VEKA AG plant in Novosibirsk region
Within the period of 2002-2004, the project was fully implemented. At this moment, the project work is continued as part of the day-to-day operations of the facility. At this moment, the VEKA factory in the Novosibirsk region is the largest manufacturer of polyvinyl chloride casements along the Asian part of Russia; the facility operates state-of-the-art equipment and produces high quality commodities in full compliance with international standards.
The facility manufacturing area is 8 200 m2, whereas the overall land area allocated to accommodate future facility development needs equals 10 hectares.
Read about building of the second turn VEKA AG plant.
The overall value of assets invested into the first production line totaled nearly 15 millions euro. The line annual productivity equals 14,000 metric tons. This is the largest investment project financed by a foreign company (100% of German capital), that has been accomplished within the construction sector of the region.
In addition to two factories located in Germany, VEKA corporation has 12 factories and 28 offices in other countries scattered along the four continents of the globe, including two facilities in Russia. In 2005, the corporation plans to start up three new extrusion plants in Brazil, Malaysia, and the U.S.
In 2014, the size of the corporation product market exceeded 1 billion euros.
Services provided by IC&M company as part of the project implementation
|N||Project Phase||Services provided|
Market analysis and review
Market research, including the preparation of a goal-oriented plan of activities designed to increase the clients sales volumes and expend the number of customers attracting large industry players working in the region.
Selection of a project site for Сonstruction purposes
1. Selecting a project site meeting the requirements of terms of reference.
Registration of the rental rights for the project site selected by the client; obtaining official permits and approvals needed to start up the project; preparing terms of reference
1. Topographic mapping of the project site, identification of the site boundaries.
Construction project management
1. Having the clients office officially registered at the address of the clients facility location.
6. Obtaining required permits, approvals and licenses for an access railroad construction, concluding contracts for the access railroad design and building.
- Deadlines for every project phase were met.
- The new facility was commissioned and certified by the Federal Acceptance Testing Committee within two days.
- Official document formalization and the process of obtaining necessary permits, licenses and approvals were completed within a very short period, in several cases - in record-breaking time.
- High quality of construction and interior works was provided. The facility built in the Novosibirsk Region has been recognized by VEKA AG Board of Directors as number one among the company plants, regarding the quality of construction works, it has been decided, that the new facility surpasses the first company plant in Russia (located at the Naro-Fominsk district of the Moscow Region).
- At the project construction phase, in addition to management and supervision functions, we also made efforts to attract new customers. During the two year period of the project implementation, the clients regional sales volume showed an increase by a factor of two. In addition, sales promotion campaigns were organized, with relevant agreements signed by the client and the regional administration. Also, issues regarding tax incentives, credit interest rate subsidizing, and other problems within the regional administration jurisdiction were dealt with.
- In the course of the project implementation, IC&M has worked out unique mechanisms and tools based on the adjustment of up-to-date international practices and techniques to the local conditions and needs. Using such mechanisms and tools the company was able to successfully accomplish the project from the site selection phase to putting the newly constructed facility into service.
- A unique experience gained by the company in terms of developing contacts and contracting local project design, development and construction organizations, now serves IC&M as an effective tool in selecting companies for various types of work based on identified goals and available resources. During the project implementation period more than 50 companies and organizations were contracted or otherwise involved in the process.
- Effective mechanisms of co-operation with local authorities have been developed, procedures of getting permits, licenses and approvals from various administrative and regulatory agencies have been worked out and optimized. Based on such mechanisms and procedures, any project works and activities in future can be completed by the company within a shorter period.
- At this moment, under the agreement with VEKA company, IC&M is working on extending the territory of the VEKA plant locating in the Naro-Fominsk district of the Moscow Region, formalizing documentation for a new project site and power supply connections.
Joseph Leo Beckhoff General Director OOO VEKA Rus
The first meeting between VEKA representatives and IC&M Company dates back to 2002, when VEKA was conducting research to evaluate the market capacity of the Novosibirsk region. The credit is to be given to IC&M for making comprehensive and detailed market studies available for our review. Based on this review VEKA later made a decision to invest in the Novosibirsk region.
Considering the positive market research experience, we assigned IC&M to undertake all pre-project works and to implement the construction project under an investment contract.
IC&M assistance was especially valuable as concerns the solution of the following questions:
- Land plot search and registration
- Transfer of the land plot from one category to another
- Service line connection such as electric power, water, heat supply etc.
- Contacts with local and regional authorities up to the Governor
- Assistance in conducting tenders for participation in plant construction
- Budget planning
- Assistance in negotiations
- Supervision of construction on the site
- Tracking the deal on final registration of the investment object...
I believe this list is far from being complete, however it gives an idea of the multifaceted range of services provided by IC&M.
Undoubtedly, our progress in Siberia would have been not so impressive if we had started on our own, without support of our consulting agency. In addition, our amicable and trusting relationships make our cooperation quite special.
Summing up, IC&M was and remains an absolute lucky circumstance for VEKA.