A serious guarantee
This is the first facility of its kind in Belarus, although the local market needs at least 3 or 4 of them. “We primarily aim to satisfy internal demand,” explains Rechitsa Hardware Plant’s Director, Adam Vashkov. “Our estimations show that this will save around $15m of foreign currency for the country annually. The project is very important from the point of view of import substitution.” Already, Rechitsa Hardware Plant is among the major earners of foreign currency for the country, with an import-export ratio of 1:15.
The company aims to use the large scale investment project to meet growing demand. Its currently operational hot dip zinc galvanising line is proving profitable but cannot handle large-sized machinery, so the new workshop is to cover this segment. It will satisfy the needs of agricultural, transport and energy companies, adding protective anti-corrosion zinc coatings to prolong the life of products. Importantly, the Rechitsa plant gives a 100 year guarantee on its goods.
“We hope to reach planned volumes by late 2011,” explains the plant’s chief engineer, Victor Samonchik. A major part of foreign and domestic loans have already been used to purchase the latest technologies, to conduct construction-and-assembly works and to create necessary infrastructure. Italian Gimeco has been the major supplier. It was initially planned that the new workshop (begun last March) would be ready by December 2011. However, it is ahead of schedule. “We’ve worked hard to achieve this — personnel and contractors alike,” notes Mr. Samonchik.