KYIV. June 23 (Interfax-Ukraine) – Ukrainian Sawmills with Swedish investment (Kostopil, Rivne region) this year plans to start building one more wood processing plant in Rivne region. The plant will produce pine saw goods for production of furniture, millwork and construction materials.
The company told Interfax-Ukraine that the plant with a capacity of 250 cubic meters will be built in Sarny district. The investment could reach EUR 20 million.
“After the launch of our plant in Kostopil in the near term, the investors are ready to start implementing the investment project in Sarny. We plant that construction will start this year. It will take around two years. Local construction companies will be involved,” the company said.
Pine saw logs of local forestry enterprises will be used as raw materials. Earlier before the introduction of the moratorium on exports of unprocessed round timber it was exported.
“Now Ukrainian Sawmills will process our wood inside the country, creating finished goods and added value,” the company.
The agreement with local authorities of Sarny to allocate a land parcel has been signed. The company said that 65 new jobs will be created, as well as 300 affiliated jobs.
The company said that the plant will be environment friendly, fully automated and producing no waste.
Finnish, German and Swedish equipment will be installed.
Bark left after processing will be used as fuel for boilers, chips and flakes will be supplied to pellet or wood chipboard producers located not far from the plant.
The products will be certified by FSC (Forest Stewardship Council).
The first wood processing plant with a capacity of 300,000 cubic meters a year was built in Kostopil. Investment totaled EUR 25 million and 150 jobs has been created. It is planned to export over 80% of the products.