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Posted On

27
January
2023

EFI Group moves production of Sam Ecopack to Lviv region, intends to expand its capacity

KYIV. Jan 27 (Interfax-Ukraine) – Investment holding EFI Group (Effective Investments) of businessman Ihor Liski relocated the production of Sam Ecopack cardboard packaging from Tomakivka (Dnipropetrovsk region) to Sambir (Lviv region) and put into operation the main line for the production of packaging for food products.

"The relocation of production was a big test for the team, because the company was close enough to the front line. We saved people, their jobs and a business that gives the country not only taxes, but also innovative products. The state supported us with relocation, and here is our cooperation turned out to be very effective," the press service of the EFI Group told Interfax-Ukraine.

As reported, at the end of 2020, the EFI Group acquired the real estate of the former bakery in Sambir to create another facility for production of pulp cardboard packaging – an environmentally friendly replacement for plastic packaging. The new product line has an annual capacity of 150 million pieces.

"Now in Sambir the main line has been put into operation, the second one is in the process of launching. We are considering the launch of the third line and are looking for ways to finance the launch and increase production capacity," the press service said.

The press service said that, despite the three-month relocation process and the difficult reorientation period, the enterprises’ production in 2022 dropped by only 5% compared to 2021, when 180 million pieces of various packaging were produced.

"This was achieved by increasing hourly productivity and optimizing the product mix. In the fourth quarter, we were able to turn production into a profit," the company said.

At the same time, 90% of the products are exported to the EU countries.

The company also said that after the relocation, not only existing jobs were saved, but new ones were also created.

"We have many large-scale plans to expand sales markets, and we have real advantages compared to global manufacturers, including unique packaging developments, production speed. We are almost the only Ukrainian company that is at the forefront of creating packaging from pulp cardboard for apples, berries and other vegetables and fruits," the company said.

The press service added that it was possible to establish production quite quickly, given that Sam Ecopack produces not only packaging, but also production machines and lines for the manufacture of products from pulpboard.

"This allowed us to quickly change the equipment configuration, switch to new types of packaging, because we did not have to wait for additional equipment from abroad. And therefore, we quickly reoriented production to the European pulpboard market. It was necessary to significantly expand the range, introduce Industry 4.0 elements, but the relocation allowed us to get closer to the consumer," the press service of the EFI Group said.

The press service reported that innovative developments in food packaging and special equipment for its production are in demand.

"Understanding the demand for our products in the world, we are planning expansion to new markets. We are also considering the construction of a new production facility in Europe," the press service said, without specifying these plans.

The press service added that the company, of course, faced the problem of solvency and a decrease in demand for a certain list of products. "But our clients have come out of the situation with overdue debts with dignity. We have no open questions on this matter," the company said.