according to the forecasts of state of things in the steel industry and the steel market trends in the autumn 2009 and 2010. The Metal Week in Moscow will open with Russian Metal and Steel Market conference the first session of which will de dedicated to the state of things in Russian economy and world trends, while its second session will be focused on analyses of Russian ferrous and non-ferrous markets. The Ministry of Industry and Trade of the Russian Federation will summon Coordination Council for the Steel Industry during Metal-Expo.
The Organizing Committee used to consider the possibility of reducing the number of events at Metal-Expo for according to some research, a man can efficiently communicate with 15-20 persons during the day while now on the contrary it intends to extend the program of events to increase the number of business contacts under the unstable conditions in the market. V. Lavrishchev, Head of Committee for Ferrous Industry, Russian Union of Industrialists and Entrepreneurs believes that such a situation makes us change our approach to the exhibition.
A. Dorofeev, Russian Builders’ Association offered to support the popularization of building of low rise buildings with the application of light steel structures and other technologies enabling to speed up the terms, reduce costs and support both industries.
B. Yarantsev, Deputy Director Genera, Pormmetiz Association, pointed out that a few years ago delegates of Metalware Products Market conference had discussed range of products and price formation while that year the conference would focus on quality and terms of supplies. Fall in production in the metalware industry still continues (6-6,5% in April as compared to March) while prices are still rising (around 15% since the beginning of the year). “The industry has been tossed back in growth to the state of 5 years ago. On the positive side over this time companies have become more competitive extending the range of products. The difference is 5 years ago we supplied our products to China while now we try to protect the domestic market from the Chinese expansion’, said V. Yarantsev.
A. Tarasov, Director General, GINTSVETMET noted that Metal-Expo fully met international standards. He pointed out the importance of innovations focused on increase in efficiency of output and improvement of the ecological factor. He even suggested to make a stand under the name “What would Happen if they Used our Technologies”. When speaking about price formation, A. Tarasov pointed out its peculiarity: the prices for aluminium and lead were almost the same while the demand for copper and nickel was still quite high which made many international companies buy those metals.
Yu. Raikov, Director General of Tsvetmetobrabotka Institute added to it that fall in output in the non-ferrous industry had reached 70%. It was not the problem of the production, but sales. However, Artyomovsk Non-Ferrous Metals Processing Plant then had become the leading producer in the CIS. The fall in its output is the smallest while 40% of its products were supplied to Russia. The reason for it was lower cost and higher output. And a good marketing policy as well (the company was a regular exhibitor of Metal-Expo).
V. Katunin, Director General, Chermetinformatsiya Institute shared that under the condition of fall in sales the institute was engaged in consulting on which units had to be stopped in the first place and what measured were to be taken to reduce cost-effectiveness. “Today more than ever we need to share opinions about raw materials consumption and management under new conditions for some companies stop efficient units while others continue operating old and inefficient equipment”, noted V. Katuninи. He also pointed out the turnover of the institute in 2008 reduced more than 2 times.
V. Voronov, Deputy Director General, Chermetinformatsiya Institute added to it that the crisis provided a good opportunity to promote innovations and know how. .
S. Afonin, President of Russian Union of Metal Exporters pointed out that export had fallen. He also suggested discussing prospects of domestic consumption to analyze segments of industry and understand better where to expect growth in consumption as part of program of events. .
S. Afonin summed up, “Crisis however tough it is has set up certain tasks before the industry”. And all the members of the Organizing Committee agreed that Metal-Expo would help find anticrisis solutions.