In H1 2014 Belarus’ industry lags behind H1 2013

According to the National Statistics Committee, industrial production growth in H1 2014 amounted to BYR 326,0 trillion, which is 1% less, compared with H1 2013. The negative trend was due to a drop in mechanical engineering and rubber industries’ production.

Only chemical and petrochemical industries have demonstrated some growth, which could also affect the overall industrial production in 2014. Engineering industry is still heavily subsidised by the government and food industry is highly dependent on a stable supply of raw materials. Most industrial enterprises stock their products in warehouses in order to fulfil the projected production indicators. In addition, reorganisation at the largest enterprises might result in qualified staff outflow and reduced number of employed workers.