A review of the aggregates market in eastern Europe, including Poland, Romania, Slovakia and the Czech Republic

Rapid Romanian growth

Romania is now beginning to show the pace of development visible earlier in other neighbouring countries. Its 22 million population currently sees a GDP of €58.5billion though this is growing at nearly 8% per year.
Companies like Anglo-American, Lafarge and Holcim have been visible in the market in the last two or three years though the latter still only has a small presence at the moment, according to Catalin Tincu, assistant director for aggregates and ready mixed concrete at Holcim. The company has three facilities. "The market is still fragmented at present with a lot of small companies, but is consolidating," explained Tincu.
Potential for growth is significant with three major highway projects about to get underway, one for a 430km long route, and a likely three to five year surge in other infrastructure development starting now. "Demand for aggregates is growing fast, perhaps at 15 to 20% in the last two years," said Tincu. "So far it has been created just by industrial and commercial development."
Likely growth areas are near the capital Bucharest, around Timisoara and on the Black Sea at Constanta.
Though it has plenty of mountainous regions including the famous Transylvania range, most aggregate production is river won at present, according to Tincu, largely because of the huge Danube basin running through many of the more urbanised areas. "We use very little crushed rock because it is cheaper to dredge."
Planning permissions and operation have become more difficult in recent years he added, not least because EU regulations now apply.
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