Page 25 - Investing in Bergamo EN

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THE CONSTRUCTION INDUSTRY

The value chain of the domestic system (mining – materials – prefabrication – design
– civil and industrial building – creation of infrastructure – manufacture of furniture
and accessories) employs 75,000 people. The province, among those with at least
500,000 inhabitants has, in relation to population, the largest system of constructions
in Italy, which generates almost 20% of the GDP, of which two thirds come from
direct building activities.
In the early years of this century, the production capacity has produced in Bergamo
alone an average of more than 7 million cubic meters per year with peaks exceeding
12 million, equally divided between residential and industrial-commercial buildings.
Bergamo has a strong concentration of pre-fabrication activities.
The 2008 crisis drastically reduced demand, with purchases decreasing by 60%
compared to the historical maximum of 2006. This caused a severe reduction in
prices (over 20%) until the halving of production and loan distribution (Italian Revenue
Agency).
The increase in taxes on homes and restrictions on land use have worsened the
recession in the sector.
The market and production only began to show some signs of recovery in the second
half of 2014. To facilitate the recovery, some municipalities have reduced establishment
costs and simplified procedures.
The industry has been forced to begin a process of reconversion. The main driver
involves moving away from the construction of new buildings towards the restructuring
and above all, technological upgrading of home automation systems, plant engineering,
energy saving, and materials. This process partly began with the 20-20-20 goals of
the EU Covenant of Mayors, which finances energy efficiency in public buildings. 210
municipalities (out of 243) have joined for total funds of 1.5 billion. This led to the
development of an interesting project for commercial and industrial buildings (Covenant
of Companies) which has been approved by the European Union.
The second strategy of recovery concerns the development of specific construction
technologies aimed at the reuse of disused sites which are the only resource available
for upcoming investments on which Bergamo companies have experience and
technologies.
The presence of such a well organised and complete construction supply chain, along
with a research centre dedicated to constructions (i.lab), creates the opportunity to
study, develop and use new materials and new building technologies.
Finally, larger companies have initiated an internationalisation process that, until the
crisis, had been sporadic.
427 Bergamo-based companies have worked (or sponsorized) EXPO 2015.
Gewiss and San Pellegrino are main partners of Padiglione Italia.