«Kastamonu Integrated Wood Industry» plant opens in the Republic of Tatarstan

Europe's largest wood processing factory of «Kastamonu» Turkish group on the production of MDF panels and wood flooring launched today in the special economic zone «Alabuga».

The plant was opened in the presence of the President of the Republic of Tatarstan Rustam Minnikhanov, Prime Minister of the Republic of Tatarstan Ildar Khalikov, Deputy Minister of Industry Minister of Forestry and Water Management of the Republic of Turkey Versel Eroglu, President of "Hayat Holding" Ahmed Yahya Kygyly. The ceremony was also attended by Tatarstan Investment Development Agency Chief Executive Linar Yakupov, Deputy Minister of Industry and Trade of the Russian Federation Georgy Kalamanov, representatives of Turkish companies.

The first phase of the project, implemented to date, costs 300 million dollars and includes the production of 475,000 cubic meters of MDF and 20 million square meters of flooring annually. With such parameters the plant is already the largest «Kastamonu Entegre» plant in Europe. In the second stage, by 2016, plans to launch production of particleboard with the capacity of 725,000 cubic meters per year, and in 2017-2018 – OSB with the capacity of 500 thousand cubic meters per year. Total project cost is 600 million dollars.

The raw material for the production of low-grade wood will be rocks mainly from Tatarstan. It is expected that about 80% of the products will be sold in Russia, 20% will go for export to countries of Asia and Eastern Europe. At the ceremony was announced that the planned annual turnover of the company in the long term will be $ 170 million, will be created 2,500 jobs.

Tatarstan Investment Development Agency Press Service