Russia
development and production center
SpetsPolimer estimated that the share
of counterfeit in particular segments of
the market today reaches 40-60 percent.
The situation is very dangerous, as the
price of illegal production usually is significantly lower compared to the normal product, while its use by customers
brings serious reputation problems to
official manufacturers.
According to market participants,
there were cases when coating materials
has been sold at the market at the price of
RUB 30 per liter (US$0.40). Today overall
in the country there are registered about
2,000 companies engaged in manufacturing of coating materials. Some experts say
that there is a couple of hundred illegal
sites for the production of counterfeit
coatings. They are using the same labels
and the same packaging as some legal
brands, but sell products which are often
hard to even call coatings.
“There is really counterfeit production on the market, but nobody can estimate its share. If it is one percent, the
situation is normal, but if it 20 percent
than everything is bad. Therefore, the
evaluation of volumes of counterfeit is
the task of our association for the future,
and its implementation will require some
time. It is necessary to start struggling
with this trend and if we speaks globally, than we have some tools for that
in the country. For example, the Federal
Sanitary Service is fighting with counterfeiting, but the amount of funding of
inspection is low and decreasing every
year,” Averyanov said.
A rise in the share of counterfeit production at the market already attracted
the attention of the country’s Industry
and Trade Ministry. Its representatives,
in the end of 2015, conducted special
meetings on the issue with the representatives of major market participants. In
the last months of last year in Russia it
has created the Association for Assessing
the Quality of Coating Materials. At the
same time, representatives of Tsentrlak
are pretty sure that the main goal of the
new association is not to fight with counterfeit production, but to lobby interests
of foreign manufacturers.
“Many companies within the industry
wonder what the purpose was for estab-
lishment of the new associative, where the
majority of founders are foreign brands.
What it intends to do: lobby most mod-
ern Western standards for introduction
into Russian legislation, so to expand
their market share? We’ve put forward
proposals to join our forces, but so far
there was no any integration. We don’t
like it, but the association has been cre-
ated and we will have to live with that,”
Averyanov concluded. CW
Countrefeit paint may account for nearly 20 percent of the market share in Russia, estimated SpetsPolimer.
Russia sees a rise in the number of new plants for coating production.
Local coatings companies are starting to compete with foreign paint producers.