Construction Market in Russia - Key Trends and Opportunities to 2018

1

Main Title
Market Research Report 
Construction in Russia - Key Trends and
Opportunities to 2018  
reportscue
2

Synopsis This report provides detailed market
analysis, information and insights into Russian
construction industry including Russian
construction industry's growth prospects by
market, project type and type of construction
activity Analysis of equipment, material and
service costs across each project type within
Russia Critical insight into the impact of
industry trends and issues, and the risks and
opportunities they present to participants in
Russian construction industry Analyzing the
profiles of the leading operators in Russian
construction industry. Data highlights of the
largest construction projects in Russia
3

Report Overview The Russian construction
industry recorded a review-period (2009?2013)
compound annual growth rate (CAGR) of 12.81.
Growth was supported by private and public
investments in infrastructure, residential and
commercial construction projects. Considering
the role of modern infrastructure in achieving
long-term growth, the Russian government invested
heavily in road and rail projects. Industry
growth is expected to continue over the forecast
period (2014?2018), as a result of the
governments commitment to making infrastructural
improvements and an anticipated recovery in the
global economy. Consequently, industry output
is expected to record a CAGR of 7.36 over the
forecast period.
4

Scope This report provides a comprehensive
analysis of the construction industry in Russia.
It provides Historical (2009-2013) and
forecast (2014-2018) valuations of the
construction industry in Russia using
construction output and value-add methods
Segmentation by sector (commercial, industrial,
infrastructure, institutional and residential)
and by project type Breakdown of values within
each project type, by type of activity (new
construction, repair and maintenance,
refurbishment and demolition) and by type of cost
(materials, equipment and services) Analysis
of key construction industry issues, including
regulation, cost management, funding and
pricing Detailed profiles of the leading
construction companies in Russia
5

Key Highlights According to the Unified
Interdepartmental Information and Statistical
System, construction activity in Russia was
fairly weak in 2013, with the industrys output
posting a contraction of 1.6 in real terms. This
followed respective annual real-term growth of
5.5 and 2.8 in 2011 and 2012. With a
deteriorating business environment and capital
outflow, due to conflict between Russia and
Ukraine over control of the Crimean Peninsula,
the construction industrys output is expected to
remain weak over the forecast period.
Infrastructure construction is expected to
continue expanding over the forecast period,
mainly driven by large-scale investment in the
construction industry. Having already registered
a boost from the construction of infrastructure
facilities, as well as hosting the 2014 Winter
Olympics, the nations hosting of the 2018 Fifa
World Cup will also require stadia, transport
infrastructure, accommodation, hotels, airports
and training bases. There are 11 host cities
for the World Cup, indicating a broad demand for
stadia, transport infrastructure and
accommodation. According to the countrys
Ministry of Sport, RUB600.0 billion (US19.1
billion) is required to be spent on various
infrastructure construction projects in order to
prepare for games.
6

Significant investments are being made in the
countrys power sector to improve the energy
quality, effectiveness, safety and security.
The government introduced the Energy Strategy
2030 in 2009, under which electricity generation
capacity will double from 225GWe in 2008 to
355-445GWe by 2030. A sum of RUB9.8 trillion
(US322.7 billion) will be spent on power plants
by 2030, as well as RUB10.2 trillion (US335.9
billion) on transmission. Russias rail
transport network is the backbone of the nations
transport system, as 90 of goods in the country
are transported by railways. Consequently, the
government is focusing more on rail
infrastructure development. Under the Strategy
for Developing Rail Transport in the Russian
Federation to 2030, Russian Railways (RZD) has
laid out an ambitious plan to overhaul the
countrys rail network. Accordingly, the RZD is
planning to construct 20,000km of new rail routes
by 2030, as well as upgrade 13,800km freight
lines for heavy-axel loads and acquire one
million freight cars, 23,300 modern locomotives
and 29,500 passenger cars. The hotel market is
highly developed in major cities such as Moscow,
Saint Petersburg and the Black Sea, and resort
towns such as Sochi. Small cities with a
population of around 1 million such as
Pereslavl-Zalessky, Ryazan, Irkutsk and Lipetsk
are registering a rise in the construction of
hotel projects. 
7

Reason To Buy Identify and evaluate market
opportunities using our standardized valuation
and forecasting methodologies Assess market
growth potential at a micro-level with over 600
time-series data forecasts Understand the
latest industry and market trends Formulate
and validate business strategies using Timetric's
critical and actionable insight Assess
business risks, including cost, regulatory and
competitive pressures Evaluate competitive
risk and success factors To Get Details
http//www.reportscue.com/construction-in-russia-k
ey-trends-and-opportunities-to-2018-market