Raute signs €20M contract with plywood supplier AmberBirch for upgrading birch veneer production plant in Latvia, with machinery and equipment delivery set for end of 2024 through early 2025; order includes log handling, veneer peeling, drying lines

Raute Corporation has successfully signed a contract with AmberBirch, SIA of Latvia. The contract is worth EUR 20 million and it has been signed for the technology delivery of a birch veneer production plant expansion of 60 000 m3/a capacity.

The order for Raute’s technology includes all main production processes of veneer production: log handling line, veneer peeling line, and veneer drying and grading line, visual- and moisture analyzers with extensive service package and MillSIGHTS MIS-software. The lines are of the latest, most automated R7-Series technologies. Engineering work for the plant is already ongoing.

The ordered machinery and equipment will be delivered between the end of 2024 and the beginning of 2025. They will be manufactured at Raute’s production units in Lahti and Kajaani in Finland, and in the company’s partnership network.

“Raute is our long-term technology partner, and its world leading veneer production technology is a critical part of the successful AmberBirch business model. With this new investment we enter the next stage of hopefully even more fruitful cooperation”, says Karlis Kavass, Board Member at AmberStone Group.

This new plant, which will be in full operation in 2025, is expected to expamd AmberBirch’s veneer product assortment. This will further expand the company’s reach, encouraging its entry into the new market segments. The fresh growth will let the company fulfil the needs of the existing customers with a wide range of high-quality veneer products. New production capacity also creates a competitive production platform on which new strategic product lines can be developed to take advantage of the growing opportunities in the EU engineered wood product market.

Highlighting the positive views, Mika Saariaho, CEO of Raute said, “We are very pleased to support AmberBirch in their important investment with our complete, one-stop-solution. We will provide our latest innovations and look forward to continuing our long-term partnership.”

AmberStone Group is an investment company founded in 2013. It holds investments in medical, hospitality, agriculture, construction, and wood processing sectors in Latvia and Estonia. AmberBirch is 100% owned subsidiary of AmberStone Group, operating a birch veneer plant in Jēkabpils region, Latvia. Starting its operations in 2019, AmberBirch has become one of the largest specialized veneer producers in the region. AmberBirch produces multi-purpose veneer suitable for a variety of applications, ranging from the production of household items to construction.

RAUTE IN BRIEF - Making Wood Matter

Raute is the partner to future-proof the wood industry. Our technologies cover different production processes with supporting digital and analytics solutions for engineered wood products. Additionally, we offer full-scale service concept ranging from spare parts to regular maintenance and modernizations. Our innovative hardware and software solutions are designed to support our customers' efficient consumption of natural resources. In mill-scale projects, Raute is a global market leader both in the plywood and LVL industries. Raute's head office and main production is located in Lahti, Finland . The company's other production plants are located in Kajaani, Finland , the Vancouver area of Canada , Changzhou, China , and in Pullman, WA , USA. Raute's net sales in 2023 were EUR 145.4 million . The Group's headcount at the end of 2023 was 754. More information about the company can be found at www.raute.com.

Source:  raute.com