The first public presentation of the furniture cluster in Almaty

On April 13 this year KIDI JSC together with foreign consultants from Infida company conducted the first public presentation of the furniture cluster in Almaty

On April 13, the first public presentation of the furniture cluster was held in Almaty with support of the Ministry of National Economy of the Republic of Kazakhstan, the Ministry of Investment and Development of the Republic of Kazakhstan, and the World Bank project "Enhancing the Competitiveness of SMEs in the Republic of Kazakhstan", KIDI JSC together with foreign consultants from Infide (Spain).

The presentation was attended by the World Bank Project Manager Stefka Slavova, the Director of the Regional Chamber of Entrepreneurs in Almaty Bagdat Telebay, the President of the Association of Furniture and Woodworking Industries of the Republic of Kazakhstan Yerzhan Sadykov, the Director of the Almaty Construction and Technical College Iskak Nurmukhanbetov, the teachers of the Kazakh State Academy of Architecture and Construction, and also heads and representatives of the furniture cluster companies in Almaty: Almaty Furniture Factory, BMG Engineering, Hettich Representative Office, Blum Representative Office, Freestyle LLP, Art Furniture LLP, Lam Tech LLP, Cara Hardwood LLP, DSP Center LLP, Tornado Plus LLP.

Today, the furniture cluster of Almaty is an established historical fact: most of the furniture companies of the industry are concentrated here, official agencies have equipment and accessories suppliers, educational institutions are functioning, our association is active, noted Yarman Sadykov, President of APDMP. By participating in the World Bank project, we would like to form a strategic vision for the development of the industry and directly proceed to its implementation with the support of state development institutions.

 

Within the framework of the presentation, the result of field work with industry enterprises, conducted by employees of KIDI JSC with foreign consultants in January-March 2018 was presented to the participants. Also, the world market of plate material was reviewed, key strategic alternatives in this area were considered, and the review of the furniture market in Central Asian countries was discussed.

In the discussion, the companies participating in the presentation raised issues of training and development of competencies, lack of sales, difficulties in participating in public procurement, and the need to modernize production facilities.

The participants were also presented with the foreign experience of cluster development on the example of the HABIC furniture cluster in Spain within the framework of the presentation by the cluster manager Eduardo Hemenesis. Basque furniture cluster HABIC is actively working with its companies in various areas of the industry. For example, joint projects are being implemented to develop ready-made solutions for interior design, furniture, lighting, integrated systems, as well as furniture with built-in connectors for modern gadgets. The companies-participants of the cluster participate together in the Milan exhibition (the largest furniture event in the world), while receiving the state support amounting to about 25%. In order to promote exports and stimulate sales by the cluster, two showrooms were created in the cities of San Sebastian and Mexico in the form of a designer's house, where about 20 companies can display their products on an area of up to 20 sq.m. each. The cluster works in close connection with designers and architects.

This presentation summed up the stage devoted to diagnosing the current state of the cluster. In the next stage, since May to August of this year the team of KIDI JSC together with the cluster companies will begin to formulate the Cluster Development Action Plans.

"We are starting practical work which, given the developing global trends in the furniture industry, offers companies new strategic directions for the development of their business, said Timur Shalabaev, cluster manager of KIDI JSC, "Many clusters around the world are developing in this way to enhance their competitiveness through cooperation and joint initiatives. We invite all interested companies of the furniture sector of Almaty to work together."