Overview of the construction materials market: In the 1st half of the year manufacturers successfully increased volumes

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The 1st half of the year was successful for Estonian manufacturers of construction materials because the sharp increase in input prices could at least partly be transferred to the price of the final product, and the volumes could be increased. However, some product groups are already in a downward trend.

The financial turnover of EETL (Association of Construction Material Producers of Estonia) members compared to 1st half of 2021 has increased by approx. 20%. This growth is also partly reflected in the increase in the prices of products. Sales volumes have also increased in almost all product groups. Both domestic sales and exports have grown.

In terms of different products, the increases in production volumes are approximately as follows: Concrete mix +2%, concrete elements: frame elements +3%, wall panels +7%, hollow panels +4%, wall materials (blocks and bricks) +6%, insulation materials +3%, glass (glass packages) +4%, doors-windows +20 %.

Volumes of domestic mineral resources in decline

As for two products, the volumes were in decline already in the first half of the year: sand -4% and limestone crushed stone -15%. This probably indicates an already declining infrastructure construction, as a large part of the sand and gravel goes into infrastructure construction. Knowing that funding for the State Road Maintenance Plan will be drastically reduced over the next three years, the future perspectives of the sector in the near future are not very good.

Concrete manufacturers do not sense the decline of the Swedish market

Estonian manufacturers of concrete elements are generally doing well at the moment. They are also strongly export-oriented, and as much as 44% of the wall elements produced in Estonia were exported. At least for now, they are satisfied with the export markets, and there were no signals from them about a big drop in the Swedish market.

The full version of this article:https://www.ehitusuudised.ee/uudised/2022/09/29/ehitusmaterjalide-turu-ulevaade-1-poolaastal-kasvatasid-tootjad-edukalt-mahte

According to Toomas Vainola (Executive Director in Association of Construction Material Producers of Estonia) words, the 1st half of the year was a successful one for materials producers. Photo by Raul Mee