The Estonian wood industry company Kaamos Timber entered into a loan agreement with the European Bank for Reconstruction and Development (EBRD) whose support will be used to establish a new sawmill owned by the Estonian company near the city of Mozyr in Belarus.
“The EBRD loan of Euro 15 million will finance the construction of a new sawmill in the city of Mozyr, the total investment of which is planned to be Euro 25 million,” said Tõnu Bergmann, executive manager of Kaamos Timber, adding that the term for the loan agreement is 7 years.
According to Bergmann, the Mozyr sawmill owned by Kaamos Timber will create 100 new jobs in the area and will almost double Kaamos Timber’s existing production capacity in the Belarusian wood industry.
“Our existing sawmill in Vitebsk produces nearly 250,000 m3 of softwood timber, and with the new factory, the total production volume will increase to nearly 450,000 m3. Production volume to be increased by nearly a half will certainly allow us to increase export to both Europe and Asia,” said Bergmann.
