(News from RISI) – Bukóza Invest is taking another step in its entry into the hygiene products business.
The company started production on two lines at its facility in Hencovce in eastern Slovakia in August last year and is now getting ready to start up two more lines in the second half of this year.
The firm currently has a monthly capacity of some 3.5m pieces of sanitary napkins and some 3.4m pieces of incontinence pads.
Chief executive Erik Kadlec said: “This is our start-up capacity and we expect to increase it by 30% after making a few improvements and changes.”
The company is preparing to install two more lines which should be up and running in the second half of this year, doubling the firm’s capacity.
Both lines should have a monthly capacity of some 3.4m pieces, one producing ultrathin napkins and other pantyliners.
Last summer, Bukóza Invest announced that it would use some 20,000tpy of pulp from Bukocel’s nearby bleached hardwood kraft pulp mill to make products with higher added value, such as personal care products as well as powdered cellulose.
This would create 700 new jobs and the products should generate sales of some Euro 116 million.
However, to reach that level of new jobs, state support is needed, Kadlec said, adding that without support, the company can only create 150-200 new jobs.
The total investment would be some Euro 21.5m. Previously, the company was applying for Euro 10.75m in support for the project from the Slovak government, but this has been reduced to Euro 7.2m following new rules for state support.
There have been some delays on the funding side, however.
“The proposal was sent back from the government in order to verify certain points.
“We provided the required data and the project proposal has been sent back to the government for approval,” Kadlec said, adding that the company is now waiting for the government’s decision.
