Construction, Good for Business, Latvia, Real Estate

UPB ranked second with LVL 40.63 million in turnover, followed by BMGS – LVL 34.99 million, Arcers – LVL 28.12 million, Merks – LVL 27.79 million, Re&Re – LVL 23.53 million, Nacionala buvkompaniju apvieniba – LVL 22.72 million, Gama Guc Sistemleri Muhendislik ve Taahhut Anonim Sirketi Latvian branch – LVL 21 million, Ostas celtnieks – LVL 19.63 million, and Latvijas Energoceltnieks – LVL 16.5 million, writes LETA.

Skonto buve board chairman Guntis Ravis points out that, unfortunately, the construction industry is stagnating and there is no reason to believe that the stagnation will end anytime soon. The construction of apartment and office buildings has stopped and there are no developments in the projects of national importance. Repairs to separate road sections and the reconstruction of some kindergartens, schools, hospitals or water pipes are the only developments in the industry. The existing projects are mostly connected with the absorption of EU funds.

"It is impossible to rely on the local market. Therefore some Latvian construction companies look for projects abroad. However, the chances of becoming a general constructor abroad are minimal, since the local construction market is very protected. Skonto buve focuses on the Scandinavian market, where order volumes grow each year," explains Ravis.