The import substitution program in action

The import substitution program in action: a new factory has opened in Saint-Petersburg

On January 29, 2016, the grand opening of the new Neva Metal Posuda (NMP) factory took place. NMP is a Russian market leader in the production of high-quality cookware with a non-stick coating.

Investment in the factory construction totalled RUB 372 million. According to the company experts estimates, a payback of the project is 6-7 years.

The new 5 800 square meter factory will provide the city with up to 160 job opportunities.

With the help of its technical equipment NMP will raise the manufacture productivity to 40%, and also will lower the fixed costs and the unit cost.

According to Alexander Sheremetyev, shareholder and General Director, Gruppa NMP LLC (the managing organization of Neva Metal Posuda CJSC), by virtue of exchange rate, which drove a lot of western producers out of the market, the current situation is favourable to growth and development of Russian companies.

“Today we have substantially driven foreign producers out of retailers’ shelves. NMP share on the Russian metal pans market is 15%, in the segment of die cast cookware with a non-stick coating – 38%.

With the help of the new factory we plan to fill more than 50% of the non-stick pans market in Russia.”

In the company there has always been a need of own factory construction.

To date, the production was based by lease on one of Saint-Petersburg factories.

About five years ago in 2011 NMP agreed to participate in the investment project of the production complex in order to construct their own factory.

The construction began in 2014.

Such projects contribute to strengthening the city’s economy, – Michael Penziev, First Vice-President of the Saint-Petersburg Committee for Industrial Policy and Innovations.

According to M. Penziev, NMP is an avant-garde company on the market and can compete with the best international companies by virtue of the innovations and technologies.

He believes, that now, when the import substitution is especially relevant, the opening of the new factory in Saint-Petersburg is the actual proof of the potential of the Russian economy.

Rail Fahretdinov, General Director of Alternativa factory, Board Member of Association “Delovaya Rossiya”, agrees to him. He considers NMP has been long involved in the import substitution process and deals with it successfully.

Alexander Redko, Deputy Head of the municipality, Doctor of Medical Science – President of the Rosinteh Medical Board, has told journalists at the press conference, that it is very important today for the consumer, caring for his health and health of his loved ones, to buy safe cookware.

He is sure, the Government should help companies, which provide the people with high-quality innovative products.

Alexander Sheremetyev is sure, that the key advantages of the company – high-quality products and Customer Service – will provide an opportunity for growth, despite the crisis.

In future NMP plans to extend the range of products, increase its share of Russian market and expanding into new export markets, particularly in Latvia and Italy.

If you have any questions, please feel free to contact Albina Terekhina by phone +7-911-846-89-64