MITEX 2008 Succeeds Amid Robust Russian Economic Growth

The 2008 Moscow International Tool Expo (MITEX), the most important event of the year for DIY tools, building materials and related industries in the country, as well as one of the most influential in Europe, is the only trade fair in Russia officially recognized by AUMA and German Ministry of Economics and Technology, and supported by the Association of German Tool Manufacturer, for its professionalism and wider-ranging product displays.

Having successfully built a solid reputation among professional buyers and corporate decision-makers worldwide over the past decade, MITEX, organized by Reed Exhibitions and ITE Moscow and formerly known as Intertool Moscow, was staged for the 11th time from November 11 to 14, 2008 in Russia's most advanced exhibition venue Crocus Expo in Moscow.

This MITEX 2008 attracted 362 exhibitors who were spread over 16,800 square meters, according to the show management, 258 of which came from overseas, including Germany, Italy, France, China, Poland, Canada, Austria, Slovenia, the U.S., Denmark, Finland and so on. Optimism filled the venue that is buoyed by Russia's robust economic growth-officially estimated at between 6.8% to 7.1% for 2008-which will continue to simmer the market booms in the local DIY sector.

On the one hand the 2008 MITEX was not immune to the global economic turndown, as the show saw more visitors at its previous event; however, on the other hand the share of professional visitors at the 2008 event is 96% or 4,218 exactly, far better than the 68% registered at the 10th edition, according to the show management.

Improving Credibility

To adhere to international standards, the show management chose a globally reputed auditing company to honestly supply attendees with precise show statistics, unlike other exhibition operators who cannot guarantee reliability of such information. Such a move actually helped to boost the show's credibility among international professional buyers and suppliers, who are often confused with exaggerated, untrue numbers haphazardly fabricated by other show operators.

Opening Door to Russian Market

Driven by strong economic growths and improving disposable incomes, the Russian DIY and home furnishing retail markets have been growing rapidly in recent years, with a market size estimated at up to US$10 billion a year and set to keep expanding.

Despite the positive outlook, the Russian market may be one of the toughest to break into foreign companies, as sizable transactions are mostly done in the traditional open-air markets. Nevertheless, major international DIY retain chains as B&Q and Castorama have managed to further expand in the market.

MITEX, staged amid comprehensive and detailed analysis of the industry dynamics and key trends by the show management that has considered opinions of many market players from various Russian regions and worldwide, is regarded as the best place to gain market experience and exchange product information with local and overseas companies.

To further help making deals, the show organizer held a new, important event called "Russian Tool Market," a professional conference focusing on critical issues of the industry, such as retail network cooperation, development of effective supply chains, participation in public purchases and competitive bidding. The participants learnt very practical and useful market information through a series of discussions, with the event opening wider the doors to the Russian DIY and home improvement markets.

Virtually Everything

The chances for buyers to miss seeing the world's newest and most popular DIY tools and related home improvement products are quite slim at MITEX, for the show is known for offering huge product ranges. The 2008 version did not disappoint as the event again displayed virtually everything in such segments, including garden tools, hand tools, hardware and fasteners, hydraulic hand equipment and accessories, measuring and testing equipment, pneumatic equipment and accessories, power tools, scientific and technical literature, security and alarm systems, specialized tools and equipment for working of metal, wire, piping, stone glass, ceramics, plastic, working clothes and safety instruments, moulds, laser cutting machines, precision tools, painting tools and materials, abrasive materials, carpentry tools and related machines for industrial purposes.

Live Demos

To assist exhibitors to promote innovative products, MITEX set up the new "Test-Drive Zone," a new platform enabling live demonstrations of products. The format proved to be very successful as visitors could see exhibitors operate their innovative machines, tools and products, which effectively riveted viewers' attention.

Taiwan Pavilion

The Taiwan Pavilion turned up a notch the competition at MITEX 2008: a sizable contingent of Taiwan-based exhibitors, organized by the Taiwan Regional Hand Tools Association, displayed various hand tools, DIY tools, garden tools and professional tools. Buyers from Russia and elsewhere are learning why Taiwan has been a globally-leading supplier in such markets, with Taiwan makers always able to offer the best combination of quality and price.

The Taipei-based CENS (China Economic News Service), Taiwan's leading export media for a variety of industrial sectors, was at MITEX, circulating its line of trade-promotional publications, including the "Guide Book to Taiwan Hand Tools" and "CENS Hardware." Global buyers kept the representatives at the CENS booth busy with various inquiries related to Taiwan suppliers, indicative intense interest in products made in Taiwan.

It remains to be seen if the global recession will start to lift by the third quarter of 2009, but the 12th version of MITEX is scheduled for September 21 to 24, 2009 at the same venue. (SC)