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Manufacture of other non-metallic products

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NACE 2002 - 26 Manufacture of other non-metallic mineral products

The manufacture of non-metallic mineral products, also described as the industry of construction products, glass and ceramics, falls in the group of industries that are influenced, above all, by the pace of growth in construction. Until the mid-2008 the manufacturers of construction materials were overloaded with work. At present the situation is different. However, the industry shows a good potential to maintain its output and employment levels. The CR still has large supplies of raw materials and, in addition to this, construction will be supported from EU funds in the following years (particularly transport projects). Construction output should not decline despite the crisis in the property market. The manufacture of non-metallic mineral products will therefore be relatively stable in terms of employment prospects. Although a slight decrease in employment is expected, it may be largely offset by the decreasing number of graduates with the relevant qualifications. In the 2002-2008 period the proportion of workers in the industry who were younger than 30 dropped from 25% to 17%. This constitutes one of the most severe declines in this age group in the manufacturing industry as a whole in the period under review. 

A different (and worse) development within this industry may occur in the manufacture of glass. The glass industry is dependent on three factors: demand for art glass, demand on the part of the car industry and the construction of residential and administrative buildings. However, the prospects appear to be rather negative for all three customer groups. Technical glass has, in general, better prospects, but jobs will tend to disappear even in this area. The car industry and construction can recuperate from the crisis within one or two years, and the output of technical glass will grow again.   Good opportunities lie in applications for the energy sector where there is an increasing demand for photovoltaic and photothermic panels – also because these devices will be showing increasing efficiency levels and they will become more affordable as a result.

As regards art glass and ceramics, the most severe slump is likely to occur in 2009. However, some parts of the industry and employment will remain at the Czech market. It is very likely that  this will concern smaller companies that will focus more on local operations. Medium-sized and large companies will perhaps not be able to ward off cheaper competition of imported products.

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