Metinvest-Eurasia, the wholesale and retail sales channel of the Ukrainian mining and steel producing company Metinvest Group in the Russian Federation, has announced the commissioning of another metals service center in the city of Mineralnye Vody.
Accordingly, the product range at the Mineralnye Vody warehouse includes rebars, beams, channels, angles, plate and wire rod from Metinvest's Ukrainian subsidiaries Azovstal and Yenakievo Iron and Steel Works, as well as from enterprises which are not part of Metinvest Group. During its first three months, the warehouse will maintain minimum inventory levels of around 2,000-3,000 mt, subsequently increasing to 5,000 mt. The warehouse in Mineralnye Vody will sell to all regions of the newly established North Caucasian Federal District.
During the last six months, Metinvest-Eurasia's sales network has doubled to 16 metal bases as new metal bases were established in Moscow, Belgorod, Taganrog, Voronezh, Volgograd, Novorossiysk and Mineralnye Vody. The company's monthly sales volume increased up to 46,000 mt per month in the period from August 2009 to May 2010, which is almost a twofold increase compared to the monthly average performance in the previous year. Thus, the sales volume for the first five months of 2010 amounted to 202,000 mt compared to 120,000 mt in the same period last year. In 2009, Metinvest's total sales volume through its Russian sales network amounted to 349,000 mt of rolled products. Of the total sales volumes, around 75 percent were long products and 25 percent were plate.
"Expansion of the client base in Russia is one of the strategically important areas of our marketing policy. We believe in the long-term potential of Russian market development, and we strive to meet the high-level requirements of Russian customers," Metinvest-Eurasia's CEO Roman Rybalov stated.