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CLIENT
Large petrochemical company
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BACKGROUND
A wide range of end products, which requires raw materials produced by the company, has a low level of local production - medical products (latex medical gloves, disposable syringes, infusion systems, blood test tubes)consumer goods (latex household gloves, toys). Other plastic products are characterized by low raw material consumption compared to many countries around the world, such as plastic tubes, and consequently lower demand for raw materials for the product. In view of the implementation of national projects in the housing and construction sector, the market for polyethylene, polypropylene and polyvinyl chloride polymer pipes will continue to develop dynamically. These markets are promising for the development of demand for the raw materials produced by the company.
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SOLUTION
In the course of determining the requirements for the production and sale of products belonging to the main consumption sectors of products having a low level of local production, restrictions were identified for the use of Russian raw materials in the production of the corresponding products. On the basis of the results obtained, proposals and a roadmap of regulatory measures for the development of markets for the local production of medical products, economic goods, pipes for the specified segments were elaborated, It also identified the potential for using anti-dumping and other non-tariff methods to restrict the entry of raw materials and finished products from petrochemicals that do not contradict the principles of fair competition.
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RESULTS
Following the results of the project, SBS Consulting team identified the main importing countries of products characterized by a low level of localization of production, identified the conditions under which it is economically feasible to produce this product in the Russian Federation, prepared proposals for amendments to normative legal acts and technical regulations, strategic planning documents, which contain mechanisms for removing restrictions, excessive requirements and also stimulate the growth of production in Russia, for the production of which the raw material of the company is used.
