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Krymbumaga to manufacture containerboard at Ukraine plant


   

BRUSSELS, April 18, 2008 (RISI) - Krymbumaga, the sole paper producer in the Republic of Crimea, the Ukraine, has revealed plans to start testliner and fluting production at its facility in Simferopol. Currently the company manufactures some 3,000 tonnes/yr of tissue from recovered paper at the site.

Nelba has revamped and supplied a second-hand offset machine, dismantled from the closed Plzenska Papirna mill in Plzen, Czech Republic, which belongs to the KRPA group. The firm has installed a second frame, a new headbox and a size press. The company has also increased the machine's drying capacity and added a new calender.

The new production line will have a capacity of 35,000 tonnes/yr and will use recovered paper as raw material. Trial runs are slated for July-August, while the startup is scheduled for November. The firm plans to sell its output in the Republic of Crimea as well as in other southern areas of the Ukraine.

The investment is also expected to boost the facility's total corrugated board capacity to 18 million m2/yr. A credit of UAH 51 million ($10 million) has been granted by the Ukrainian bank Finance and Credit for a period of 60 months.

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By how much will the credit crunch reduce greenfield mill announcements in the next three years compared with the last three years?
  • No noticeable effect
  • Up to 33% fewer new mills announced
  • Up to 66% fewer new mills announced

  • More than 66% fewer new mills announced

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