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WhatWood Blog Pulp & Paper Segezha Group invests more than 8 billion rubles in the construction of a new plywood mill at the Galich TOR

Segezha Group invests more than 8 billion rubles in the construction of a new plywood mill at the Galich TOR

29 January 2019 ` 16:00  

The timber industry group of companies Segezha Group (AFK “System”) plans to invest more than 8 billion rubles in the construction of a new plywood production in the territory of TOR “Galich”.

“The plans of Segezha Group by 2021 to reach cumulative production of 320-350 thousand cubic meters of birch plywood a year, – commented the President of the Segezha Group Mikhail Shamolin, – It will become a reality when, in the framework of the agreement with the management of the Kostroma region, we will open a new production facility in Galicia”. In several interviews with the Governor of the Kostroma region, Sergey Sitnikov said that the construction in Galicia of large plywood mill will change the economy of the city and away from monotonicity site that not only is a plus in the economy but also contribute to social stability in the region.

The Chairman of the Government of the Russian Federation Dmitry Medvedev signed a decree No. 37 of education in the city of Galich, Kostroma region, the territory of advancing socio-economic development “Galich” (TOR “Galich”). According to the document, the creation of the TOP will contribute to the diversification of the economy of the city district, reducing its dependence on the only city-forming enterprise, increasing the investment attractiveness of the city, as well as creating new jobs and attracting investment.

“Despite the fact that the company already operates two plywood mill in Kirov region, one of which is launched in 2018, Galich for us in a sense a unique experience, as it is a greenfield project, – said a member of the Management Board, adviser to the President of the Segezha Group Maria Vasilkova, – the capacity of the new plant in the city of Galich will be about 130 thousand cubic meters of large-format premium plywood a year.” According to the presidential adviser, the volume of investments is significant and it is impossible to implement such a project without state and regional support. The mechanism of TOP, in our case, is one of the most effective incentive measures, and the news that the state-supported our project is a signal for the company to act,” Maria Vasilkova added. – Construction of the Galich plywood mill will be carried out within the framework of the national project “international cooperation and export”. Segezha Group creates in the TOP “Galich” absolutely export-oriented business based on the best international practices.”

The Segezha Group project in Galich was approved by the Investment Council of the Kostroma region administration. For the construction of a new plant, the investor agreed to lease a site in Galich with a total area of 37.5 hectares. According to the head of the Directorate for cooperation with the state authorities of Segezha Group Nikolai Ivanov, the launch of the first stage of the Galich plywood plant should take place in 2021.

“All the processes for the design and approval of the investment project are in the final stage. Kostroma region provides the company with the greatest counter movement. Governor Sergei Sitnikov set a task for the relevant departments responsible for the economy and the timber industry to support the project from the beginning of construction to the start of production”, – explained the Head of the Directorate for relations with state bodies of Segezha Group Nikolai Ivanov.

To ensure the new production of raw materials, the Forestry Department of the Kostroma region provides for forest areas with a total annual volume of timber harvesting of 1.5 million cubic meters.

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