Strategic partnership: how Schneider Electric develops Kazakhstan production
For international players, localization enables to strengthen their market positions in the region, create jobs, and improve the professional expertise of specialists based on their equipment. This process allows local enterprises to increase their competitiveness, expand the range of competencies and ultimately take the position of a leader in the region.
Schneider Electric is one of the key players in the plant engineering and construction in the region, continues to develop the Kazakhstan market and strengthen cooperation with local enterprises.
One of good examples of cooperation is the joint work with DIM Stroy LLP. In 2019, the companies agreed to produce modular high-power frequency converters Altivar Process Modular.
Frequency converters are a necessary element not only in accurate process control, but also a key component of an enterprise's energy efficiency. Savings can be as high as 30%.
According to Lev Appakov, Director General of Schneider Electric Kazakhstan, DIM Stroy had excellent human and technological potential and was best suited for Altivar Process Modular production. In March 2020, the DIM Stroy production site was audited, and the partner's specialists completed the necessary training.
- Kazakhstan is a key market not only for the CIS zone, but also in the global turnover of Schneider Electric. We believe in the economy of Kazakhstan and do not see our development without a strong network of partners. In our joint work, we strive to implement the best global practice and we are all committed to exclusively fundamental interaction, - explained Lev Appakov.
Vyacheslav Musorov, CEO of DIM Stroy LLP, also briefed about the strategic partnership and the successful production of frequency converters.
“We relied on Schneider Electric for flexibility, price and quality. A year ago, we realized that we have the ability and desire to produce one of the most key and technologically advanced products in the energy sector - frequency converters. The production site has been brought into line with the strict requirements of Schneider Electric, and specialists have been trained by Schneider Electric experts. All this allowed us to obtain the CT-KZ * certification. There are plans to carry out certification in Atameken NCE. This certificate will open us preferences for deliveries to our national companies, - said Vyacheslav Musorov.
Large domestic companies, including KAZ Minerals and the countries of the Customs Union, have already been using Kazakh-made Schneider Electric equipment.
- An interesting situation emerged with KAZ Minerals: a mine was urgently required three frequency converters of high power for one project. And if we did not have a warehouse and assembly skills, we would have to order equipment from large foreign players, which would increase the delivery time to two months. We were able to solve this problem within a week, thanks to the established production in Ust-Kamenogorsk. The supply of equipment was very important for the productivity and life of the mine, - Vyacheslav Musorov shared an example.
Vyacheslav also stressed that cooperation with such giants as Schneider Electric allows enterprises of Kazakhstan to reach a new level with the help of domestic products.
- Unfortunately, we themselves do not produce much, although we have quite large opportunities. DIM Stroy company wants to contribute to the development of the local industry. Our company has focused on the localization of production and the creation of new jobs for many Kazakhstan specialists. We buy our copper and work on our machines. It can be stated that a product in Kazakhstan is created with a higher added value than in some developed countries of Europe and Asia, added Vyacheslav Musorov.
The company's partnership with Schneider Electric has given a new impetus to the development of the enterprise. DIM Stroy intends to open branches in the cities of Kazakhstan, as well as in the countries of Central Asia.
“We are very pleased that Schneider Electric has entrusted us with the production of frequency converters. We have become very important strategic partners in the long term, - concluded Vyacheslav Musorov.
In turn, Lev Appakov added that Schneider Electric always strives to integrate as much as possible into the country's economy, where its equipment is in demand, which has been a model of quality and reliability on the market for more than 20 years.
Schneider Electric is a global expert in providing digital solutions for energy management and industrial automation. The company is a leading developer and supplier of integrated energy efficient solutions for energy and infrastructure, industrial enterprises, civil and residential buildings, as well as data centers. Schneider Electric has offices in 100 countries around the world and owns more than 200 plants.
* Certificate CT-KZ is a document confirming that the goods are made or processed in Kazakhstan. This certificate is intended for internal use, for example, when participating in procurement of subsoil users or in public procurement.