Steel strap factory VolgaStrap inaugurated in Kostroma
28/10/2007
The steel strap factory OOO VolgaStrap was inaugurated on 11 October 2007 in Russia. VolgaStrap is the first Russian producer of high quality steel strapping which is used especially in the wood processing and metal industries.
The steel strap factory OOO VolgaStrap was inaugurated on 11 October 2007 in Russia. VolgaStrap is the first new investment in the steel production in Russia. It is also among the first foreign investments in the town of Kostroma, situated about 350 kilometres from Moscow.
The sponsor of the steel plant is Specta Group AG, a Finnish-owned company that is a market leader in supplying packaging material and machinery to the metal and wood processing industries in Russia. The total value of the plant investment is 17 million euros. Investment is financed by Specta, Finnfund and the Swedish development finance institution Swedfund.
Safe packaging materials for metal and wood processing industries
VolgaStrap is the first Russian producer of high quality steel strapping. Until now the packaging materials have been imported. Specta has, first by importing steel straps and now producing them, made significant improvement in the occupational safety and has also created market for its products. Before there were no safe packaging materials for the products of the metal industry.
Steel strapping is especially popular with the wood processing and metal industries because of its great durability. It is used to bind steel coils, sheets, pipes and sawmill products.
High technology plant
The plant utilizes the state of the art European furnace and automation technologies as well as energy efficient and ecologically safe systems.
The plant covers 11 000 square metres and produces 40 000 tons of steel strap a year. It employs 100 people and has considerable positive impact on the employment in the remote Kostroma region.
Specta has its own network of fourteen offices in the main industrial areas of Russia, Ukraine and Kazakstan. Until now the company has not had its own production but has imported packaging machinery and materials from Finland, Sweden, Central Europe and Greece. Specta employs 200 people.
For more information at Finnfund, please contact senior investment manager Matti Kerppola tel. +358 9 3484 3334 or firstname.lastname@finnfund.fi
