During next year, the Sweidsh Martinsons will increase its production of sawn timber from 500,000 to 535,000 m3. This will be done through a 60 million SEK investment in kiln and storage facilities, as well as more shifts in Bygdsiljum, the Group's largest unit. Meanwhile, production will cease in Hällnäs, reports Martinsons in its press-release.
"Demand is high but at the same time, competition is fierce. The prerequisites for profitable production over time are found in the Bygdsiljum and Kroksjön units, where we also can continue to develop our production of glulam, CLT and planed products”, says Managing Director Lars Martinson.
Today, there are 43 members of staff at the Hällnäs plant. Everyone will be offered employment in Bygdsiljum, when production ends in time for the 2018 summer holiday.
The main reason for the move is the need to render the Group's total production more effective. The cost of producing one cubic meter of sawn timber is today approximately 50 percent higher in Hällnäs than in Bygdsiljum.
"We have limited funds to invest and have to prioritise. When we studied the impact of investments at each facility, it became clear that the conditions for long-term profitability were better at our units in Bygdsiljum and Kroksjön”, Martinson explains.
The plant in Hällnäs has been owned and operated by Martinsons’ since 1996. During this time, the company has invested over 100 million SEK in the sawmill. The plan is now to sell existing machinery.
Production in Bygdsiljum will increase after the summer of 2018, when, as an intial step, capacity will go from the current 300,000 to 415,000 m3 of sawn timber per year. The Bygdsiljum unit also produces approximately 46,000 m3 of glulam and 20,000 m3 of crosslaminated timber every year. Production at the Kroksjön plant amounts to almost 120,000 m3 of sawn timber per year, of which 85,000 m3 are planed products.