News & Events in Belarus

Lukashenko calls to explore LED lamp market more actively

BREST, 30 July (BelTA) - Belarus needs to more actively explore the market for LED lamps, for which there are both the personnel and the competencies, Belarusian President Aleksandr Lukashenko said at a meeting to discuss the development prospects of Horizont Holding Company, including Brest Electric Lamp Plant in Brest on 30 July, BelTA has learned.

Before the meeting, the head of state got familiar with the operations of the plant in Brest, personally assessed the situation, and explained why he decided to visit the production facility.

“It seems like a small enterprise, just over 200 people [working here]. The president could have gone to some more serious enterprise instead. I am visiting this enterprise because it cannot afford to work poorly,” Aleksandr Lukashenko said.

“You can’t do a thing without lighting, without a light bulb. Therefore, this enterprise must keep developing. Because this productis essential, like bread,” the head of state emphasized.

Currently, according to specialists, the situation at Brest Electric Lamp Plant is difficult. However, judging by what the president saw directly in the workshops and on the premises, it is no more difficult than at some dairy farms. Therefore, one should not complain about the difficulties, but rather get down to work.  It is important to strengthen accountability, starting at the top with the manager. “There must be a result,” Aleksandr Lukashenko demanded. "With whom you will do this is your own affair."

Among the problematic aspects discussed were significant warehouse stockpiles and an insufficient level of localization. Over the past five years, no large-scale work had been carried out, and modernization had only begun recently.

“We need to get a move on since we have lost time,” the president said. “There is a window of opportunity.”

LED lamps are in particular demand. “Ilyich light bulbs”, as incandescent lamps are popularly called, are practically no longer used. “Given global trends in the green economy, all countries are gradually phasing out incandescent lamps. This is not because of some green economy that they pray to like an icon in Europe. In the United States Trump says it's all nonsense. That’s not the point. LED lamps have proven themselves to be more efficient and cheaper,” the head of state noted.

In Belarus and Russia, the production of incandescent lamps over 100W has been banned for almost 15 years. “Yet this was the main product of this plant. There will be no growth in demand for them anymore,” the president noted. He believes it is correct that the Brest plant is not completely abandoning the production of incandescent lamps while there is still some demand for them, but is gradually replacing them with more modern and sought-after products. To this end, modernization is being carried out, and new equipment and production lines are being installed. “If you need some money for this, we will extend credit to you at acceptable interest rates. This applies to all projects. But on the condition: you take the money today, you return it tomorrow,” Aleksandr Lukashenko noted.

First of all, according to the president, it is necessary to determine which components for manufacturing LED lamps can be produced domestically. According to specialists, establishing the LEDs production is economically unfeasible; it is simpler to purchase them abroad. “The first thing you need to do is to decide what things we will produce ourselves in terms of LED and what things we will not, should not, and will not produce because it is overly expensive. They are produced in the billions, so we will buy them. We would like to have our own, because imports account for 60% or more of the cost of an LED lamp,” Aleksandr Lukashenko said. “Make up your minds. If you need to produce a part or a component, tell us, and we will work on this project.”

“I’m not saying that we should do everything ourselves. We wouldn’t be able to anyway. We don’t have that much money. But we have the people and the expertise, so we should strive to produce at least a little bit of what we can produce, without importing it. We must aim for a high percentage of localization of our products,” Aleksandr Lukashenko set the task.

Especially since the market for such lamps is huge, but competition on it is high as well. The demand for LED lamps of various models and purposes in the Union State alone is estimated at approximately 350 million annually. Currently, about 95% of the Brest plant’s exports go to Russia. “It doesn't matter where. We need to sell to those who pay money,” the president said on this matter.

“Can we compete? Yes, we can. We have the expertise and the people,” Aleksandr Lukashenko emphasized.

For example, in Brest Oblast alone, four organizations are engaged in LED products: Brest Electric Lamp Plant, Riona Lighting, Arlight and K, and Eviyar.

In the state sector, Horizont Holding Company and the Industry Ministry are responsible for the development of this segment. The president also tasked the governor of Brest Oblast with taking personal control of this facility. “But they haven’t really made much progress here, judging by this enterprise,” the head of state noted.

For example, to keep the plant’s capacities busy, Horizont has set up a SKD assembly of its equipment here. It is acceptable as a temporary measure, the president believes, but one must not forget about the plant’s main line of business - electric lamps. “We started moving on these plans only this year. We need to speed things up. Moreover, there is a favorable economic situation now. With the right approach, we can easily compete with everyone.”