Abstract

The aim of the article.The purpose of the article is to study the current state of foreign trade in building materials and to identify the main barriers limiting exports in this area. The results of the analysis. Investigation of the main trends of foreign trade of building materials basing on dynamic analysis of statistics allowed to form some conclusions:  decline in both production and sales of nearly the entire range of building materials, other than slag wool, mineral wool and cotton mineral silicate, blocks and bricks of cement, concrete or artificial stone for building, which for the period of 2011-2015, notes a slight increase; a high level of dependence of sales of building materials on the pace of construction; preferred orientation of building materials only to the domestic market as the industry as a whole (only 27,5% of sales are exported); the existence of a negative balance, i.e. the predominance of imports over exports during 2007-2015, indicating a lack of involvement of national producers on the domestic market, which means that existing and potential market and discrepancy domestic building materials market needs. At the same time, this type of products relating to export difficult, because imports convinced that building materials are focused not only on the domestic market and linked to the national construction industry. Thus, there is an urgent problem of detection pressing obstacles that hinder the development of foreign trade of building materials. Analysis of the research in this area allowed to form the author’s vision on the factors of low levels of foreign trade in construction materials: power industry barriers – placing production facilities or tending to the resource base, or to consumers; power production resource constraints – low-quality raw materials and obsolete production facilities that do not provide the required quality of products for export; block organizational and legal obstacles – inconsistency of standards and quality standards of Ukraine and abroad; ignorance of domestic producers document and the list of customs procedures; bloc organization and staffing constraints – the fragmentation of research in this area, which reduces the potential of innovation and human resource capacity mismatch with labor market requirements in this area; power market barriers – lack of comprehensive market research on construction materials market. Thus, the changes taking place in today’s geo-economic space dictate new rules for national producers, including operators of construction materials. Companies in this industry go from import substitution to export orientation, which should resolve these issues higher. Access to foreign a market that are already saturated with products, are extremely complex and requires teamwork that closes cooperation between businesses, research institutions and the state. However, the latter subject, the present parliamentary structures and ministries are required to develop a balanced and effective export policy, supported by the legal framework and accession to international treaties that promote the advancement of domestic products to foreign markets, making it easier to bring it into line with international standards. Conclusions and directions of further researches. The authors made some conclusions: 1. The negative dynamics of production and focus on the domestic market of most types of building materials, supported by the lack of a balanced export policy, the total result leads to disappointing conclusions on volumes and directions of export products construction industry. 2. The current problems of export orientation card industry, which has five units: industry, resource and productive, organizational, legal, intellectual and human resources and marketing, detail and describes in detail the main obstacles faced by domestic producers of building materials. In further studies the authors will present the export orientation road map designed to show the direction of solving the aforementioned problems.

Keywords: construction materials, exports, imports, domestic market, foreign trade, export restrictions reasons

JEL Classification: F140, M31, L6.

Cite as: Smachylo V. & Khalina, V. (2016). Problems of export orientation of Ukrainian industrial enterprises. Marketing and Management of Innovations, 3, 272-282. https://doi.org/10.21272/mmi.2016.3-21

This work is licensed under a Creative Commons Attribution 4.0 International License

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