May 20, 2009. Barlinek, a manufacturer of natural wooden floors, has postponed its plans to build a plywood factory in Russia. However, the company's authorities have not ruled out the idea of resuming the project if the economy starts to improve.
Barlinek postponed its plans to build a plywood factory in Russia
May 20, 2009. /Lesprom Network/. Barlinek, a manufacturer of natural wooden floors, has postponed its plans to build a plywood factory in Russia. However, the company's authorities have not ruled out the idea of resuming the project if the economy starts to improve, as Polish Market informed Lesprom Network.
The company's board decided to suspend the project partly because of problems securing an investment loan and partly because of diminishing demand for the products the plant would have produced.
The estimated cost of the undertaking is currently around PLN 400 million ($125 million). On the other hand, Barlinek is in the final stages of building a pellet production plant in Ukraine, an undertaking requiring capital expenditure in excess of PLN 30 million ($9.4 million).
The plant will reach full production capacity by this summer and will turn out approximately 18 thousand tonnes of pellet per annum. In turn, Barlinek operates a plant in Romania which produces hardwood flooring - output is expected to reach 70 thousand square metres this year, which will be sold on Western European and Polish markets. However, production may be increased to 120 thousand square metres, if demand for the floorboards is robust.
