An outdoor flower market at the train station, Minsk
Courtesy Jim Doran

Outdoor market for automobile parts, Minsk
Courtesy Anatol Klashchuk

In 1985, in the early days of perestroika, Belarus specialized mainly in machine building and instrument building (especially tractors, large trucks, machine tools, and automation equipment) and in agricultural production. Because of the vast devastation caused by World War II, the republic's industrial base was of postwar vintage, enabling it to maintain higher labor productivity than many other former republics of the Soviet Union, which were burdened with older, prewar equipment.

In 1992 industry in Belarus accounted for approximately 38 percent of GDP, down from 51 percent in 1991 (see table 4, Appendix A). This figure reflects a decline in the availability of imported inputs (especially crude oil and deliveries from Russia), a drop in investments, and decreased demand from Belarus's traditional export markets among the former Soviet republics. Belarus's economy has also been affected by decreased demand for military equipment, traditionally an important sector. Attempts to convert military production to civil production were largely unsuccessful as of 1995.

By 1993 Belarus also produced petrochemicals, plastics, synthetic fibers, fertilizer, processed food, glass, and textiles. Even though Belarus continued its production of electronic instruments and computers, a specialty from the communist era, their quality mainly restricted them for export to former Soviet republics.

In 1994 gross industrial output declined by 19 percent. At the beginning of 1995, every industrial sector had decreased output, including fuel and energy extracting (down by 27 percent) chemical and oil refining (18 percent) ferrous metallurgy (13 percent) machine building and metal working (17 percent) truck production (31 percent) tractor production (48 percent) light industry (33 percent) wood, paper, and pulp production (14 percent) construction materials (32 percent) and consumer goods (16 percent).

Data as of June 1995