Latvian timber company announces EUR 10m expansion plan

Latvian timber company Stiga RM announced plans March 21 to significantly expand its birch plywood mill in Kuldīga this year with an investment of more than 10 million euros.

The company said it would be adding production space of 2,900 square metres, and will modernise with new, energy-efficient and environmentally friendly equipment.

"Total investment in productivity and product quality promotion projects will exceed EUR 10.5 million this year," it said. 

The office building on the territory of the production plant will be dismantled this spring and replaced with a heat treatment pool with equipment. At the same time, work is underway to rebuild and expand the production site, build another production building, create a repair base for production machinery, and establish new office space.

"The development projects will significantly increase production capacity and promote energy efficiency while continuing to introduce sustainable operating principles into the production process," said a release. 

“The modernisation activities started last year and the installation of new equipment using solutions from the world’s leading equipment manufacturers will continue throughout this year and will make the production process even more powerful, energy-efficient and environmentally friendly,” said Viesturs Krēvics, Director of Stiga RM Plywood Mill.

The total cost of the Stiga RM plywood production plant development project will exceed EUR 22.4 million over two years. It started at the beginning of last year and will run until the end of this year, significantly increasing production volumes and export amounts.

The development of the factory will also create new jobs. The factory currently employs 278 people, and the number of positions is expected to grow after the completion of the expansion projects, though the compay did not say by how much. In 2023, Stiga RM was the city of Kuldīga’s largest employer and taxpayer.

Source: Eng.LSM.lv (Latvian Public Broadcasting)
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