The management of "Mining machines" announced the rebranding and to significantly increase sales of equipment in the Eastern markets
According to him, during 2014 his company intends to actively express itself, primarily in India. Now the preparations for opening of offices in this country are under way, and next year the company expects its first sales of mining equipment in the Indian market. Earlier officials of the holding stated desire to participate in modernization of the existing Indian mines, as well as in construction and equipping by machinery of new facilities. Company's interest to the Indian market is determined largely by the fact that there are no domestic manufacturers of mining equipment in this country.
Mr. Romashchin has also noted that now the company is actively looking for partners in the Chinese market , because expansion to the market in this country will require localization of production. "Now it is too early to say about the prospect of sales next year in China. However, we intend to speed up this process, because we could not have such favorable conditions for us later," - he said.
Officials of the holding explain increased interest in the PRC market by changes in local legislation regarding the protection of mineral resources. Innovations in the rules of coal mining in China suggest stimulating the extraction from earlier unpromising thin layers (with thickness less than 1 m). "In 2012, there were produced 330 million tons of coal in thin layers, and then these figures will only increase," – the Ukrainian holding company says in relation to coal mining in China. At the same time, according to one of last press releases issued by "Mining machines" / Corum, the PRC government has adopted a policy to increase the share of mechanized mining (now about 60%). The company declares its specialization in production of equipment just for complex coal mining.
The holding will continue cooperation with Vietnam that has started in 2012. So, for 2014 it is expected to complete construction of two shafts for the country's largest coal mining group Vinacomin. " In the medium term there are plans to increase production of this raw material from 45 million to 75 million tons in the country, and we see an opportunity for cooperation," - Mr. Romashchin said.
Research and Production Company "Mining machines"/Corum owns six production plants, representations in five countries and repair sites in Ukraine and Russia. The main product of the holding is a mining equipment. In 2012, according to audited data, the total sales volume of "Mining machines" has made 312.9 million euros (3.32 billion hrn.), an increase of 36.6% compared to 2011, and EBITDA 62,1 million euro (about 655 million hrn.).
In three years prospect the company wants to increase the share of its revenues from foreign sales to 40% of the total revenue. In 2013, this figure, as it is estimated by holding management, will make 26%, whereas in 2012 it was fixed at 17%. According to the group development strategy being announced in previous years, in 2016 it is planned to achieve the annual sales volume of 5.4 billion hrn. (over $ 675 million at the rate of NBU).
This year, the Akhmetov’s machine-building company suggest to keep the output level of 2012, but expects some decrease in sales "in connection with 15% world market disruption".